A bar in Manhattan is facing a lawsuit for allegedly misrepresenting an employee’s identity, claiming she was an owner or director of the business. This misunderstanding has led to a hefty $2.5 million tax liability.
Alexandra Putnam served as a payroll processor and operations manager from 2016 to 2023 for Elizabeth Slavutsky and Armando Soto, the owners of Blue Dog Cookhouse & Bar, located at Two Worldwide Plaza in Hell’s Kitchen.
She also played a crucial role in the expansion into Florida, relocating in 2021 to help open a Blue Dog location in Boca Raton.
However, during the summer, Putnam started receiving tax notices indicating she was responsible for unpaid taxes related to Blue Dog. When she reached out to Slavutsky, he maintained it was an error, as stated in the lawsuit filed in Manhattan Supreme Court.
Shortly after, Putnam found her bank accounts frozen, revealing that she was wrongly listed as being $2.5 million in debt to the tax authorities.
“I’m having trouble sleeping, and my health has declined because of this situation,” said Putnam, who resides on the Upper West Side. She added that she’s unable to afford care for her elderly mother in Macedonia due to her frozen accounts.
In light of this, she has sought help from friends for financial support.
The lawsuit argues that the couple was aware of the situation but took no action to correct it.
“Alexandra needs to reclaim her life,” said her lawyer, James DeCristofaro.
Putnam is requesting the court to lift the freeze on her bank account, compel the New York Department of Revenue to refund the collected money, and declare that her former employers owe her $2.5 million in unpaid taxes.
Despite the ongoing issues, both Blue Dog locations are still operational.
The lawsuit also includes claims for defamation and fraud, seeking punitive damages. The complaint alleges that the defendants knowingly provided false information to financial institutions and government agencies, attributing Blue Dog’s debts to Putnam.
The restaurant has not yet responded to requests for comment.
