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Darbar India Grill, owners convicted after underreporting $280K in tax

Prosecutors alleged the restaurants evaded paying more than $280,000 in sales tax.
Darbar India Grill in Minneapolis.

Darbar India Grill in Minneapolis.

Two restaurant owners and their restaurants have been pleaded guilty to multiple tax crimes after underreporting sales taxes over a five-year period. 

Lakhvir Singh Padda, of Medinal and Baljit Singh, of Eagan, own Darbar India Grill, which has restaurants in Minneapolis and Apple Valley. They were charged last summer, accused of knowingly underreporting sales tax collections for their two restaurants from July 2014-July 2019. 

Prosecutors alleged the restaurants evaded paying more than $280,000 in sales tax. 

The two men recently pleaded guilty and were sentenced in Hennepin County District Court. 

Padda pleaded guilty and was convicted of three felony counts of aiding in the filing of false or fraudulent sales tax returns (he was charged with 55 felony counts), and was ordered to pay more than $468,000 in restitution and was sentenced to five years of supervised probation and to serve 180 days in the Hennepin County Workhouse or in-home detention. 

Singh also pleaded guilty and was convicted of two felony counts of aiding in the filing of false or fraudulent sales tax returns (he was charged with 10 felonies). He was ordered to pay $19,000 in restitution and was sentenced to two years supervised probation and has to serve 60 days at the workhouse or in-home detention. 

The business Darbar India Grill was convicted of 62 felony counts of failing to pay or collect sales tax (it was charged with 62) and was ordered to pay more than $468,000 in restitution. The Apple Valley location was convicted of 31 felony counts (it was charged with 31) and ordered to pay $19,000 in restitution. 

The Department of Revenue says most of the criminal cases like this come from public tips. Anyone with information on people who are violating tax law is asked to call 651-297-5195 or submit a tip via email at 

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