A federal grand jury in South Florida has charged two siblings from Miami-Dade County with orchestrating a decades-long bribery and money laundering scheme that allegedly defrauded thousands of Subway franchise owners across the United States, resulting in losses exceeding $80 million.
The accused are Janet Risi Field, 66, a Pinecrest resident, and her brother Steven Louis Risi, 70, from Coral Gables, as announced by the U.S. Attorney's Office for the Southern District of Florida on October 1st.
Janet Risi Field co-founded the Independent Purchasing Cooperative, Inc. (IPC) in 1996, a nonprofit responsible for managing Subway's supply chain in North America and negotiating food, supply, and service prices with vendors.
Until December 2021, she served as the CEO of IPC, wielding the authority to approve contracts that directly impacted the costs borne by thousands of franchisees. The indictment suggests she exploited this position to forge clandestine deals with intermediaries of suppliers for products such as meats, cheeses, and cookies, receiving a portion of the commissions from these contracts for herself and family members.
Authorities allege that the siblings and their relatives used shell companies to conceal over $60 million in illicit bribes and commissions. The scheme purportedly forced Subway restaurant owners to purchase specific products from IPC-approved suppliers, increasing franchisees' costs unbeknownst to them due to secret payments linked to supplier contracts.
Prosecutors indicate that the funds were diverted to cover home renovations in Florida and North Carolina, private investments, personal expenses, club memberships, and over $400,000 in jewelry.
The indictment further claims that in the early 2000s, Risi Field initiated a secret fund that disbursed approximately $25 million, primarily benefiting her and other implicated individuals. Part of this money allegedly went towards paying over $420,000 to a family personal assistant and more than $150,000 to domestic employees.
In 2011, according to the prosecution, Risi Field arranged for an accomplice to pay roughly $8 million to settle a lawsuit from a former IPC contractor who accused the organization of inappropriate financial relations with suppliers. This settlement was reportedly not disclosed to the board of directors.
When Risi Field's contractual relationship with IPC ended in 2021, the board was unaware of these payments, and she received over $6 million in severance, the indictment reveals.
The siblings face one count of conspiracy to commit money laundering, which carries a potential sentence of up to 20 years in prison, and two counts of engaging in monetary transactions with property derived from unlawful activity, each punishable by up to 10 years.
Additionally, Risi Field is charged with wire fraud and honest services fraud, which could result in sentences of up to 20 years in prison.
This case emerges shortly after another major financial fraud case in South Florida, where real estate developer Rishi Kapoor was sentenced to 11 years and four months in federal prison for money laundering after misappropriating $89 million from investors.
Alongside the criminal proceedings, IPC filed a civil lawsuit in Miami-Dade in 2025 against Risi Field and other defendants, estimating franchisee losses at around $200 million, significantly higher than the over $80 million cited in the federal indictment.
The criminal case, identified as 26-cr-20405, is under investigation by the FBI in Miami and the Office of the Inspector General of the Federal Deposit Insurance Corporation (FDIC-OIG).
The charges in a federal indictment are allegations, and the accused are presumed innocent until proven guilty.
Frequently Asked Questions About the Subway Franchisee Fraud Case
What are the main charges against Janet Risi Field and Steven Louis Risi?
They face charges of conspiracy to commit money laundering and engaging in monetary transactions with property derived from unlawful activity. Janet Risi Field also faces charges related to wire fraud and honest services fraud.
How did the alleged scheme affect Subway franchise owners?
Franchise owners were reportedly forced to purchase specific products from IPC-approved suppliers, leading to increased costs due to undisclosed secret payments associated with supplier contracts.
What was the role of shell companies in the scheme?
The siblings allegedly utilized shell companies to hide over $60 million in bribes and illegal commissions, concealing the financial transactions from authorities and other stakeholders.