Swadley’s contract with the Oklahoma Department of Tourism and Recreation was abruptly canceled on Monday “due to suspected fraudulent activity and questionable business practices,” Tourism announced amid increasing scrutiny of the deal.
“After extensive review, it has become clear the continuation of the agreement with Foggy Bottom Kitchen is not in the best interest of Oklahoma taxpayers,” reads the Tourism Department’s statement issued Monday morning, severing ties with the company the department has paid roughly $17 million to renovate and run restaurants at state parks since 2020.
Swadley’s was given 48 hours to transfer utility billings to the Tourism Department and hand over the keys to its restaurants to the state park managers, leaving behind all cash for the department’s independent audit company to account for.
Swadley’s issued a statement via social media over the weekend.
“From the beginning, every aspect of the Foggy Bottom Kitchen project has been directed and approved by state officials,” Swadley’s statement reads. “We stand by our team and all that we have done to benefit the people of our beautiful state.”
The cancellation comes nearly a month after the state Legislative Office of Fiscal Oversight, or LOFT, issued a scathing report highlighting financial irregularities in Tourism’s Parks division, particularly regarding highly disproportionate investments in restaurants at state parks. In several instances, more was invested in renovations than the...
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