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Cipriani Family Settles Debt Dispute with Capital One Bank

By DNAinfo Staff on October 19, 2010 10:56am

Capitol One had planned to auction assets from the Cipriani restaurants, including this one on 42nd Street, before a judge stalled it in September, according to the Post.
Capitol One had planned to auction assets from the Cipriani restaurants, including this one on 42nd Street, before a judge stalled it in September, according to the Post.
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Flickr/AltaCucinaSociety

By Olivia Scheck

DNAinfo Reporter/Producer

MANHATTAN — The famed Cipriani restaurant family has survived yet another blow to its Manhattan empire, according to published reports.

Family members were expected to appear in Manhattan Supreme Court on Tuesday to fight a lawsuit claiming they owed $4 million to Capitol One Bank, according to the New York Post.

An auction to sell off the restaurants' assets – everything from kitchen appliances to "signature recipes" – had been scheduled by the bank for Sept. 7, before being stalled by a judge last month, according to the paper.

But the Ciprianis, who own some of the city's most popular venues for high-end celebrations, announced just one day before the planned appearance that they had come to an agreement with the bank, according to the Post.

Giuseppe Cipriani, who helped create the family's restaurant empire, left the country with his father, Arrigo Cipriani, after they were convicted of tax evasion in 2007.
Giuseppe Cipriani, who helped create the family's restaurant empire, left the country with his father, Arrigo Cipriani, after they were convicted of tax evasion in 2007.
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Evan Agostini/Getty Images

"We are pleased that we have resolved our dispute with Capital One Bank," they reportedly announced in a statement, declining to provide further detail about the deal.

This most recent disagreement was just one of many setbacks for the beleaguered restaurateurs, which included a conviction for tax evasion, accusations that they violated labor laws and an attack by a swarm of bees.

The Ciprianis currently own five restaurants in Manhattan, including Cipriani Dolci, which overlooks Grand Central Terminal and the sprawling downtown event space, Cipriani Wall Street, according to their website.

The family had also operated the iconic Rainbow Room restaurant, atop the Rockefeller Center, before they were evicted for allegedly not paying their rent last year, the Post reported.