Michael Avenatti's coffee chain reportedly failed to pay $3 million in taxes, as the lawyer used the company's funds to pay his rent, shop at Neiman Marcus, and more

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Avenatti allegedly transferred millions of Global Baristas' funds into his own accounts, using the money for rent and shopping at Neiman Marcus.

, in partnership with the actor Patrick Dempsey. Last March, as Avenatti's star was rising as Stormy Daniels' lawyer, the chain abruptly closed all remaining locations. In late October, a Chapter 7 involuntary-bankruptcy petition was filed against Tully's parent company, Global Baristas.

Avenatti allegedly obstructed the collection of taxes by the IRS by changing bank account information, lying to an IRS agent, and instructing Tully's employees to deposit cash receipts in the bank account linked to Avenatti's auto racing business. From September 2015 to December 2017, Avenatti allegedly caused roughly $2.5 million to be transferred from Global Baristas accounts to accounts associated with his law firms.

The grand jury additionally is charging Avenatti with two counts of bank fraud, after he allegedly submitted bogus financial information to obtain $4.1 million in loans from The People's Bank. As Avenatti pursued the loans, the indictment states, he provided false financial documents, including fake IRS filings and incorrect corporate financial material for Global Baristas and his law firms.

 

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Neiman coffee's not for me. Robbing Ugandan's land for plantations then employing them as slave labour

four categories: wire fraud, tax fraud, bank fraud and bankruptcy fraud.

When President?

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