Popular Korean restaurant Spoon by h says they are closing for good because of a credit card scheme perpetrated by customers.
Spoon by h was recognized by the Michelin guide and frequently shows up on best-of lists around the city. The restaurant gained popularity after it was tweeted about by chef David Chang.
Among other items, they were known for their knockout Pork Belly and Dumpling Soup. The owner, Yoonjin Hwang told the LA Times that customers began to fraudulently dispute charges with their credit card companies. The report says banks often side with the customers, and in this case, the restaurant ends up footing the bill for the food they sent out.
In one instance reported by the times, a customer ordered more than seven-hundred dollars worth of food on an app called Tock, then later the charges were disputed through the app.
Since it was a frequent occurrence, the owner took photos of the order and the food and attempted to appeal the ruling by Tock but she lost the appeal.
The LA Times says Hollywood Thai restaurant luv2eat Thai has also faced a similar issue. Fans set up a Go Fund Me to raise money to try and save the restaurant.