A Lenexa business owner was sentenced to 10 years in prison for committing 14 counts of fraud, including supplying false information to secure loans meant for small businesses.
On May 15, Scott W. Anderson, was sentenced in the U.S. District Court of Kansas in Kansas City, Kansas, to 10 years in federal prison for four counts of false statement in a loan application, four counts of wire fraud, and six counts of aggravated identity theft.
In addition, Anderson must pay nearly $3.8 million in restitution, including $2.5 million to the Small Business Administration and the remainder to several banks and lending partners.
As part of the agreement, Anderson will be placed in a Residential Drug Abuse Program for treatment for an alcohol problem, as well as a medical facility for cardiac issues, federal documents stated.
Anderson was previously found guilty by a federal jury in November 2024. He was 53 at the time of conviction. Two months ago, Anderson surrendered his Kansas law license.
The sentence, which was handed down by U.S. District Judge Holly L. Teeter, is the result of a plea agreement between Anderson and federal prosecutors.
Anderson was part owner of the Lenexa-based Riley Drive Entertainment, a company that operates Saints Pub + Patio in the area, as well as created and ran previous businesses like Taco Hangover.
Anderson falsified information, defaulted on loans
In 2018 and 2019, Anderson applied for loans on behalf of Riley Drive Entertainment from the Small Business Administration, a federal government agency that provides support to entrepreneurs and small businesses, according to federal documents.
When Anderson submitted the applications, the company was a defendant in civil lawsuits. Despite that, he falsely responded “no” to questions on the applications that he or the companies he controlled were not involved in any legal actions.
Riley Drive also defaulted on two small business loans: $3.6 million from Oakstar Bank in March 2018 and $700,000 from Landmark Bank in March 2019. The defaults caused losses to the SBA of about $2.17 million and $658,141.
Anderson also committed wire fraud, ID theft
Anderson was also sentenced for wire fraud and identity theft related to a future receivables sale agreement with Itria Ventures LLC.
Anderson had employees pose as other business partners to get the agreement with Itria and forged their signatures, according to a federal indictment.
That agreement, and the alleged misrepresentations that fostered it, led Itria to send nearly $600,000 to Anderson’s bank account across four payments between 2018 and 2019.
At the time when Anderson was originally charged in March 2023, his attorney Robin Fowler wrote in an email to the Johnson County Post that he maintained his innocence.
A request for comment to Anderson’s attorneys, Vanessa Marie Riebli and Robin D. Fowler, were not returned.
Riley Drive opened multiple business in the area
The company operated several Saints Pub + Patio locations in the Midwest, including one in Lenexa City Center, which remains open, and a Saints Pub Express in Shawnee, which closed months after opening.
Saint Pub Express opened in the same location as a previous Riley Drive Entertainment restaurant, Taco Hangover, which closed less than a year after opening. A drive-thru pasta restaurant, Simon’s Pasta, took over the location earlier this year.
Riley Drive also owned Ignite Wood Fire Grill, which was located near I-435, but it closed during the COVID-19 pandemic. The building is now home to a Jack Stack Barbecue.
Likewise, the company’s plan for a multimillion-dollar entertainment complex in Lenexa dubbed The Yard never materialized, reportedly due to market conditions.
Other Johnson County court news: Overland Park man pleads guilty for causing fatal DUI crash
