PHG EXEC Acknowledges Unpaid Taxes, Cash-Flow Problems | WATCH

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Last week, Pride Holdings Group (PHG) COO Joshua Cooper acknowledged mistakes, cash-flow problems and other issues facing the company during an exclusive, two-hour interview with OutSFL.

But there was a lot more to discuss.

This week, OutSFL is taking a closer look at what Cooper said about PHG’s payroll taxes, employee paychecks and paperwork problems — including some issues he acknowledged and others where he disputes allegations about what went wrong.

“We still owe that money,” Cooper said of payroll taxes.

Cooper said the company has set up payment arrangements with the IRS.

PHG operates Johnsons, the longtime Wilton Manors strip club that has faced a series of financial and legal questions in recent months. Those include allegations involving unpaid taxes, payroll problems and business records that former owner Matt Colunga says remain in his name.

Back Taxes 

Cooper acknowledged problems involving PHG’s payroll tax filings but attributed some of those problems to how the company’s payroll system had previously been set up by former CFO Paul Messina and Jeff Sterling.

“What happened with the payroll tax issue was the fourth quarter 2025 reports were never filed,” Cooper said.

Sterling disputed Cooper’s characterization, telling OutSFL that PHG could have made the tax payments regardless of problems with the filings.

“If you are talking about not making tax payments — then it’s simple. They chose not to. At any time they could have made tax payments,” Sterling said. 

Cooper said problems with the filings were eventually corrected after the underlying system was rebuilt and previous data entered. Payroll taxes are now automatically swept into another account and paid monthly. “We have no choice.” That has to happen so we can keep our payment arrangements.”

Payroll Problems 

Current and former employees have told OutSFL that payroll checks from Johnsons and other PHG-operated venues were returned on multiple occasions this year. Employees have also said the problems affected credit-card tips that would normally be included in their paychecks.

Cooper acknowledged the payroll problems and said employees are currently permitted to take credit-card tips home in cash.

Cooper said managers have tried to prioritize employee pay as PHG has dealt with cash-flow problems.

“As we’ve been having these issues with paychecks, we’ve done everything. It’s more important to me that the staff gets paid...”

Licenses and Other Records 

Colunga has raised additional concerns about liquor licenses, leases and other records that he says were not properly transferred after PHG took over Johnsons.

He fears he could face liability if certain licenses, leases or other records remain associated with him. Cooper disputes that PHG bears responsibility for initiating some of those transfers. 

“You can’t go into a lease and say ‘hey Mr. Landlord, can you [take care] of this?’ That has to be handled on the other side,” Cooper said. 

However, he acknowledges PHG should have been following up.

“There’s plenty of blame to go around between the owners of businesses not transferring stuff and us not doing our due diligence to see that it was transferred.”

Cooper also acknowledged that some bills were intentionally delayed as the company dealt with cash-flow problems.

“Was the water bill put off until the last possible minute? Yes. Because that water bill represented three employee paychecks. I’d rather pay a fee with the city than have someone’s paycheck bounce.”

Cooper said closing the AquaPlex locations in Oakland Park and Key West was another difficult decision. He said the venues were losing between $30,000 and $50,000 per month.

“AquaPlex had to be closed to save Johnsons.”

PHG

Screenshot via Greater Wilton Manors, YouTube.

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