Rihanna has reportedly lost tens of millions of dollars from her former accountants, suing them on Thursday for the losses, particularly a failure to recommend she trim expenses when a 2009 tour was losing money during an ongoing audit by the Internal Revenue Service. She is also blaming them for poor bookkeeping.
The lawsuit was held in federal court in Manhattan against New York-based Berdon LLP and two accountants seeking unspecified damages.
The singer’s attorneys have stated that the defendants drained tens of thousands of dollars from revenue. This was during the time she launched four national and international tours over a five-year period.
In 2009, the “Last Girl on Earth” tour had significant net losses despite the large revenues, the lawsuit said. The lawsuit continued to explain the defendants pocketed 22 percent of the tour’s total revenues while paying Rihanna just six percent.
Rihanna’s lawyers also blame the accounting firm for an ongoing IRS audit of her tax returns because she was forced to spend money to correct errors from negligence.
According to the lawsuit, Rihanna hired the accountants in 2005 when she was 16 years old. She allegedly says that they breached their agreements multiple times, engaged in misconduct, paid themselves commissions, failed to document revenue, created entities with disregard of the effects on her taxes, and more. As of now, a spokeperson for Bredon did not have a comment.
[via Yahoo]
