According to the U.S. Department of Labor, the owner of three North Jersey restaurants was detained Thursday for defying a federal request for payroll documents.
Samad Uddin, also known as Saman Khan, allegedly rejected a December 2020 U.S. government administrative subpoena to establish if the employer’s pay methods conformed with the Fair Labor Standards Act.
Uddin owns Manhattan Halal Gyro King in Teaneck, Elmwood Park, and Paterson. According to court records, Wyckoff-based Manhattan Halal Gyro King LLC offers dine-in, delivery, and catering.
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Uddin did not comment Friday.
The U.S. Department of Labor’s Wage and Hour Division requested payroll documents from Uddin in November 2020 for a compliance inquiry.
According to the U.S. Department of Labor, Uddin did not respond to an administrative subpoena issued in December 2020.
“The Wage and Hour Division must have access to an employer’s data to ensure their business’ pay practices and other activities conform with Fair Labor Standards Act regulations,” said Philadelphia regional administrator Mark Watson Jr.
Watson said employers cannot evade legal responsibilities by refusing to comply with investigations and withholding requested data.
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The labor agency sought a court order in May 2021 and filed a motion to put Uddin in contempt and impose heavy fines, according to a statement.
In March, the government got a court ruling raising Uddin’s penalty to $1,000 a day and demanding $63,000 in existing fines. Uddin has a week to comply with the subpoena or be arrested.
Uddin’s arrest for subpoena noncompliance was granted on Monday. Federal court records show the U.S. Marshals Service detained Uddin on Thursday and took him to Newark federal court for a 15-minute contempt hearing.
Uddin was directed by Judge Susan D. Wigenton to submit the payroll information by Monday. Court records show Uddin was released following the hearing.
The contempt hearing materials say that Uddin represented himself.
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“The arrest of Manhattan Halal Gyro King’s owner Samad Uddin indicates that the U.S. Department of Labor will not tolerate an employer’s failure to assist with federal investigators,” stated New York Regional Solicitor Jeffrey Rogoff.
“U.S. Marshals by a federal court also indicates that we will utilize every available instrument to show employers are not above the law,” Rogoff added.
