Police arrested the manager of Nellie’s Southern Kitchen, owned by the Jonas Brothers, over allegations she embezzled over $200,000 from the North Carolina restaurant’s business account.
Joy Nichols Auten, the aunt of band members Nick, Joe and Kevin Jonas, was charged with five felony counts of embezzlement by an employee, according to a report published Monday by local outlet WSOC-TV. Belmont Police Department (BPD) investigators reportedly allege that Auten withdrew $251,986 from the restaurant’s account between 2016 and 2020, far exceeding the approximately $29,000 needed to cover unpaid tips.
BPD said at least $93,039 in cash was deposited into Auten’s personal bank account, with the destination of the remaining funds being unclear, according to WSOC-TV.
Local attorney Brent Ratchford said family business theft is common, noting that perpetrators are often those with close access and high levels of trust.
“It’s going to be people who are close by,” Ratchford told the outlet. “People who have a lot of trust. Family members, very close kin.”
The attorney suggested that Auten may avoid prison because investigators can only definitively show that less than $100,000 was misappropriated, which falls below the threshold for mandatory imprisonment. Ratchford argued that incarceration could impede potential restitution.
“The DA is going to have to balance the thought of, ‘Do I want the money back and punish, or do I just want to punish?'” he said.
MILAN, ITALY – SEPTEMBER 24: Nick Jonas, Joe Jonas and Kevin Jonas of Jonas Brothers Perform at Forum di Assago on September 24, 2024 in Milan, Italy. (Photo by Francesco Prandoni/Getty Images)
“This was a deliberate and calculated act that significantly impacted a beloved business in our community,” BPD Chief Boyce “Corky” Falls said, according to the outlet.
Belmont Police continue to investigate the case and are requesting anyone with additional information to contact them. (RELATED: )Nick Jonas Runs Off Stage Fearing For His Life)
Nellie’s Southern Kitchen closed temporarily Monday and reopened Tuesday.
The Jonas Brothers have not publicly commented on the allegations as of Wednesday morning.
