OAKLAND (BCN) — An Oakland entrepreneur best known for founding a medical marijuana company and appearing on a reality television show has agreed to pay the city $37,500 to settle a civil lawsuit, along with other members of his family, city officials said today.
The city sued Dhar Mann, a member of the Singh family that owns the city’s largest taxicab company, Friendly Cab, in 2012 after he and other defendants falsified claims against the city in order to secure redevelopment funds.
Mann founded the company “weGrow” and appeared on the television show, “Shahs of Sunset,” according to the city attorney’s office. In addition to Friendly Cab, his family owns a number of real estate and other business ventures, officials from the city attorney’s office said.
Mann’s attorney, Somnath Raj Chatterjee, said his client was pleased with the outcome of the settlement.
“Mann is happy to put to rest this dispute with the city, which has lingered for years,” Chatterjee said. “He has already moved on to other business ventures.”
In late 2013, Mann pleaded no contest to five felony counts related to the fraud scheme and in January 2014, he was sentenced to five years of probation and ordered to pay a $10,000 fine plus $44,400 in restitution.
The city secured an additional $37,500 as part of the civil suit, according to the city attorney’s office.
Chatterjee said that was a stark reduction from the “hundreds of thousands” the city was initially demanding.
“We’re satisfied with this resolution,” Chatterjee said. “We note that this settlement has resolved a number of issues between Mr. Mann, his family and the city of Oakland.”
Although the amount isn’t “huge” for the likes of Mann, City Attorney Barbara Parker said the settlement showed that her office would treat everyone equally when it comes to the fraudulent use of public funds.
“This lawsuit demonstrates that no matter how connected you are, or how much money you have, or how many photos of your Lamborghini you post on social media, we will hold you accountable if you attempt to defraud Oakland taxpayers,” Parker said in a statement.
The criminal and civil cases demonstrated that Mann and other defendants received at least six grant contracts totaling $75,000, but only $30,000 was directed to actual redevelopment projects, according to the city attorney’s office.
In some cases, Mann secured checks for contractors but deposited the checks in his own bank account instead. Other times, he claimed to pay
the contractors more than they actually received, according to the city attorney’s office.
As part of his criminal sentence, officials from the city attorney’s office said Mann is prohibited from applying for government grants or similar funding.