March 4, 2026
The operators of the restaurant Italia have been sentenced to a three-year business ban. Elvar Ingimarsson and Björgvin Narfi Ásgeirsson, former owners of Ítalgest ehf, the restaurant's operating company, were sentenced to a business ban by the Reykjavík District Court on January 12. The Supreme Court has now upheld the district court's ruling. Efling union initiated proceedings due to abuse, wage theft and violations of rights at the restaurant Italia, as well as at other restaurants run by Elvar and Björgvin Narfi, in September 2024. The union drew attention to numerous and serious violations of the rights of workers at the restaurants in question, which had been ongoing for a long time. Efling Board of Trustees adopted a resolution at its meeting on September 12, 2024, condemning the abuse of labor and wage theft at the restaurant Italia. After the meeting, a solidarity action was taken on Frakkastígur outside the restaurant. Efling then collected testimonies from employees who had worked in their company's restaurants, gathered data and presented them to draw attention to violations against workers. This created considerable media debate. The company Ítalgest was declared bankrupt on October 9, 2024. Elvar subsequently tried to claim that Efling legitimate actions had led to the bankruptcy. This was untrue, as a request for bankruptcy of Ítalgest had been submitted a week before Efling actions began. It therefore clearly showed the kind of impasse its owners had put the company in, with irresponsible operations and violations against employees. The District Court's judgment, and the confirmation of the Supreme Court, confirm the kind of violations that took place in the company's operations. The administrator of the bankruptcy estate of Ítalgest, Björn Þorri Viktorsson, demanded that Elvar and Björgvin Narfi be banned from business operations due to their involvement in the company, whose operations were more reminiscent of organized crime than restaurant operations. Thus, numerous unexplained payments were found from the company into the personal accounts of the partners, or to people with family ties to them. Claims against the bankruptcy estate amounted to around 116 million krónur, but almost no assets were found in it. Therefore, the partners, Elvar Ingimarsson and Björgvin Narfi Ásgeirsson, were sentenced to a three-year ban on business operations, which is the maximum penalty under the law. Efling welcomes the fact that what appears to have been organized, long-term criminal activity by the partners is being addressed. It is unacceptable that people can get away with violating workers for so many years, without any consequences. Here you can see Efling coverage of the criminal activities of Elvar Ingimarsson and Björgvin Narfi Ásgeirsson.