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Prolific developer Michael Shvo indicted on tax evasion charges

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The charges stem from his extensive art collection

Real estate developer Michael Shvo, perhaps best known for the Getty gas station-replacing High Line condo, and the planned tower at 125 Greenwich Street, has been indicted on tax evasion charges. On Thursday morning, he turned himself in at the Manhattan District Attorney’s office, The Real Deal reports.

The charges stem from his large art collection, and the Daily News reports that he is facing seven counts of criminal tax fraud, and could face up to 15 years in prison if he is convicted. It is likely that he will be bailed out today for $500,000, but his American and Israeli passports will remain with the authorities.

Assistant District Attorney Lisa White told the Daily News that Shvo, "engaged in a six-year scheme to evade New York State and local sales tax," and owed taxes on "the sale of art, furniture, jewelry and a Ferrari."

TRD reports that the developer owns artworks by Andy Warhol, Jean-Michel Basquiat, and Alexander Calder among others. A spokesperson for Shvo issued the following statement to TRD:

"Mr. Shvo looks forward to his day in court where he will mount a defense to all charges related to his art business and is confident he will be acquitted."

The spokesperson added that these charges "will not have any effect on his ongoing real estate development business," which apart from The Getty, and 125 Greenwich Street include the Renzo Piano-designed Hudson Square condo (he’s a stakeholder on this one). Sales on both The Getty and 125 Greenwich were scheduled to get underway this fall, but Curbed has confirmed that the sales launch for the former has been postponed indefinitely.

UPDATE: The spokesperson for Michael Shvo has since informed Curbed that Shvo has been released on bail, and that work on neither The Getty nor 125 Greenwich Street has been postponed but that an approval from the Attorney General's is expected in the next 30-60 days.