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EXCLUSIVE: That 70's Show Star Danny Masterson's Company Files For Bankruptcy

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May 28 2018, Updated 10:20 a.m. ET

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That 70’s Show star Danny Masterson is in financial ruin. RadarOnline.com has learned that his company, Bellalily LLC – a Nevada based limited liability company – filed for bankruptcy last month.

DOCUMENTS: Read The Bankruptcy Papers Here

“There is a legitimate dispute here,” the company’s attorney, Darvy M. Cohan told RadarOnline.com exclusively. “As I see it, it is not all my client’s fault and the matter will be litigated.”

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The bankruptcy stems from a lawsuit filed against Masterson in March by TomatoBank to the tune of $2.9 million.

DOCUMENTS: Read The Masterson Court Papers

“Bellalily is a real property developer that is building a six unit apartment complex in Toluca Lake California intended to be turned into condominiums,” Cohan explained. “It had to file bankruptcy because it had a falling out with its major lender.”

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As RadarOnline.com previously reported, Masterson borrowed $3.2 million from TomatoBank in 2007 and after several extensions on payment, the bank eventually sued for $2,807,531 as well as accrued interest of $58,314 and delinquent property taxes summing $45,723.

“It is our intent to finish the project,” Cohan concluded. “We’re in bankruptcy to reorganize and ultimately finish the project and sell it and pay creditors where creditors are due.”

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