Michael Avenatti, who gained national fame representing porn star Stormy Daniels, stands accused of hiding millions of dollars in secret bank accounts during his firm’s bankruptcy proceedings. Avenatti’s former partner levels this accusation against the anti-Trump lawyer.
The Los Angeles Times reports: “Avenatti signed the reports under penalty of perjury as the firm’s managing partner and majority owner. But the reports did not disclose that Avenatti opened six bank accounts that received millions of dollars in legal fees during the bankruptcy, his former partner claims in court documents filed Tuesday night. The reports also divulged nothing about the personal compensation to Avenatti, which would have required permission from the bankruptcy trustee, the court papers allege. He used some of the money for personal expenses such as $13,000 in rent for his Century City apartment; a $3,640 payment on his Ferrari; $21,000 for Passport 420, an Avenatti company that owns a Honda jet; $150,000 for his troubled coffee company, Global Baristas; $53,600 for his ex-wife, Christine Carlin; and $232,875 for HTP Motorsport, his auto racing team, the records show. The court documents were filed by Jason Frank, a former lawyer at Eagan Avenatti who has been trying for eight months to collect a $10-million judgment that he won against the firm. Frank’s court papers allege that Avenatti’s bank maneuvers were an unlawful effort to dodge his firm’s creditors. “This includes brazen acts of bankruptcy fraud,” Frank’s lawyer, Scott H. Sims, wrote in the court papers. Avenatti denied wrongdoing.”
Avenatti is in a downward spiral in left-wing Democrat politics after he was arrested in a suspicion of domestic violence case. Avenatti was not charged.
CNN’s close relationship with Avenatti is coming under scrutiny.
CNN celebrities including April Ryan and Don Lemon have been photographed partying with Michael Avenatti, who was not charged but whose accuser filed for a restraining order against him.
Jeff Zucker’s network promoted Avenatti for months during the invented Stormy Daniels scandal, and members of their very own pundit posse were pictured with Avenatti on multiple occasions.
Here’s the Instagram post in which CNN analyst April Ryan described her good time with Avenatti on April 29. The sign behind April Ryan and Avenatti reads “The Drunken Journalist.”
“Was I singing “Stormy Weather” to Stormy Daniels’ attorney Michael Avenatti? You had to have been there to know why we’re both smiling so hard. #MichaelAvenatti #CNN #WHCD #WHCA,” April Ryan wrote in her caption to the photograph.
Don Lemon also partied with Avenatti.
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