The owner of a Michelin-starred East Austin restaurant praised by several celebrities, including Prince Harry and Meghan Markle, is facing felony charges for an alleged insurance fraud scheme.

Alison Clem, owner of la Barbecue, is scheduled to appear in court in March for an arraignment hearing for the insurance fraud case. Clem is accused of opening a workers insurance policy and filing a fraudulent claim for workers’ compensation coverage.

In 2016, Aaron Gomez, a la Barbecue employee, suffered severe injuries to his hand while operating kitchen equipment at the restaurant. Clem had been operating la Barbecue without workers insurance since November 2014, according to the Texas Department of Insurance (TDI). Despite learning of Gomez’s workplace accident the same day, Clem contacted Paychex Insurance for workers’ compensation coverage four days later.

TDI’s Division of Workers’ Compensation conducted an investigation and determined that Clem “did not disclose her employee’s injuries to the agent but asked that the new policy be backdated to July 1, 2016, three weeks before the employee was hurt.”

Clem reportedly submitted the application for coverage claiming the business had no prior losses. Travelers Casualty Insurance Company of America approved the policy, as well as the claim for Gomez’s injury. According to TDI, Gomez received more than $350,000 in medical and indemnity benefits, and the insurance company is responsible for his lifetime care.

Clem and her business partner and wife LeAnne Mueller – who died in June 2024 – were charged and indicted for insurance fraud in Travis County in August 2022. The case has been open since then.

If found guilty, Clem may have to pay restitution and twice the amount that Travelers paid in benefits to Gomez.

Gomez filed a civil lawsuit against Clem and Mueller in 2023, alleging that the restaurant owners operated a kitchen with dangerous conditions and conspired to prevent him from recovering the full damages for his injury, MySA reported. The suit claims Gomez injured his hand while preparing sausages, as tasked by his bosses.

“Aaron’s glove got caught in the faulty grinder. It pulled in his left hand and destroyed all the fingers on his left hand except for his thumb,” the suit alleges.

Gomez also claimed that Clem and Mueller asked him to sign a form stating the injury was his fault.

This case also remains open, according to Travis County court records.

Despite having a pending lawsuit and facing felony charges, 2024 turned out to be a big year for Clem and la Barbecue.

Throughout the year major celebrities, such as Halle Berry and Dua Lipa, visited the restaurant and raved about it.

Prince Harry and Duchess Meghan Markle visited la Barbecue in March. The prince and duchess were in Austin for SXSW, where Markle gave a keynote speech.

Daily Mail reported that the prince and ducheess later called la Barbecue to say that the East Austin restaurant served them the best barbecue they had ever had.

La Barbecue scored a Michelin star in November.

Daily Mail pointed out that March 5 is a significant upcoming date for both Clem and Markle.

The duchess’ new Netflix series “With Love, Meghan” is scheduled to premiere on March 5. It was initially set to debut on January 15. However, the duchess pushed the premiere date due to the Los Angeles wildfires.

March 5 is also the date that Clem is scheduled to appear in court for the arraignment hearing in her insurance fraud case, according to Travis County court records.