Grimm Ordered To Pay $149,000, On Top Of Jail Time, For Tax Fraud

Former Congressman Michael Grimm has been ordered to pay $149,000 in restitution, on top of an eight month jail sentence, for under-reporting almost $1 million in sales and wages at his former Upper East Side restaurant, Law 360 reports.

The money will be divided among three government agencies, with the State of New York collecting $87,000, the IRS $55,000, and the State Insurance Fund $6,700, according to the news outlet.

In December 2014, Grimm pleaded guilty to tax fraud and resigned from office days later. The charges came from a restaurant he owned before going into office, and were revealed during an inquiry into Grimm’s campaign finances.

Last month, a federal judge sentenced Grimm to eight months in prison, arguing the former Marine and FBI agent’s moral compass “needs some realignment.”

Before the sentencing, Grimm asked that he be spared jail time. He touted his service in the military and law enforcement as evidence of his “moral integrity” and said the tax violations were the result of being an unsophisticated businessman who was “ashamed to fail,” the Wall Street Journal reports.

Grimm also noted that going to jail for relatively small tax crimes is unusual. However, Grimm’s positions as a lawmaker, former marine, and FBI agent, which all require oaths to serve in the public’s interest, seemed to sway the judge to impose a harsh sentence, according to Law 360.