Real Housewives of Beverly Hills star Erika Jayne’s claim of potential fraud in her ex-husband Tom Girardi’s bankruptcy case was dismissed in court. Girardi and his law firm were accused of embezzling $18 million from clients, leading to bankruptcy. Jayne was sued for the return of $25 million spent by Girardi’s firm on her company, but she denies having knowledge of his alleged misdeeds.
Real Housewives of Beverly Hills star Erika Jayne’s claim of potential fraud in her estranged husband’s bankruptcy was dismissed in court, with the trustee arguing that there is no evidence to support her allegations.
Title: Real Housewives of Beverly Hills Star Erika Jayne’s Bankruptcy Fraud Claims Dismissed in Court
In a recent court development, Erika Jayne, a prominent cast member of Real Housewives of Beverly Hills, saw her claims of potential fraud in her estranged husband’s bankruptcy case being disregarded. The legal woes surround her ex-husband, Tom Girardi, and his law firm Girardi Keese, who were forced into bankruptcy in 2020. Girardi, once respected in the legal profession, faced accusations of operating a Ponzi scheme-style operation in which clients were promised financial settlements that were never paid out. These allegations resulted in charges of wire fraud against Jayne’s husband earlier this year.
Bankruptcy and Lawsuit Details:
Court documents revealed that Girardi and his associates were accused of embezzling a staggering $18 million from clients between 2010 and 2020. As part of the bankruptcy proceedings, Jayne found herself being sued for the return of $25 million that Girardi’s firm allegedly spent to cover expenses for her own company, EJ Global. This lawsuit was initiated by the trustee appointed to oversee Girardi’s law firm’s Chapter 11 bankruptcy.
Jayne’s Denial and Recent Developments:
Erika Jayne has consistently denied having any knowledge of her husband’s alleged criminal activities. Recently, the trustee overseeing the bankruptcy case sought permission to make payments to a list of creditors, including a man named Joseph Ruigomez. Ruigomez had sought Girardi’s legal representation following a gas pipeline explosion in 2010, which resulted in the loss of his girlfriend and severe burns covering over 90 percent of his body. Ruigomez claimed that Girardi had failed to pay out the $11.5 million settlement he received from Pacific Gas and Electric Company (PG&E).
Jayne’s Motion and Ruigomez’s Response:
In response to the trustee’s request, Erika Jayne filed a motion expressing sympathy for Joseph Ruigomez but implying that he had already received millions of dollars. Her lawyer argued, “The Ruigomez creditors, while wholly deserving, already have received tens of millions of dollars in cash and other value from GK.” Jayne’s motion attempted to delay Ruigomez’s payment in the bankruptcy proceedings. In turn, Ruigomez fiercely contested Jayne’s motion, claiming that she had made baseless fraud allegations in the past. The trustee subsequently dismissed Jayne’s arguments as lacking merit and evidentiary support.
The ongoing bankruptcy case involving Erika Jayne and her ex-husband Tom Girardi continues to unfold with new developments emerging in court. While Jayne’s claims of fraud in the bankruptcy proceedings were dismissed, the trustee overseeing the case asserted that legitimate creditors should be paid as per their actual losses. As the legal battle rages on, the future remains uncertain for Jayne, Girardi, and all the parties involved in this intricate and high-profile bankruptcy case.
Source: MEGA; BRAVO (Date: August 10, 2023)