Potbelly Accuses Nitel of Kickbacks, Racketeering Conspiracy

Potbelly Sandwich Works LLC has accused satellite telecommunications company Nitel Inc. of conspiring with two Potbelly IT employees in a kickback scheme aimed at driving business to Nitel.

Nitel bribed the Potbelly employees with secret cash payments that increased in size for each fraudulently obtained Potbelly service order, ultimately costing the sandwich chain hundreds of thousands of dollars, according to the July 9 lawsuit filed in Chicago federal court.

“Nitel’s actions are part of a concerted effort by its executive leadership team to defraud Potbelly and reaches the highest ranks in the company,” the suit says.

The 10-count fraud and ...