Erika Jayne’s Husband Tom Girardi's Bankruptcy In Danger Of Being Tossed Out Of Court Due To Alleged Fraud
Real Housewives of Beverly Hills star Erika Jayne’s husband is accused of defrauding his creditors and his bankruptcy is at risk of being thrown out of federal court.
According to court documents obtained by Radar, the trustee presiding over Tom Girardi’s involuntary Chapter 7 is asking the court to deny the once-respected lawyer’s discharge.
Earlier this year, Girardi was forced into bankruptcy by his numerous creditors including his former law firm partners, ex-clients, and lenders.
His law firm is accused of owing $101 million in debt with very little in assets. Girardi is accused of running his company like a Ponzi scheme. Many of his clients claim he won big settlements for them but then never paid out the money.
Jayne is accused of helping her husband embezzle his clients’ cash and using it to fund her lavish lifestyle. The trustee presiding over the law firm bankruptcy is suing the Bravo star for the return of $25 million.
In docs, Girardi is accused of using the firm’s money to pay the bills for Jayne’s company EJ Global. His former clients believe their money was diverted to Jayne who used it on her $40k-a-month glam squad.
In newly filed docs, the trustee is demanding the entire personal bankruptcy be thrown out and Girardi be forced to deal with his debts without the court’s protection. He accuses the now-disbarred attorney of hiding assets.
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The trustee reached this conclusion after reviewing Girardi’s financial records. He claims a 2020 financial statement, provided to lenders for cash, listed a $261 million net worth.
The statement, signed by Girardi, listed $89 million in real property, $116 million in cash, $44 million in securities and another $12 million worth of jewelry.
In court, the trustee says he has thoroughly investigated the financial affairs of Girardi and many of the “items listed on the 2020 Financial Statement cannot be found or located.”
As such, the trustee believes Girardi transferred or concealed assets in the past year before the bankruptcy was filed. Jayne’s husband has yet to respond to the lawsuit.
Girardi and Jayne are still facing accusations he embezzled $2 million from a group of orphans and widows.
For her part, the Bravo star has denied knowledge of her husband's financial dealings and has refused to return a dime.
