A Pinecrest woman who spent decades running the purchasing cooperative that stocks thousands of Subway restaurants is now facing federal charges alongside her brother, accused of secretly pocketing millions of dollars in bribes from vendors who wanted to sell deli meats, cheeses and cookies to the sandwich chain. Janet Risi Field, 66, and her brother Steven Louis Risi, 70, of Coral Gables, were indicted on charges tied to what prosecutors describe as an $80 million bribery and money-laundering scheme.
Grand Jury Indictment Targets Former IPC Chief
Risi Field and Risi were indicted by a federal grand jury on multiple charges in what prosecutors say was a scheme that defrauded thousands of Subway franchisees, according to NBC 6 South Florida. As reported by WPEC, Risi Field helped establish the Independent Purchasing Cooperative in 1996 and served as its chief executive until she was pushed out in December 2021. IPC itself describes its founding in a 1996 filing, noting it was incorporated that September to serve as the purchasing and services cooperative for Subway franchisees in the United States, Canada, Puerto Rico and the U.S. Virgin Islands.
As IPC's longtime CEO, Risi Field allegedly entered into secret arrangements with brokers connected to vendors who were seeking contracts to supply Subway franchisees across North America, prosecutors say. Those vendor brokers allegedly shared a portion of their contract fees with Risi Field and members of her family in exchange for favorable treatment, the same account notes.
Shell Companies Allegedly Hid Tens of Millions
Prosecutors allege that Risi Field, her brother and other family members used shell companies to conceal more than $60 million in illegal bribe and kickback payments. The alleged proceeds reportedly funded homes in Florida and North Carolina, more than $400,000 in jewelry, private investments, private club memberships and other personal expenses, per the indictment described by the station.
Beginning in the early 2000s, Risi Field is also accused of creating a multimillion-dollar slush fund, with the indictment alleging it paid out roughly $25 million that primarily benefited her and others involved in the scheme, including payments to a personal assistant, housekeeper and handyman. Separately, the indictment alleges that about $3.4 million of the alleged proceeds went toward paying Risi Field's own credit-card bills.
A 2011 Lawsuit Settlement, Kept From the Board
Years before her ouster, prosecutors say Risi Field worked to bury evidence of the alleged scheme. Around 2011, a former IPC contractor brought a lawsuit alleging Risi Field had an inappropriate financial relationship with the cooperative's vendors, and prosecutors allege she caused a co-conspirator to pay about $8 million to settle that lawsuit while concealing the allegations and settlement details from IPC's board.
When IPC terminated Risi Field's employment in 2021, the organization's board of directors was allegedly unaware of the payments, and she walked away with more than $6 million in severance, according to the indictment. IPC, the nonprofit Risi Field helped build, is a Subway franchisee-owned cooperative that negotiates food, supply and service prices on behalf of thousands of franchise locations.
Charges Both Siblings Now Face
Risi Field and Risi are both charged with conspiracy to commit money laundering and two counts of engaging in monetary transactions in property derived from specified unlawful activity. Risi Field alone also faces wire fraud charges, per the same reporting. The allegations remain charges at this stage, and the case has not gone to trial.
The scale of the alleged scheme is notable given how central IPC became to Subway's operations over the years. The chain's store count nearly tripled between 1995 and 2009, a period when, according to SupplyChainBrain, IPC said it generated more than $1 billion in cumulative cost savings for the system between 1997 and 2009 by streamlining vendor relationships. IPC has since moved on from the Risi era entirely; QSR Magazine reported that Kirsten Michulka took over as president and CEO after Jan Risi retired from the role following more than 25 years leading the organization.
