Manhattan District Attorney Cyrus Vance has cracked down again in pursuit of taxes allegedly evaded on art and antiques purchases. Real estate developer Michael Shvo, 43, was arrested and released on $500,000 bail after he pleaded not guilty at a hearing in Manhattan State Supreme Court. Two shipping companies used by Shvo are also listed in the indictment.

From 2010 to 2016, Shvo allegedly told auction houses and art galleries that purchases would be shipped overseas or out-of-state and therefore tax was not collected. Instead, purchases were shipped to his office or homes in New York, including an apartment on Columbus Circle and a house in the Hamptons, according to court documents.

“As alleged in the indictment, Michael Shvo went to great lengths to defraud New Yorkers out of more than a million dollars in tax revenue,” said District Attorney Vance. “This indictment puts other purchasers of fine art on notice: the purposeful evasion of New York State and City taxes is a tax crime, and those who scheme to avoid their obligations will be held criminally and civilly accountable."

New York Attorney General Eric Schneiderman has also recently pursued New York art collectors for tax evasion, resulting in tax settlements against developer Aby Rosen, and Victoria Gelfand, a Gagosian Gallery sales executive.