July 2, 2021

By Delaney Sexton
Contributing Editor

Fraud Friday- “The Real Housewives of Beverly Hills” Star Erika’s Estranged Husband’s Law Firm Received a $1.5 million PPP Loan – then Filed Bankruptcy

The Girardi Keese law firm allegedly owes over $56.8 million to law firms, litigation funders, and other creditors in addition to the PPP loan Girardi received in April 2020. In December 2020, the law firm was involuntarily filed for chapter 7 bankruptcy.

Thomas Girardi faces other lawsuits and accusations of fraud along with the bankruptcy:

• Thomas Girardi and Erika Jayne are being accused of fraud by Jay Edelson and Edelson P.C. relating to a settlement with Boeing over the Lion Air crash that killed 189 people. Boeing paid an undisclosed sum to the families of the victims, but allegedly $2 million was never disbursed to the family and was embezzled by Thomas. He was held in contempt for misappropriation by a judge in Chicago
• Girardi’s partner in the law firm sued him in December in order to dissolve a separate venture and liquidate the assets. The partner and two others alleged that Giraradi never paid them their $315,000 in income. They also claim that Girardi took out a loan worth almost $7.5 million without their knowledge for his own personal gain. All three allege they suffered a $442,500 loss of equity each.
• Wells Fargo Vendor Financial Services is suing the firm for allegedly breaching a written agreement. Girardi and the firm entered five separate lease agreements with the bank and failed to pay their monthly payments. They allegedly owe $882,715 to Wells Fargo, and the bank is charging ten percent interest annually from the date of default.
• Erika Jayne filed for divorce from Thomas in November, but they are accused of divorcing to protect their money. A motion filed by the bankruptcy trustee alleges that the law firm transferred $20 million to Erika’s businesses over the years.

Sources:
Thomas Girardi’s Bankruptcy Case
Girardi’s PPP Record
Edelson Court Case