The 36-count federal indictment earlier this month accusing California lawyer Michael Avenatti of bank fraud, tax fraud, wire fraud, identity theft and perjury includes an accusation that he embezzled approximately $1.5 million to buy a private plane when NBA player Hassan Whiteside made a $2.75 million payment to an ex-girlfriend as part of a settlement agreement, the Los Angeles Times reported on Sunday.
Avenatti, best known for representing porn star Stormy Daniels in her lawsuit against President Donald Trump, allegedly embezzled the money from Whiteside’s former girlfriend, Alexis Gardner, who hired the attorney to negotiate a settlement of a potential lawsuit against the NBA player.
The full story came to light in bank records, according to the L.A. Times.
“We entered into a mutually agreed upon settlement more than two years ago following the end of our relationship; a settlement that reflected Alexis’ investment of time and support over a number of years as Hassan pursued a career in the NBA,” Whiteside and Gardner told the Times in a statement released by his agent. “It is unfortunate that something that was meant to be kept private between us is now being publicly reported. We have both moved on amicably and wish nothing but the best for each other.”
Gardner is one of five clients from whom Avenatti allegedly stole money.
Avenatti has declared his innocence, saying “No monies were ever embezzled from anyone and I look forward to all of the relevant documents and facts being presented at trial.”
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