WASHINGTON -- A federal grand jury has returned a nine-count indictment against one city employee, who is accused of taking bribes from the operators of some of the biggest and most popular night clubs in The District.
Vincent Slater, a senior revenue officer with the Office of Tax and Revenue, is accused of taking money in exchange for reducing the tax bills of the night club owners over the course of five years.
Anthony Merritt, a former employee in the D.C. Department of Consumer and Regulatory Affairs (DCRA) is another accused co-conspirator. Prosecutors said he acted as the middle man.
The indictment charges Andre De Moya, who owned an interest in Eden Lounge, Cafe Asia and Echostage, as part of the conspiracy.
The indictment names Charles Zhou, who owned an interest in Muse Nightclub, and Arman Amirshahi, who owned an interest in Barcode nightclub and L8 Lounge. Zhou and Amirshahi are both not charged in the indictment.
Prosecutors said, in one instance, a tax bill from one of the night clubs was reduced from $258,000 to $42,000.
In exchange for the reduction, the city tax office official, Vincent Slater, was paid kickbacks that amount to more than $150,000.
Federal officials arrested Slater Wednesday morning.
Jeffery Dewitt, D.C.'s chief financial officer, confirmed Slater was a former supervisory revenue officer. Dewitt said he was arrested by federal authorities for fraudulently reducing business sales and using tax liabilities for several businesses.
He said the arrest follows an audit by the office that lasted two years and nine months. Dewitt added the investigation is continuing.
He also confirmed that Bobby Tucker, a former Office of Tax revenue employee is alleged to have paid bribes to reduce the tax liability of a client.
Officials from the Office of Tax and Revenue said the taxes that should have been paid will be recovered by tax liens and other enforcement mechanisms.
This is a developing story.