PHOENIX — Federal court records reveal allegations of identity theft and fraudulent I-9s after dozens of people were arrested during raids at Zipps Sports Grills in the Valley on Monday.
Court records show the investigation started with a tip to Homeland Security Investigations in February 2025.
Records show someone told HSI that Zipps was employing undocumented immigrants in their kitchens, and management knew staff was using fraudulent identification.
Following the events, ABC15 spoke with retired ICE agent Eric O'Denius.
"Everyone, when you're getting employed, right, you fill out the I-9 form to immigration," said O'Denius. "The employee submits it to the employer, and the employer makes it available to the government."
Court records state that in March 2025, HSI served all the restaurants and Zipps' corporate headquarters with a notice to produce those eligibility forms.
They also requested wage reports from the Arizona Department of Economic Security.
The review allegedly identified 76 employees, "that had three to forty-two active employers other than Zipps..."
The criminal complaints involved employees who were allegedly in the country illegally, accused of falsely completing I-9 forms.
ABC15 reviewed at least four criminal complaints.
One staff member is also accused of other crimes, including aggravated identity theft.
The employee accused of identity fraud allegedly told federal agents, "every manager knows that many of IDs that are used are fake."
Apparently, he described the fake IDs as "poorly made, like a playing card."
Documents show some people explained to federal agents the various ways they gained the identification necessary to fill out their forms.
ABC15 reached out to Zipps corporate with questions. The company responded with a short statement, writing, "We've received your questions. We are reviewing the government’s statements and filings. Because this remains an active matter, Zipps cannot comment right now on purported allegations, investigative steps, or employee-specific information."
Records state 39 Zipps employees were arrested Monday for allegedly being in the country illegally.
ABC15 has shared stories of some of those now detained.
An attorney for at least two of those detained says they haven’t received charging documents or notices to appear for their clients.
The U.S. Attorney's Office released the following statement in part, saying:
"A criminal complaint is simply a method by which a person is charged with criminal activity and raises no inference of guilt. An individual is presumed innocent until evidence is presented to a jury that establishes guilt beyond a reasonable doubt.
HSI Arizona is continuing the investigation based on information seized during the execution of the search warrant with support from IRS-Criminal Investigation and the U.S. Marshals Service. The U.S. Attorney’s Office for the District of Arizona, Phoenix, is prosecuting the case."
