Vanessa Roberts Avery, the United States Attorney for the District of Connecticut, has announced that Vishal Dhar, a 56-year-old resident of New Canaan, was sentenced to 12 months and one day in prison. The sentence was delivered by U.S. District Judge Stefan R. Underhill in Bridgeport. Following his prison term, Dhar will be under supervised release for two years due to tax evasion.
Court documents reveal that Dhar operated several entities such as Grey Brown, Inc., West Partners, Inc., and NY Cloud Kitchens, LLC. From October 2013 through August 2023, he intentionally failed to report substantial income from his businesses and gifts from family members to the Internal Revenue Service (IRS). Instead of settling his tax liabilities, Dhar allocated funds to pay personal and business debts, invested in a new venture, and covered various personal expenses. He utilized financial accounts under different names and paid personal expenses with corporate funds while omitting significant assets on IRS forms.
Additionally, during the bankruptcy case In re Grey Brown Inc., filed in the Southern District of New York, Dhar did not disclose receiving an Employee Retention Credit check worth $254,203.01 payable to Oaxaca Atlantic Avenue, LLC. This credit is a refundable tax benefit for eligible businesses affected during the COVID-19 pandemic.
For the tax years from 2011 through 2020, Dhar owed $272,390.07 in back taxes including penalties and interest but has since paid full restitution to the IRS.
Dhar pleaded guilty on May 23, 2024. Currently released on bond, he is required to report to prison on February 12, 2025.
The investigation was conducted by the Internal Revenue Service – Criminal Investigation Division with Assistant U.S. Attorney David T. Huang prosecuting the case.
