Community Corner

Ellen's Stardust Diner Owners Accuse Servers Of Stealing Nearly $400K: Report

The Times Square restaurant's owners claim that servers utilized the "shuffling soda" scheme to pocket thousands.

MIDTOWN MANHATTAN, NY — The owners of popular tourist destination Ellen's Stardust Diner are accusing former wait staff of pocketing nearly $400k in what is called the "shuffling soda" scheme.

The restaurant's owners have "turned its findings over to the Manhattan District Attorney’s office and is cooperating with its investigation of the matter,” lawyer Patrick McCarthy told The New York Post. Several former waiters and waitresses at Ellen's — famous for belting out Broadway hits while they dish out food – have been accused of stealing as much as tens of thousands of dollars, according to the report.

So how did they do it?

Find out what's happening in Midtown-Hell's Kitchenfor free with the latest updates from Patch.

Apparently through a well-known scheme called the "shuffling soda" where waiters would transfer items from already paid bills onto active ones and pocket the money, the Post reported. The menu item could then be transferred from closed to open tabs until the restaurant closed for the day, adding up to a nice payday for the rogue waiters.

New management took over Ellen's Stardust Diner in 2016 leading to mass firings in September 2016 and January 2017, the Post reported. A group of former workers known as the "Stardust Family United" has filed a class-action lawsuit against the restaurant for withholding tips and overtime pay, according to the report.

Find out what's happening in Midtown-Hell's Kitchenfor free with the latest updates from Patch.

Read the full New York Post article here.

Photo by Theo Wargo/Getty Images Entertainment/Getty Images

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