'Yellow Rat Bastard' May Have Violated Labor Laws

Dec 29, 2006

(AP) NEW YORK The state is suing a group of stores affiliated with a popular Manhattan clothing retailer, Yellow Rat Bastard, claiming they violated labor laws and retaliated against employees who complained to authorities.

Two lawsuits filed Thursday in New York State Supreme Court seek more than $2 million in restitution for unpaid wages, failing to pay the minimum wage and overtime. The 11 stores, which sells shoes, jeans and shirts, owe damages to more than 1,000 employees for a six-year period, according to outgoing state Attorney General Eliot Spitzer.

"The owners of these businesses have accumulated personal wealth by withholding from low-wage employees moneys they were lawfully entitled to," Spitzer said in a statement Friday.

Spitzer also accused the stores of retailiating against employees after they filed complaints with his office. He said the stores repeatedly broke both state and federal labor laws.

A lawyer for Yellow Rat Bastard did not immediately return a message seeking comment.

In response to subpoenas, Yellow Rat Bastard's stores failed to produce payroll records or any proof of paying their employees, Spitzer said.

On Friday, his office was granted a temporary restraining order against the company, preventing the stores and owners from shedding assets and destroying financial records.

Spitzer, who takes over as governor next week, began investigating Yellow Rat Bastard in May 2006 after employees called with complaints.