Feds file new charges against Michael Avenatti

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Feds file new charges against Michael Avenatti
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Federal prosecutors in California leveled fresh charges against Michael Avenatti on Thursday.

Prosecutors in the Central District targeted Avenatti with wire and bank fraud charges last month in a scheme that included allegations he stole funds from a client to pay off his own expenses. In New York, Avenatti faces two counts of extortion for his alleged role in what prosecutors called “an old-fashioned shakedown” of Nike.

In the new indictment filed Thursday, Avenatti is accused of stealing millions of dollars from clients who had been paid settlements. The money, which was supposed to flow through Avenatti to his clients when the settlements were paid, stayed with Avenatti, according to prosecutors. One of the clients who was allegedly never paid was Geoffrey Johnson, a paraplegic man on disability. Johnson won a $4 million dollar settlement against Los Angeles County in 2015. Prosecutors say that money was paid to Avenatti but was never given to Johnson.

“Mr. Johnson is the victim of an appalling fraud perpetrated by the one person who owned him loyalty and honest most of all: his own lawyer,” Johnson’s attorney Josh Robbins writes to ABC News. “His actions have left Mr. Johnson destitute.”

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