Workers Settle Suit Against Yassines

Employees will divvy up six-figure settlement

Treasure Island
Treasure Island (Photo by John Anderson)

Accused drug dealers and money launderers the Yassine brothers have been keeping U.S. District Court Judge Sam Sparks busy. Even before he started hearing the federal felony case against the duo and their associates, the judge was already dealing with an unrelated civil case over shady business practices. That one, at least, has been settled with a large out-of-court settlement.

Last September, Jack Webb, a former bartender at the Yassines' club Roial, mounted a class-action lawsuit against his former employers, arguing that they had violated the Fair Labor Standards Act in their eight bars. According to the original suit, the Yas­sines had all their employees feed their tips into two tip pools – one for the bartenders, bar backs, and security, and one for wait- and bottle- service staff. This meant unsalaried staff were forced to split their tips with paid employees. Moreover, the Yassines were not paying the mandatory $2.13 per hour tip credit for non-waged staff, and so were in violation of federal minimum wage law.

On June 6, Sparks ordered all parties to reach a private settlement by June 29, and on June 20, attorneys for Webb and his fellow plaintiffs announced that the Yassines had agreed to settle the suit for $685,000, to be split among the more than 50 employees who joined the suit.

Of course, that still leaves the federal drug case. Sparks had already pushed jury selection back from June to Octo­ber, over concerns that it would be impossible to sift through the huge amount of evidence before then. Now he and federal prosecutors have agreed to give Hussein Ali "Mike" Yas­sine and his brother Moham­med Ali "Steve" Yassine extra assistance in sifting through the documents. Previously, their attorneys were forced to play audio recordings to them through laptop speakers at the Bastrop County Jail. On June 1, Sparks ordered that the brothers can be transported to the federal courthouse in Austin or given access to the Bas­trop jail's multi-purpose room to review the evidence against them. That's no small job: The feds have already handed over 74 CD-ROMs and DVDs of material. According to court filings, one disc – marked "Orange 418" – contains 5,253 texts and recordings. The index of that disc alone runs 202 pages.

Got something to say? The Chronicle welcomes opinion pieces on any topic from the community. Submit yours now at austinchronicle.com/opinion.

A note to readers: Bold and uncensored, The Austin Chronicle has been Austin’s independent news source for over 40 years, expressing the community’s political and environmental concerns and supporting its active cultural scene. Now more than ever, we need your support to continue supplying Austin with independent, free press. If real news is important to you, please consider making a donation of $5, $10 or whatever you can afford, to help keep our journalism on stands.

Support the Chronicle  

READ MORE
More Mike Yassine
Top 10 Criminal Justice Stories
Top 10 Criminal Justice Stories
Death and drugs dominated the year for Austin police

Jordan Smith, Jan. 4, 2013

The Yassine Sixth Street Noir
The Yassine Sixth Street Noir
Legends, rumors, unpaid taxes ... and coke on the side

Richard Whittaker, May 18, 2012

More by Richard Whittaker
Fantastic Fest Review: <i>Falling Stars</i>
Fantastic Fest Review: Falling Stars
Witchcraft in the desert as a chillingly minimalist road trip

Sept. 22, 2023

Fantastic Fest Review: <i>Animalia</i>
Animalia
Lyrical and beautiful alien invasion flick looks inwards

Sept. 22, 2023

KEYWORDS FOR THIS STORY

Mike Yassine, Sam Sparks, lawsuit, Fair Labor Standards Act, Yassine Enterprises

MORE IN THE ARCHIVES
NEWSLETTERS
One click gets you all the newsletters listed below

Breaking news, arts coverage, and daily events

Keep up with happenings around town

Kevin Curtin's bimonthly cannabis musings

Austin's queerest news and events

Eric Goodman's Austin FC column, other soccer news

Information is power. Support the free press, so we can support Austin.   Support the Chronicle