Kansas Department of Revenue agents and Riley County Police Department officers seized the business assets of Maximillian and Lolita Collado, owners of Jasmine restaurant in the Manhattan Town Center food court, Wednesday morning.
According to warrants filed in Riley County, the business owed $15,450 in delinquent state sales taxes.
Kansas Department of Revenue agents and RCPD officers executed a “till seizure” warrant, seizing all known bank accounts, on-site cash, business inventory and personal property assets belonging to the Collados. Officers sealed off the restaurant, and the assets will be sold at public auction to pay the taxes owed.
Manhattan Town Center management declined to comment on the seizure and officials at the Kansas Department of Revenue said they were not able to discuss the specifics of the case.
Warrant execution occurs when all other collection attempts, including multiple letters, telephone calls, letters of impending legal action, tax liens, previous bank levies and on-site till taps are executed to bring a taxpayer into compliance have been exhausted.
Authorities said the seizure of assets resulted in the business being closed.
The Revenue Department’s standard practice is to encourage delinquent taxpayers, who are not lawfully filing or paying taxes, to voluntarily enter into a repayment agreement. It is unknown whether the Collados have entered such an agreement.