Delia’s tamales owner settles worker wage theft lawsuit

San Juan-based Delgar Foods, doing business as Delia’s Tamales, settled a wage theft lawsuit on Monday after nearly two-and-a-half years in court. 

Delia’s Tamales is a fast-growing company that had big plans for a $15 million factory in San Juan before becoming entangled in worker lawsuits. It had expanded to seven locations, six across the Rio Grande Valley, and one in San Antonio. 

In October 2023, attorney Douglas A’Hern of A’Hern Law Group in Houston filed a lawsuit on behalf of workers alleging that the popular restaurant failed to pay the minimum wage and overtime and kept payroll records for Social Security taxes paid by workers without legal status. 

Delia’s Tamales’ attorney, Laura Alaniz of Porter Hedges in Houston, claimed that the company’s starting pay was $11 an hour, that overtime was paid, that health insurance was covered 100%, that employees were eligible for annual bonuses, and that managers at Delia’s Tamales were earning $84,000 a year. 

Founder Delia Lubin testified she had not been involved in day-to-day operations since 2018 and instead held an ownership stake in the company, according to the lawsuit. 

In July 2024, FBI agents raided seven Delia’s Tamales locations, but no criminal charges have been made public since then. 

In October 2025, U.S. Magistrate Judge Peter Bray dismissed 24 of 27 workers from the initial wage theft lawsuit, describing their allegations as vague and unsubstantiated. 

The value of Monday’s settlement was not disclosed in court records. 

Delia is still listed as the manager of Delgar Foods, while Laura Lubin is secretary, Lorena Lubin is treasurer, and Sofia Lubin is vice president, according to state incorporation records.