Brothers From Delco Admit To Burning Down Philly Business

DELAWARE COUNTY, PA — Two Delaware County brothers admitted in federal court to setting fire to their business in an attempt to reap the insurance benefits, authorities said.

Acting United States Attorney Jennifer Arbittier Williams said Imad Dawara, 40, of Swathmore, and Bahaa Dawara, 32, of Woodlyn, both entered pleas of guilty Thursday to charges of conspiracy to commit arson and conspiracy to defraud the United States.

The brothers admitted to planning and causing the arson of their business, RCL Management LLC, at 239-241 Chestnut St. in Philadelphia on Feb. 18, 2018, and to evading the assessment of their income tax liabilities from 2015-2017.

Imad Dawara also admitted to fraud in connection with his receipt of health care and other government benefits including Medicaid, SNAP, and TANF.

Between December 2012 and February 18, 2018, the brothers owned and operated various restaurants and entertainment establishments in Philadelphia, including a restaurant and hookah lounge at 239-241 Chestnut St.

The brothers were struggling in their Chestnut Street business and had a years-long history of fighting with their landlord, authorities said.

By October 2017, the Dawara brothers stopped all business at the Chestnut Street location and attempted to sell the business, but as they failed to renew their lease or pay rent no one would buy it, according to authorities.

On Jan. 31, 2018, their landlord directed them to leave the property on Feb. 2, 2018 and told them that they owed more than $64,000 in overdue payments.

The brothers did not leave the property and on Feb. 2, 2018, RCL Management purchased a $750,000 insurance policy providing coverage in the event of an accidental fire at 239-41 Chestnut St.

Then on Feb. 18, 2018, a fire was intentionally started with gasoline in the basement of 239 Chestnut St. This fire destroyed the entire building, displaced approximately 160 people, closed the 200 block of Chestnut Street for months, and closed numerous businesses.

With the guilty plea, both Dawara brothers admitted to planning and causing this fire.