This story is in the NY Post as well, and probably in the news in and around NYC. This is not good press for Smith & Wollensky ... the $200.00 is just a fraction of the money they will lose as a result.
I doubt it will impact their business in the slightest.
They will not lose a cent of business.
The place is packed every day.
And also their customers are not really individuals - they are firms: banks, law firms, consulting firms, etc.
If I were a banker taking out 10 clients for a steak, am I going to care about this one deadbeat's sob story and change my plans? Not in the slightest.
Will the clients, who are getting a free meal on my firm's expense line, care at all about this deadbeat's sob story either? No chance.
New Yorkers know that people scam restaurants all the time.