Superstar Developer Michael Shvo Indicted On Tax Evasion Charges
NYC developer Michael Shvo turned himself in to the Manhattan DA’s office after being indicted on tax evasion charges.
He was released on $500k bail, and handed over his US and Israeli passports. The charges surround Shvo’s art collection, although further details aren't clear, The Real Deal reports.
In addition to owning pieces from Andy Warhol, Alexander Calder, Jean-Michel Basquiat and Frank Stella, Shvo has hosted several art shows in the city. He also developed an exhibition of Francois-Xavier Lalanne’s sheep sculptures at the Highline’s Getty gas station site in 2014.
Shvo isn’t the first NYC developer to come under fire for art. Since NYC Attorney General Eric Schneiderman began focusing on art tax abuse, several art collecting developers have faced evasion allegations. For example, although he didn’t publicly confess to the charge, RFR Holding CEO Aby Rosen recently ponied up $7M to settle allegations of evasion on $80M in art.
A polarizing figure, Shvo generated buzz for his properties through partnerships with Philippe Starck and Giorgio Armani before entering semi-retirement in 2008. Before returning to the NYC market in 2013, he consulted on projects in cities across the globe and bought and sold art. Upon his return, he snatched a variety of properties around the city, including the Getty site, 125 Greenwich St, 100 Varick St, and the office portion of the Crown Building at 730 Fifth Ave. [TRD]