Tuesday morning, members of the Council Bluffs Police Department, along with 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 Dept of Revenue has 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. The investigation has also determined that Frank Hoover has 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. After being questioned by investigators, both Frank and Cindy Hoover were arrested and booked into the Pottawattamie County Jail. Both were charged with On-Going Criminal Conduct (a Class B felony), along with various tax evasion and reporting violations.

This is an ongoing investigation, anyone having additional information or knowledge of the situation can call the Council Bluffs Police Department at 712-328-4728. The Hoovers are presumed innocent until proven guilty beyond a reasonable doubt.