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Bluffs business owner and wife arrested in connection with state investigation
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Bluffs business owner and wife arrested in connection with state investigation

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Frank Hoover, left, and Cindy Hoover, right.

The owner of two businesses in the Historic 100 Block and his wife were arrested today in connection with an investigation by the Iowa Alcoholic Beverage Division and Department of Revenue.

Council Bluffs Police said Frank and Cindy Hoover were arrested on suspicion of ongoing criminal conduct, a Class B felony, and various tax evasion and reporting violations.

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Police said local officers and investigators from the State of Iowa’s Department of Revenue and the State’s Alcoholic Beverage Division served search warrants on two Council Bluffs bars: Bier Fest — formerly known as Cube Ultra Lounge — 162 W. Broadway, and Rodeo Saloon & BBQ, 164 W. Broadway.

Authorities suspect the owner of these businesses, Frank Hoover, of committing tax fraud. Cindy Hoover, Frank’s wife, is the owner of Broadway Properties LLC, which owns the buildings in which the two bars operate. Since 2017, the Iowa Department of Revenue has reportedly not received personal individual income tax filings for either Frank or Cindy Hoover, and no corporate filings for the Cube Ultra Lounge, Rodeo Saloon & BBQ, or Broadway Properties, police said Tuesday. The investigation has also determined that Frank Hoover has allegedly under-reported more than $1.4 million dollars in sales revenue, to the State of Iowa, for the two bars, since January 2018.

An additional search warrant was served this morning at the Hoover’s personal residence, in the 300 block Perrin Place, police said. After being questioned by investigators, both Frank and Cindy Hoover were arrested and booked into the Pottawattamie County Jail.

The investigation is ongoing, police said, and anyone with additional information or knowledge of the situation can call the Council Bluffs Police Department at 712-328-4728.

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