A former business partner of a convicted New York City congressman charged with tax fraud entered a guilty plea Tuesday. The said charge is linked to the case of the convicted imprisoned Republican politician.
Bennett Orfaly, 51 years old, pleaded a guilty during a court proceeding in a Brooklyn federal court in New York, according to Reuters. Orfaly admitted, back in the year 2009, he collaborated in the preparation of a "false tax return" for Pita Grill Murray Hill, one of the restaurants he owned.
He and the former U.S. Representative Michael Grimm were former business partners on another restaurant, on which Grimm was imprisoned. The criminal case is focused on the two, involving tax fraudulent, where Orfaly gave a false tax return information in order to "substantially underestimate" the gross receipts of the restaurant.
According to Daily News, Orfaly and his restaurant owes the government worth of $550,000 and $1 million starting from the year 2009 to 2012. A court filing last week said the case was related to the one against Grimm, where Orfaly and the former US politician also committed a similar tax fraud scheme on their co-founded restaurant business, Healthalicious.
The former business partner established the Upper East Side restaurant back in the year 2006. Orfaly, who has close ties to a member of the Gambino family, Anthony Morelli, faces up to three years of imprisonment, New York Post reported.
Though, being a close associate to Morelli, James DiPietro, Orfarly's representing lawyer denied the connection of the case to mafia-related activity. Federal prosecutors allege, Orfaly still has contact with Morelli despite being locked up in prison for tax fraud and racketeering.
Grimm was sentenced in July to eight months in prison after pleading guilty to tax fraud in connection with Healthalicious. He formerly represented a district that included the New York City borough of Staten Island and parts of Brooklyn.
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