Singer Rihanna is facing opposition in the lawsuit she filed in 2012 against her former accounting firm and two accountants for “gross mismanagement” of her finances, costing her millions of dollars during her 2010 “Last Girl on Earth” tour. According to her complaint: “In 2005, when [Rihanna] was 16 years old, Berdon LLP was hired to provide her with accounting, business and financial management services for all aspects of her rapidly growing music career." Berdon reportedly took “exorbitant and excessive" commissions from Rihanna during this time, and as a result, the singer is seeking unspecified damages from the firm and the two accountants. Well, those accountants are now moving to have the lawsuit dismissed prior to May 12th when it is slated to go to trial.
Peter Gounis, one of the singer's former accountants, said in a Manhattan federal court filing on Wednesday: “The tour was very expensive ... The tour was what she wanted, just as the exorbitant amount of expensive clothing and other purchases she squandered her money on were.” The filing continues on to state: "Peter Gounis … had no role or responsibility for how much money was made and/or spent ... The tour did not make as much money as projected … Gounis, however, did not leave the tour to go act in a movie, [Rihanna] did."
You may recall that in her complaint, Rihanna, now 26, alleges that she was "effectively bankrupt" at the end of 2009 thanks to advice from her accountants. Specifically, the singer claims she had $11 million in cash in January 2009 but just $2 million left at the end of the year and alleges that much of this was because her accountant told her to buy a Beverly Hills mansion for $7.5 million, which turned out to be "moldy and leaking." Rihanna ended up selling the home at a $2 million loss and firing Berdon LLP in 2010. According to court docs, "Mr. Gounis was fully apprised of Ms. Fenty’s financial condition, yet, nonetheless, failed to advise her that the purchase would be unwise."
To this, Gounis' filing states: "At the core of her claim is this belief: someone else is responsible for her conduct and its consequences." More to come ...