Owner of Coralville Popeyes and other Iowa locations being sued for failure to pay sales taxes

Hunter
10/17/25

The owner of several Popeyes restaurants in Iowa is being sued not only for operating franchises despite having their licenses revoked, but for back sales taxes.

The Des Moines Register reports Chicago-based business owner Asif Poonja runs at least seven Iowa locations of the Cajun-themed fried chicken brand.  In September, the chain’s parent company sued Poonja and his company, Jam Equities, alleging the company was continuing to operate five of those stores despite Popeyes revoking their licenses to use the brand due to unspecified violations of “food safety and brand standards.”

Now the Iowa Department of Revenue has filed “distress warrants” alleging failure to pay sales taxes totaling hundreds of thousands of dollars. It has obtained orders to begin garnishing payments and seizing other funds to begin repaying the debts.

According to court documents, the Department of Revenue is seeking unpaid sales and use taxes dating back to 2022. The Coralville location reportedly owes approximately $340,000, and the Cedar Rapids Popeyes owes about $175,000.

The Coralville and Cedar Rapids stores are two of the five named in the lawsuit for allegedly continuing to use the Popeyes brand without permission.