Michael Avenatti Charged With Money Laundering, Fraud

Michael Avenatti was arrested late Tuesday night in California and details regarding his arrest are beginning to surface. According to the Los Angeles Times, Avenatti is accused of money laundering and fraud while out on bail for his Nike extortion case.

It is believed that Avenatti illegally moved $1 million to another account in order to hide money from creditors that he owed money to.

“We understand in substance that the allegations have to do with fraud, money structuring, money laundering and other crimes by the defendant while he’s been on pretrial release,” Manhattan federal prosecutor Matthew Podolsky told Judge Paul Gardephe during a telephone conference, per the report.

While securing an arrest warrant, prosecutors claimed Avenatti “has brazenly attempted to defraud and conceal his assets from these creditors.”

From the report:

https://www.instagram.com/p/ByCINSSpUnJ/

In documents filed in the federal court, they allege that Avenatti received the $1 million in legal fees in April as part of a client’s settlement, but concealed the money from his second ex-wife, Lisa Storie Avenatti, a former law partner, tax authorities and other creditors. Avenatti’s latest arrest took place at a California State Bar Court hearing where the bar was seeking to block him from practicing law while he faces fraud, extortion and other charges in the three federal indictments. Prosecutors and the State Bar say he stole millions of dollars from his own clients.

Avenatti is scheduled to go on trial in New York federal court related to allegations that he attempted to extort $20 million from Nike. It is believed Avenatti used the money to pay rent for a luxury apartment and Mercedes-Benz.

That is all the information that is available at this time. This article will be updated with new and relevant information should it become available at any time. If there is anything that we missed, please feel free to send an email to edit[email protected] and we will respond as soon as possible. 

Private School Therapist, 39, Busted for Sexual Relationship With Student
Private School Therapist, 39, Busted for Sexual Relationship With Student
Read More:
NewsNews
  • 10678531520930918