State investigates downtown Palm Springs restaurant
A downtown Palm Springs restaurant was closed Wednesday for an investigation by a state agency at the business.
The Tropicale Restaurant was closed for the evening as agents with the California Department of Tax and Fee Administration, formerly known as the Board of Equalization, were on scene to serve a warrant aided by California Highway Patrol Officers.
Agents told our news crew the investigation is “tax-related.”
According to the agency they can not comment on the specific warrant, due to taxpayer confidentiality laws.
We reached out to CHP as well on their role, and we were told that the Warrant Service Team from the California Border Division in San Diego was the group that assisted the tax board with serving the warrant.
They also said there were no arrests and the operation posed no problems.
Patrons were turned away at the door and a sign was put up at the front door of the restaurant that reads:
“Due to unforeseen circumstances, The Tropicale will be closed for the evening. We will re-open tomorrow at our regular time. We apologize for the inconvenience and look forward to seeing you tomorrow!!”
According to the restaurant’s website, the Tropicale Restaurant was opened in 2008 in the heart of Palm Springs. A video on the restaurant site names Tony Di Lembo as co-owner and Executive Chef. According to an article on that page, Di Lembo was at one point Barbra Streisand’s personal chef.
Thursday afternoon we received a statement from Di Lembo on behalf of the Tropicale regarding the investigation:
“The Tropicale Restaurant is actively working with the California Department of Taxes and Fees Administration and has resumed normal operations as of today. We remain committed to provide the best dining experience in the desert and appreciate the understanding and loyalty of our guests who have enjoyed our journey for the last 10 years.”
The Tropicale Restaurant was back open Thursday at its regular hours.
Our news crew was told that the Copa Palm Springs nightclub, located next door to the Tropicale and owned by the same people, was not affected by the investigation and was open Wednesday night.
The California Department of Tax and Fee Administration says they deal with collecting and investigating California sales tax issues, and do not issue charges. If anything is found during their investigation they would turn over evidence to the California Attorney General’s Office or the Riverside County D.A.’s Office for potential charges.
Stay with KESQ News Channel 3 and CBS Local 2 for updates as the story develops.
More: I-Team and Stands for You investigations
Find us on Facebook: KESQ News Channel 3 & CBS Local 2
Follow us on Twitter for breaking news updates: @KESQ & @Local2
We’re on Instagram! @KESQ_News_Channel_3 & @CBSLocal2
Noticias en español: Telemundo 15
