Avenatti has many other talents!

A former client of celebrity lawyer Michael Avenatti has accused him of running his law firm similar to a “Ponzi scheme,” pocketing the client’s money and allegedly trying to lend it back to him at a high interest rate.

In a claim filed with private arbitrator Judicial Arbitration and Mediation Services, Gregory Barela alleges Avenatti secured him a settlement and never gave him the money, but instead offered to lend it to him at 10 percent interest, the Daily Beast reported. Barela retained Avenatti for legal advice regarding an intellectual property dispute with an out-of-state company, according to court documents.

“Avenatti was operating his law firm in a Ponzi scheme like manner, taking settlement proceeds received for clients to pay off debts, pay the other individual Defendants’ salaries and bonuses, and fund his lavish lifestyle, while telling clients that the settlement proceeds had not been received or would be received at a later date,” says the claim, which also names two other lawyers at Avenatti’s firm.

Avenatti denied the allegations against him in a statement to the Daily Beast.

“These allegations are completely fabricated, bogus and fraudulent,” he said. “We have no idea where this is coming from or why someone would make up this ridiculous false story and deceive his attorneys.”

The claims against him come as the high-profile attorney has faced scrutiny over his representation of former porn star Stormy Daniels and domestic abuse allegations. The State Bar of California closed its professional misconduct investigation last year into Avenatti’s role in purchasing Tully’s Coffee.

Read the rest at: Avenetti

Previous article50 new justices to balance the liberal bench?
Next articleDemocrats want everyone paid EXCEPT the Coast Guard!
The Real Side
Posts categorized under "The Real Side" are posted by the Editor because they are deemed worthy of further discussion and consideration, but are not, by default, an implied or explicit endorsement or agreement. The views of guest contributors do not necessarily reflect the viewpoints of The Real Side Radio Show or Joe Messina. By publishing them we hope to further an honest and civilized discussion about the content. The original author and source (if applicable) is attributed in the body of the text. Since variety is the spice of life, we hope by publishing a variety of viewpoints we can add a little spice to your life. Enjoy!

 

Join the conversation!

We have no tolerance for comments containing violence, racism, vulgarity, profanity, all caps, or discourteous behavior. Thank you for partnering with us to maintain a courteous and useful public environment where we can engage in reasonable discourse.