'RHOBH' Star Erika Jayne Accused Of Using Shell Company To Receive Benefit Of $25 Million From Thomas Girardi, Bombshell Court Document Reveal She Benefitted From Alleged Tax Fraud Scheme For Years
Aug. 27 2021, Published 2:01 p.m. ET
The lawyer investigating Real Housewives of Beverly Hills star Erika Jayne for alleged embezzlement is questioning her claims she knew nothing about her husband’s alleged financial schemes.
According to court documents obtained by RadarOnline.com, the Bravo star was slapped with an amended federal lawsuit demanding she cough up $25 million. Jayne’s husband Thomas Girardi was forced into Chapter 7 bankruptcy earlier this year.
His creditors accuse him of screwing them out of tens of millions. His former clients, including orphans and widows, say he diverted their settlement funds to help maintain his lavish lifestyle with Jayne.
The once-respected lawyer’s former clients are even suing Jayne in federal court accusing her of helping Girardi embezzle millions. As RadarOnline.com previously reported, earlier this year, the trustee presiding over Girardi’s bankruptcy sued the Bravo star for the return money Girardi transferred to her and various luxury items.
The trustee says Girardi gave Jayne during their marriage when he knew his debts could not be paid. Jayne has refused to return a dime claiming everything in her possession is a “gift.”
Now, the trustee filed an amended lawsuit against the reality star and he went hard on her. He explains Jayne collected the money from Girardi through her entertainment company EJ Global.
The company was started in 2008 and Jayne is the only member. She also filed her income from EJ Global on her personal income taxes. She started a successor company called Pretty Mess, Inc in 2021. He claims the company was started to help hide her money from creditors.
“Specifically, it was only after she left Thomas Girardi and the Debtor stopped paying for EJG and Erika’s debts, did Erika incorporate PMI which does nothing different than EJG. Both entities are tax pass-through to the same beneficial owner, Erika Girardi,” the document read.
The trustee claims EJ Global is nothing but a “shell entity with no capital in it whatsoever, has a single owner, with no separate books, current bank accounts, or other indicia of corporate formally.”
“Clearly, if EJG was allowed to shield Erika Girardi from over $25,000,000 in expenses just spent on her, there would be an egregious inequitable result. The existence of EJG was merely an instrumentality to funnel a large-scale tax fraud from the Debtor to the benefit of Defendant Erika,” he claims.
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He says Jayne argues she didn’t receive the money personally and her company did. The trustee says this is “ludicrous” and says she is responsible for all money that went into EJ Global and all money spent.
The trustee goes hard writing, “It would be a miscarriage of justice if Defendant Erika was allowed to simply walk completely free of owing over $25,000,000 to the Estate. Erika signed all of her tax returns, numerous credit card slips, and was well aware of the money she spent on the Debtor’s credit cards and the Debtor’s payment of her personal expenses.”
“Erika believes she is above the law,” he writes.
