A Connecticut man who owned a holding company for several restaurants, along with various other entities, has been sentenced to a year in federal prison for tax evasion.
Vishal Dhar, 56, of New Canaan, was sentenced Monday by U.S. District Judge Stefan R. Underhill in Bridgeport to 12 months and one day in prison followed by two years of supervised release, according to the U.S. Attorney’s Office.
Court records show that Dhar “formed and operated various entities, including Grey Brown, Inc. (a holding company for several restaurants operating under the name Oaxaca Taqueria), West Partners, Inc., and NY Cloud Kitchens, LLC.”
From October 2013 to August 2023, Dhar reportedly failed to disclose “significant” income from his business and gifts from family members to the Internal Revenue Service. “Instead of paying his outstanding tax liabilities, Dhar paid off personal and business debts, invested in a new business venture, and paid various personal expenses,” officials said.
Dhar reportedly used financial accounts in the names other individuals and entities, paid for personal expenses with corporate funds and left off significant assets on IRS forms, according to court records.
“In addition, in the bankruptcy case In re Grey Brown Inc., filed in the Southern District of New York, Dhar failed to disclose the receipt of an Employee Retention Credit check in amount of $254,203.01 made payable to Oaxaca Atlantic Avenue, LLC,” officials said. “The Employee Retention Credit is a refundable tax credit for certain eligible businesses and tax-exempt organizations that had employees and were affected during the COVID-19 pandemic.”
Court records show that Dhar owed $272,390.07 in back taxes, penalties, and interest for the 2011 through 2020 tax years.
According to officials, Dhar, who pleaded guilty on May 23, has paid full restitution to the IRS.
Dhar, who is currently released on bond, is required to report to prison on Feb. 12, 2025, the U.S. Attorney’s Office said.
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