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SALT LAKE CITY -- A prominent Salt Lake restaurateur faces criminal fraud charges. Gene Kwon appeared in court Thursday on charges he skipped town after squandering millions of dollars of investors' money.
At one time, 43-year-old Kwon was referred to as Salt Lake City's "Restaurant King." In 2007, Kwon sought investors to save the crumbling Latitude Restaurant Group. Along the way, prosecutors say, there were illegal transactions and lies to cover the debt.
Now, in court, Kwon's lawyer says his client wants to pay it all back.
Defense attorney Rudy Bautista said, "He's here to resolve it the best way he can, and it's our goal to make as many people whole as we can in a reasonable amount of time."
The Latitude Restaurant Group, previously housed above the former Mikado, once owned up to 11 restaurants in Utah. The location has since changed names and ownership. It also owned a Ruth's Chris Steak House. A new Ruth's Chris, with no ties to Kwon is reopening in a different location.
Kwon faces theft, securities fraud and a "pattern of unlawful activity" charges. Prosecutors allege Kwon took money from seven investors and lied to them to get them to invest. A pending civil case alleges Kwon lived lavishly as his businesses failed.
Kwon's attorney says what happened is not criminal and is asking the charges be dropped in exchange for paying the money back.
"It was his intent to live the American dream and make the businesses work. Unfortunately, with the failure of them, he didn't intend to harm anyone, but it appears that may have happened," Bautista said.
A resolution hearing has been set for Kwon at the Matheson Courthouse for July 29.
E-mail: rpiatt@ksl.com
