Lifestyle Shatters in Court

Hiding money?

It was recently decided in a bankruptcy lawsuit that one of the stars of The Real Housewives of Beverly Hills, Erika Girardi, would be responsible for disclosing pertinent financial documentation. Her accountant, lawyer, and landlord have also been dragged into the deal and must supply the needed documents, such as bank statements, pay slips, and correspondence pertaining to the state of her finances. This bankruptcy battle began in December 2020, after it was discovered that Girardi’s husband, who is a prominent Los Angeles lawyer, was involved in the misappropriation of settlement funds that were promised as payment to the families of the victims of a 2018 Boeing plane accident.

The partners at the law firm sued Girardi’s husband, which has since evolved into a chapter 7 bankruptcy lawsuit. A month before the filing of the bankruptcy petition, Erika Girardi filed for divorce from her husband of 21 years. On the popular Bravo tv show, Girardi has explained the events that have led to the difficult decision to leave her husband. His shift in demeanor and accusations of an ongoing affair are two identified causes of the deterioration of the relationship. The spouses share a 32-year ago difference and have been referred to in the past as a strong couple. Speculation has been made against Girardi that she was privy to the fraudulent activities her husband was engaging in, and attempted to flee the situation before she could be implicated.

The bankruptcy lawsuit leaves little room for Erika Girardi to hide. On behalf of her two businesses, EJ Global, LLC and Pretty Mess, Inc., she is accused of accepting funds directly from her husband’s law firm, in the amount of $25 million. Despite her claims that she was unaware that the funds she was receiving from her husband were fraudulent, the attorney for the bankruptcy trustee is alleging misconduct. Thus far, the courts have not bought Girardi’s claims and based on the most recent development, there is a possibility that she may be held responsible to pay back the funds she received in full.