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IRS Busts Caesars Palace’s Serendipity 3 Owner Rowen Seibel

The Gordon Ramsay partner will serve one month in prison.

Rowen Seibel and Serendipity 3
Rowen Seibel and Serendipity 3
Facebook and Susan Stapleton

A verdict handed down in the case of "The United States of America v Rowen Seibel" has put the owner of The Strip’s Serendipity 3 behind bars. Seibel — who has been called "inept" and "fraudulent" by former colleague celebrity chef Gordon Ramsay — is currently serving a month-long jail sentence for hiding at least $1,011,279 in taxable earnings from the IRS. The judge in the case shortened the sentence from the federally recommended 12 to 18 months because it was Seibel's mother who established the account. The money was hidden away in undeclared "Swiss bank accounts and a Panamanian shell company."

According to Bloomberg and Page Six, Seibel said in court, "I continue to obsess over what a terrible disappointment I am to myself and my family." He had become "so stressed out by his arrest that he has gained weight and taken up drinking."

Seibel worked very closely with former Caesars vice president of food and beverage Jeffrey Frederick on multiple restaurant projects, including Gordon Ramsay Pub & Grill at Caesars Palace, Gordon Ramsay Steak at Paris Las Vegas, and Gordon Ramsay BurGR at Planet Hollywood Resort.

Meanwhile, Ramsay and Seibel are still deep into a $10 million legal war over who was responsible for the collapse of their Fat Cow eatery in Los Angeles. Rasmay’s team of lawyers have taunted their adversary, repeatedly referring to his "shortfalls," but more seriously claim "Mr. Seibel stole from the restaurant account" and used his connection with Ramsay to secure other deals, as he "traveled throughout the world blatantly mischaracterizing his rights under agreements governing restaurant ventures involving Mr. Ramsay."

Ramsay also once planned to open the under construction Gordon Ramsay Fish & Chips at The Linq with Seibel and Jeffrey Frederick as partners, but now only Frederick's Elite Brand Hospitality is part of the fast casual spot, still promised to debut in "late summer."

Following his release, U.S. District Judge William Pauley has ordered Seibel to "complete 300 hours doing food preparation in an underprivileged neighborhood" and to complete six months of home detention.

Caesars Entertainment has yet to release a statement revealing its future working relationship with the new convict. Seibel's dessert-focused restaurant Serendipity 3 remains open for business in front of the Caesars Palace resort.

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