A South Florida restaurant chain has been placed under a federal investigation over allegations that some employees were paid more than $7,000 for meal service, including a $1,000 bonus for a two-course meal at a South Florida eatery.
In a statement, American Eagle Dining Hall in the Palm Beach County community of Palm Beach Gardens said it is cooperating with federal authorities.
The investigation began last year after a customer reported an unusual behavior at the business, which has been serving meals for the last three years.
The investigation is continuing.
The restaurant’s statement said the investigation was prompted by complaints that some of the employees received higher-than-average pay for meal services.
The employees were working for a non-union company.
The statement said that the company has also experienced some issues in recent years that have been resolved.
It did not say if the problems are related to the allegations.
A source familiar with the investigation told CNN that investigators believe the restaurant’s payments are being made as a result of employee retaliation.
“This is a very serious situation that we are looking into,” said the source.
“We have been working with the U.S. Attorney’s office and the Internal Revenue Service to get to the bottom of this.”
American Eagle Dine-Hall was located in the heart of the South Florida community, about 30 miles (50 kilometers) south of Miami.
The restaurant has been around for more than 100 years.
A representative for American Eagle declined to comment on the matter.