Norcross, Ga.-based Waffle House will pay about $20 million to buy the company. Starting on Thursday, the franchise's 105 restaurants spanning four states will operate under Mid South Waffles Inc., a Waffle House subsidiary.
SouthEast Waffles had been in Chapter 11 bankruptcy for the past year, amid accusations from two banks of missing money through an alleged check-kiting scheme.
SunTrust Bank sued the franchisee's former CEO James Shaub II and its former chief financial officer Rebecca Sullivan, alleging problems. Shaub said he had no knowledge of the alleged scheme, while Sullivan said any actions she took were as a result of following Shaub's orders.
SouthEast Waffles will be closing its corporate headquarters here and eliminating 15 positions, chief restructuring officer Gary Murphey said. The affected employees have been offered positions in Norcross, Ga.
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