Colorado Springs Mayor Yemi Mobolade has been named as a co-defendant in two lawsuits alleging he and a former business partner owe a food distributor nearly $100,000.
Phoenix-based Shamrock Foods, a food distributor with six warehouses in Colorado, including Colorado Springs, alleges in separate lawsuits filed earlier this year that Mobolade and Russ Ware, Mobolade’s former business partner, “failed to pay for the goods” they agreed to purchase from the vendor in 2018, before Mobolade was elected as the city’s mayor last May.
Good Neighbors Meeting House, located at 505 Columbia St. in Colorado Springs.
Prior to winning office, Mobolade operated two restaurants in downtown, Good Neighbors Meeting House at 505 E. Columbia St. and The Wild Goose Meeting House at 401 N. Tejon St. Information on the Colorado Secretary of State’s website shows Schaeffer Ware, the son of Russ Ware, is the registered agent for both cafes.
Mobolade’s wife Abbey Mobolade said in a written statement Monday that she, alongside other partners, is managing the businesses and the mayor “is not involved in the management or operations of the cafes.”
Colorado Springs city charter states the mayor cannot “hold any other paid employment position during his or her term in office.”
Shamrock Foods filed its first two-page complaint in El Paso County District Court Jan. 4, alleging Yemi Mobolade and Russ Ware owe the vendor nearly $28,900 for food they purchased in January 2018 for The Wild Goose Meeting House. The vendor filed a second two-page complaint in district court about a month later on Feb. 12, alleging the defendants owe nearly $68,000 for food purchased in April 2018 for The Good Neighbors Meeting House.
City spokeswoman Vanessa Zink said in a written statement Monday that because this is a “personal matter,” the city’s communication’s department could not accommodate The Gazette’s request for comment.
Neither Yemi Mobolade’s attorney nor Russ Ware immediately responded to calls and emails seeking comment Monday.
In two separate four-page answers Yemi Mobolade filed Feb. 16 and Feb. 29, he said Shamrock Foods’ claim “was caused by the actions or inactions of third parties over whom Mobolade had no control and has no control.”
In June 2022, Russ Ware was accused of “misusing” funds related to a now defunct Latin-American fusion restaurant he co-owned in downtown Colorado Springs called Epiphany, as well as funds related to other local restaurants The Well, The Wild Goose Meeting House and Good Neighbors Meeting House.
Yemi Mobolade told The Gazette early last May he had no role with nor ownership in Epiphany, and subsequently removed Russ Ware from his management positions at The Wild Goose and Good Neighbors.
Russ Ware’s actions “resulted in significant debts being created for these businesses. The Mobolades’ cafes were able to recover and repay those debts by working with the affected vendors, less one, which has not yet been settled despite repeated efforts to work with the company,” Abbey Mobolade wrote Monday.
Mayor Yemi Mobolade addresses the media with his wife, Abbey Mobolade, by his side after ballot measure 2A was coming up short of winning according to the unofficial election results Tuesday night, Nov. 7, 2023. Also present were City Council President Randy Helms (left) and Councilwoman Nancy Henjum (right). The mayor said he was disappointed with the results so far, but was still going to forge ahead.
El Paso County court records show Russ Ware pleaded guilty Oct. 23 to theft in the amount of $20,000 to $100,000, for which he received a deferred four-year sentence. It was unclear Monday if his guilty plea was related to accusations he misused funds from the four local restaurants.
“Our family, our businesses, and others in this community have been victimized by a man who was supposed to be our partner,” Abbey Mobolade said. “Many, unfortunately, can relate to this experience. We have learned a lot from this and believe we are stronger for having faced this adversity. We are not shying from it. We are doing our best to make it right. We hope to come to an expedited conclusion to this singular remaining matter and are waiting on communication from the other entity involved.”
Yemi Mobolade filed two crossclaims in El Paso County district court on Feb. 16 and Feb. 29, stating Russ Ware “engaged in a pattern of fraud and deceit stealing funds from the business(es),” constituting a breach of fiduciary duty, civil theft, fraud and misrepresentation by Ware that “caused substantial monetary damages to Mobolade in amounts to be provided at trial.”
Yemi Mobolade seeks a court judgement against Ware for damages in amounts to be provided at trial, along with attorney’s fees.
Court records show attorneys for Shamrock Foods on March 28 submitted a notice of trial setting for the lawsuit related to Good Neighbors Meeting House. The document states a trial management conference is set for Sept. 12, a pre-trial readiness conference is set for Nov. 7 and a trial is set for Dec. 9.
No trial has been set for the lawsuit related to The Wild Goose Meeting House, court records show.
Attorneys for Shamrock Foods on April 12 filed a motion for default judgement against Russ Ware, stating he has “failed to plead or otherwise defend this action as provided by the Colorado Rules of Civil Procedure and is now in default herein.”
