Erika Jayne has been sued for $25 million by the trustee handling the Girardi Keese bankruptcy case.
via Page Six:
The “Real Housewives of Beverly Hills” star was sued for allegedly knowing that her estranged husband Tom Girardi’s firm was paying for her expenses for at least 12 years. Now, the trustee in the bankruptcy case wants her to pay the firm back, per court documents obtained by Page Six on Friday.
The “XXPEN$IVE” singer, 50, was previously accused of using her company, EJ Global, to spend over $25 million from the firm on an American Express bill and glam squad, among other charges.
“She attempts to create a distinction between handing her money directly versus paying all of her bills directly,” the suit alleged. “The distinction, like her prior motion for reconsideration is meritless. Any payments made for her benefit are her responsibility.”
The trustee argued that just because Jayne claims she didn’t know about her husband’s financial issues, “it would be a miscarriage of justice if [she] was allowed to simply walk completely free of owing over $25,000,000 to the Estate.”
“Erika signed all of her tax returns, numerous credit card slips, and was well aware of the money she spent on the Debtor’s credit cards and the Debtor’s payment of her personal expenses,” the trustee alleged. “Her feigned willful blindness and ostrich approach to these expenditures will do absolutely nothing to limit her liability.”
The trustee argued that “the glam cannot be supported by a sham.”
The trustee wants the court to rule that Jayne needs to pay back the $25 million she allegedly spent plus interest.
Ronald Richards, the trustee’s attorney, told us in a statement on Friday that the suit was filed “to provide a come to Jesus moment.”
“The evidence is undeniable,” he argued. “The law firm paid out over $25,000,000 in expenses which were approved and generated by one person, Erika Girardi.”
“We are hopeful that Ms. Girardi comes down the mountain from a place of privilege and obscene wealth and returns some of these expenses so the former clients and creditors of this law firm can mitigate the horrific and unfair losses perpetrated by her husband and others,” he added.
He concluded while that Jayne is not responsible for “the full amount” of debt the firm owes, her paying back the money she allegedly spent would “go a long way in backing up her public claim that the victims should come first.”
Jayne’s estranged husband Tom Girardi’s now-disgraced firm owes over $101 million in debt.
Jayne’s lawyer responded to the suit on Friday, telling Page Six in a statement, “Unfortunately, the amended complaint is another example of the trustee and her counsel jumping to conclusions without a full investigation, and bullying and blaming Erika for actions taken by Girardi Keese for which Erika does not have legal liability.”
The lawyer added that the trustee is “overreaching” and will “say and do anything to hurt Erika, despite the law.”
“Erika will defend the case, and we will seek sanctions and all appropriate remedies for the claims brought in bad faith and without any legal merit,” her lawyer said.
We don’t know what to make of this, but “the glam cannot be supported by a sham” is hilarious!