October
27, 2005
Michael
Countersues Schaffel
LOS ANGELES: Pop icon Michael Jackson, emerging from the shadow of his
child molestation trial, on Wednesday countersued a former aide for
allegedly concealing and misappropriating more than $US1 million.
The lawsuit filed in Los Angeles marks the second salvo in a sudden
flurry of legal activity by Jackson as he re-emerges into public view
following his acquittal on child sex charges in June.
Jackson, who is living in self-imposed exile in Bahrain, sued former
associate Marc Schaffel, who testified for the prosecution at Jackson's
child sex trial [TSCM Note:(you can delete note if you want) Schaffel
never actually testified at the trial] and who also has a career as
a prolific producer of gay pornography.
Schaffel had sued Jackson in November 2004 seeking more than $US3 million
in allegedly unpaid loans and other debts.
In his cross-complaint, Jackson contends that he entered into a written
agreement with Schaffel in August 2001 to produce his song What More
Can I Give?.
Schaffel also registered a business called Neverland Valley Entertainment,
an apparent reference to Jackson's Neverland Ranch.
The proceeds after expenses and a small royalty for Schaffel, who agreed
to pay for all costs, were to go to charity, according to the cross-complaint.
But Schaffel failed to pay production costs, according to Jackson.
Then after learning that Schaffel had produced and directed 400 gay
porn films under different aliases, Jackson fired him from the project
in November 2001 because he did not want Schaffel's other occupations
to adversely affect the success of the song, according to the court
papers.
Jackson alleges that after the agreement ended, Schaffel falsely represented
himself as affiliated with the pop star, receiving a $US500,000 fee
and $US500,000 dollars for expenses from Music Fighters Co in Japan
without reporting it to Jackson.
Schaffel "concealed funds, comingled funds, misappropriated funds,
charged expenses for matters un-related to the agreement, provided false
books of account and ... wrongfully profited," the cross-complaint
alleges.
Jackson also claims Schaffel kept $US250,000 in sculptures and paintings
from artist Romero Britto in 2003 that were supposed to be delivered
to the pop star.
In his suit against Jackson, Schaffel alleged Jackson owed him about
$US2.3 million in payments and loans to the beleaguered entertainer
between 2001 and 2004.
In addition, Schaffel also claims Jackson still owes about $US800,000
he was promised for producing two television specials about the pop
star.
The money loaned to Jackson, the lawsuit alleges, was frittered on buying
expensive jewelry for Jackson's super-famous pal Elizabeth Taylor and
paying his late friend Marlon Brando to appear at a Jackson concert.
The loans also allowed Jackson to "go on shopping sprees, buy gifts,
pay bodyguards, pay delinquent obligations to avoid lawsuits",
the suit said.
But Jackson attorney Brent Ayscough said Wednesday that Schaffel had
failed in two attempts to get a prejudgment attachment lien placed on
Jackson's Neverland Ranch in California's Santa Barbara County, north
of Los Angeles.
On Monday, Ayscough announced that Jackson, 47, had settled a lawsuit
brought against him by an antiques firm for allegedly failing to fully
pay up for a $US380,000 furniture.
Source:
http://dailytelegraph.news.com.au/story/0,...5001026,00.html / Gail
Felix-assistant to Angel Howansky |