Former Kent bar owner receives prison sentence for tax evasion of $800,000

A former Kent bar owner received an eight-month prison sentence last Friday in U.S. District Court in Seattle and must pay $800,000 in restitution for multiple misdemeanor counts of failing to file tax returns.

Eric M. Galanti, 41, of Olympia, who owned Bourbon Jacks (aka Poppas Pub or Charlies Pub), 510 Washington Ave. N., also must serve one year of supervised release, according to a U.S. Attorney’s Office media release. In addition to the Kent bar, Galanti owned Alki Crab & Fish restaurant and the Admiral Pub, each in West Seattle. Bourbon Jacks, which was a country bar, has closed.

Galanti failed to file his business and personal tax returns between 2006 and 2012 while living a lavish lifestyle.

“He) enjoyed the lifestyle of the ‘rich and famous,’… but every single year when April 15 rolled around a light had to come on that you owed taxes…. This was a flagrant and ongoing offense,” said U.S. District Judge Richard A. Jones at the sentencing.

According to records filed in the case, the lengthy investigation by the Internal Revenue Service Criminal Investigation Division found that Galanti’s businesses were generating significant revenues, but he failed to keep accurate records. Bank records show two of the restaurants had deposits of more than $7.7 million between 2006 and 2011.

While he failed to file and pay his taxes, Galanti enjoyed a lavish lifestyle as he used forged tax documents to facilitate his purchase of a $400,000 yacht; took expensive trips to Hawaii, Las Vegas and the Caribbean; and paid more than $10,000 for Kenny Chesney concert tickets.

“As we approach tax day, Mr. Galanti’s sentence reminds us of our legal obligation to file complete and accurate tax returns with the IRS. Today (April 14), Mr. Galanti, who willfully failed to pay $800,000 in taxes, learned the consequences of neglecting his duty as an American and as a small business owner,” said special agent in charge Darrell Waldon of IRS Criminal Investigation, in a April 14 media release. “Instead of paying taxes, Mr. Galanti rewarded himself with lavish vacations and a new yacht. His decision to ignore his civic responsibilities caught up with him.”

More in Business

State unemployment rate falls to new low

Washington’s economy added 4,500 jobs in September and the state’s seasonally adjusted… Continue reading

Novinium hires chief operating officer

Kent-based Novinium, a provider of underground electrical cable rejuvenation services to electric… Continue reading

KDP presents inaugural Award Celebration on Nov. 7

Evening to recognize businesses and people who make a difference

Free job fair comes to Highline College on Oct. 23; more than 50 employers expected

More than 50 local employers with full-time, part-time and temporary job openings… Continue reading

Brown Bear Veteran’s Day free car wash is Nov. 11

As a way of saying “thank you” to the country’s military, Brown… Continue reading

King County assessor launches taxpayer transparency tool for November election

King County Assessor John Wilson today launched his November 2018 Taxpayer Transparency… Continue reading

FedEx to hire 850 positions in Seattle to help with the holiday season

Part-time positions. Big-time potential. FedEx expects to add more than 55,000 seasonal… Continue reading

Medicare 2019 open enrollment starts Oct. 15; get help in your local community

Medicare’s 2019 annual open enrollment period for prescription drug plans (Part D)… Continue reading

Most Read