“Everything is a lie.”

Those are the words of Matt Colunga, founder of Johnsons and a former employee of Pride Holdings Group (PHG). During an exclusive interview with OutSFL, he talked about big dreams and what he says were broken promises from the bar and entertainment company.

Colunga said he sold the Wilton Manors and Tampa strip clubs to PHG with visions of traveling the world as part of an LGBTQ entertainment company. He said he was told he would live in Australia, help run the Stonewall bar in Sydney and expand the Johnsons brand.

“It sounded exciting. I get to see my brand go worldwide.”

Colunga said he was promised a salary of $180,000 a year, plus travel and other expenses. He says those plans never materialized.

“On the day of the sale, I asked for my employment package,” Colunga said.

Colunga said he never received the employment contract or health insurance he says he had been promised. He said he continued seeking answers from the company for months. The Sydney venue later closed.

Colunga said PHG CEO Tim Majors told him he respected both him and the Johnsons business and believed it fit the company’s goal of bringing LGBTQ venues under one umbrella, the Stronger Together theory. Colunga also said the Tampa Johnsons location was struggling compared with the Wilton Manors location.

Colunga said that after the Australia plans fell through, Mike and Jon Barrett approached him about working between the Wilton Manors and Tampa locations.

“They came in and said go back and forth [between Wilton Manors and] Tampa,” he said. “My expense reports were rejected. Now I’m doing the same exact job but for less money.”

Behind the Curtain

Colunga said the company’s public messaging increasingly differed from what he says he was hearing internally. According to Colunga, Majors told him, “We’re broke” and “We’re in financial distress.”

Colunga characterized the Barretts’ management style as bullying and intimidating.

PHG announced in a press release that Michael Barrett had retired as CEO and voluntarily returned more than 20% of the company’s common stock. Colunga disputes the company’s characterization of Barrett’s departure and claims Barrett was forced out.

Colunga said management repeatedly assured employees that new investors would soon provide millions of dollars in additional financing. He says he eventually stopped believing those assurances.

“It kept going on and on, lie after lie,” he said. “They had us lie to all these people knowing damn well they didn’t have the money.”

Financial Allegations

Colunga said the company has failed to make certain sales and employment tax payments for several months. OutSFL has not independently confirmed the status of those tax accounts.

Multiple employees told OutSFL that recent payroll checks were returned for insufficient funds.

On Tuesday, Aug. 18, Wilton Manors’ Johnsons was served a utility shut off notice.

Colunga says he is concerned he could face liability for actions taken by PHG after the sale. He, and an attorney suing PHG, says the company hasn’t done the paperwork to transfer tax responsibility and liquor license. He filed a police report so he can be on the record about his practical relationship with PHG.

“Six months later, bills are still in my name.”

Several PHG assets have closed in recent months including Aquaplex in Oakland Park and Key West, The Birdcage in Key West, and Lucky’s in Palm Beach County. PHG’s Lips in Chicago is also being sued.

For now, Colunga is looking for work and wants to see justice for anyone aggrieved by Pride Holdings.

“I’d love to see [Mike and Jon Barrett] go to jail. I’d love to see Tim Majors go to
jail.”

Photo via Greater Wilton Manors, YouTube.