The secret Krusty Krab is a restaurant located on 124 Conch Street that appears in the episode "Banned in Bikini Bottom."
It was eventually shut down by Miss Gristlepuss and Al Priss, and arrested Mr. Krabs and SpongeBob for opening it illegally.
It is SpongeBob's house converted into a restaurant, namely the Krusty Krab. It has a cash register and tables like those in the Krusty Krab on the inside, with Patrick keeping guard of the door.
On the outside, there is a large white poster that reads "Grand Opening! The New Secret Krusty Krab!" in all capital letters.
Role in episode
Mr. Krabs opens the restaurant after Al bans Krabby Patties. Later, Miss Gristlepuss finds out about it after Plankton calls the police. She decides to have the secret Krusty Krab's employees arrested upon discovering that they are substituting an outlawed business.
However, after she trips and a Krabby Patty lands in her mouth, Miss Gristlepuss praises their deliciousness and apologizes to the Krusty Crew, deciding to reopen the Krusty Krab and not have them arrested.