Rihanna wins a multi-million dollar lawsuit against her former accountant
Rihanna has won a multi-million dollar lawsuit against her former accountant after she claimed he advised her to make a string of bad financial decisions which almost saw her go broke, after losing the star $9million in one year.
The Barbadian singer, real name Robyn Fenty, claims she was 'effectively bankrupt' at the end of 2009 after bad advice from accountant Peter Gounis of Berdon LLP.
After suing Gunis for $35 million it's now understood the firm have settled with pop star out of court for around $10 million according to the New York Post.
Rihanna says in the lawsuit that she had $11million in cash in January 2009 but just $2million left at the end of the year - mainly because her accountant told her to buy a Beverly Hills mansion for $7.5million which turned out to be moldy and leaking.
Her accountant okayed her decision to purchase a $7 million LA home even though she was fast running out of greenbacks.
Rihanna claims that her former accountant advised her to buy this mansion in 2009 for $7.5million which was riddled with problems including leaks and mold. She finally sold it at a $2million loss
'The defendants advised Ms. Fenty by e-mail that purchasing a home in Los Angeles ‘would be a good investment’ despite knowing Ms. Fenty was experiencing financial difficulties,' told Rihanna’s lawyer Edward Estrada to the New York Post.
The lawsuit claimed that she lost $9 million, leaving her with just $2 million at the end of 2009.
The singer also saw her expenses double at this time, according to recent documents filed as part of the 2012 lawsuit, the Daily News reported.
The 25-year-old, who is now worth $43million, said that Mr Gounis told her she could afford to purchase the home when she was actually running out of cash.
The trouble-ridden mansion ended up having to be sold at a $2million loss.
According to the Daily News, he wrote: 'At the core of her claim is this belief: someone else is responsible for her conduct and its consequences.'
The firm has now offered the singer a settlement of more than $10 million, and papers are due to be signed this week.
Reps for Rihanna, whose financial position has vastly improved recently after earning enough to put her worth at about $43 million.
The Barbadian singer, real name Robyn Fenty, claims she was 'effectively bankrupt' at the end of 2009 after bad advice from accountant Peter Gounis of Berdon LLP.
After suing Gunis for $35 million it's now understood the firm have settled with pop star out of court for around $10 million according to the New York Post.
Rihanna says in the lawsuit that she had $11million in cash in January 2009 but just $2million left at the end of the year - mainly because her accountant told her to buy a Beverly Hills mansion for $7.5million which turned out to be moldy and leaking.
Her accountant okayed her decision to purchase a $7 million LA home even though she was fast running out of greenbacks.
Rihanna claims that her former accountant advised her to buy this mansion in 2009 for $7.5million which was riddled with problems including leaks and mold. She finally sold it at a $2million loss
'The defendants advised Ms. Fenty by e-mail that purchasing a home in Los Angeles ‘would be a good investment’ despite knowing Ms. Fenty was experiencing financial difficulties,' told Rihanna’s lawyer Edward Estrada to the New York Post.
The lawsuit claimed that she lost $9 million, leaving her with just $2 million at the end of 2009.
The singer also saw her expenses double at this time, according to recent documents filed as part of the 2012 lawsuit, the Daily News reported.
The 25-year-old, who is now worth $43million, said that Mr Gounis told her she could afford to purchase the home when she was actually running out of cash.
The trouble-ridden mansion ended up having to be sold at a $2million loss.
According to the Daily News, he wrote: 'At the core of her claim is this belief: someone else is responsible for her conduct and its consequences.'
The firm has now offered the singer a settlement of more than $10 million, and papers are due to be signed this week.
Reps for Rihanna, whose financial position has vastly improved recently after earning enough to put her worth at about $43 million.
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