Rihanna Sues Accountants For Squandering Millions

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Rihanna has sued her former accountants for mismanaging the singer's finances, claiming they earned huge commissions yet cost her millions of dollars.

In a lawsuit filed in Manhattan federal court, the 24-year-old singer and her tour company, Tourihanna, is seeking an unspecified amount of damages.

The pop superstar's dealings with accountancy firm Berdon LLP and former employees Michael Mitnick and Peter Gounis are the subject of the lawsuit.

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The suit, first filed late in Tuesday ahead of the July 4 U.S. holiday, claims the accounting firm caused "significant financial losses" between 2005 and 2010.

She accuses the firm of charging "exorbitant" commissions from Rihanna's 2010 "Last Girl on Earth Tour" and mishandling Rihanna's foreign and domestic taxes.

"Between 2005 and 2010, Tourihanna suffered significant losses due to defendants' financial mismanagement and other acts and omissions," the lawsuit said.

Rihanna, whose real name is Robyn Fenty, is referred to in the suit as a financial novice who found fame at a young age and relied heavily on her accountants.

In 2005, the Barbados native was 16 years old and "a minor with a booming music career and no knowledge or understanding of financial matters whatsoever."

The lawsuit said the accountants concealed facts regarding her finances and earned commissions on Rihanna's revenue that was "exorbitant and expensive."

In addition, the firm assumed control over the singer's affairs beyond the industry standard and failed to maximize her personal net worth and long term wealth.

The lawsuit said Rihanna lost millions during "The Last Girl On Earth" tour after the firm failed to reconcile costs versus revenues while still paying itself millions.

It estimated that between 2007 and 2010, the accountants earned commissions equaling 23 percent of total tour income, compared with 6 percent for Rihanna.

The firm did not do monthly planning reports and performed little record-keeping of Rihanna's personal and business expenses, including those for Tourihanna.

For example, during 2008 and 2009, the accountants kept only 2 percent to 4 percent of all receipts for expenses charged on the singer's personal credit card.

It also failed to uncover millions in unpaid royalties and problems with the way in which Universal Music Group (UMG) was tracking Rihanna's song royalties.

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For the love of music~ you are really one sad bag of sucking stupid~money should not excuse immorality~money is not everything~God is~so be humble�~rihanna is immoral n she has no self respect�

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I hope you milk this case RiRi..... If she wants to be a slut let her be she is earning more money than you idiots... If i were you i would shut my mouth and work hard to earn millions ... Dumbass.. You have a right to your opinion but who gaves a SH!T loosers... You still at the bottom and she is at the top... NAVYRiRi Forever

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She is half drugged and masturbating half the time.what she expect? People are obviously going to take advantage of her dumb situation.

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She finally got up from her immature drunken state only when she realised her moNey is going~shame ~dirrty ass

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We all know our queen is got the hits.....and she happy and single, now say the opposite *wink wink*. Those accountants thought they were so clever, huh???? They going to court, she gonna sue their pants off lmaoooooooo....

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She will be claiming chapter7 if she doesnt win.This is why children need smart parents to guide contracts-toni b,tlc,amy w,nicolas c,lack of wisdom.

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I hope they take a beating over this.

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Who says the business is thriving? Maybe it thrived on the illl-gotten gains from Rhianna. I imagine there will be a lot of scrutiny on them from other clients IF they even decide to retain the firms services. Also, without receipts it's very difficult to recoup lost/spent monies. I hope she gets what's hers and they, if guilty, go to prison. Dirtbags. Not much worse than a their.

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The only good thing about this situation is that if Rhianna prevails she has a good chance of getting her money back since it all happened in the not to distant past and the accountants are still alive, kicking, and running a thriving business.... which means they can pay her back. Too often celebrities realize years after the fact that they've been defrauded, but then it is too late to recoup the money which the fraudsters have stolen and spent. Good luck Rhianna.

Rihanna Biography

Rihanna in England Rihanna is a young, hot and successful R&B singer who hails from the Caribbean island of Barbados. She is an artist signed to Def Jam... More »
Born
Birthplace
Saint Michael, Barbados
Full Name
Robyn Rihanna Fenty

Rihanna Quotes

I get asked about it all the time and I’m like, You’re asking, but you know the answer. I don’t even like to address it anymore.

Rihanna [on rumors that she dated Jay-Z]

Sometimes you just need your privacy. But it comes with the territory. There's no privacy when you are out in the public.

Rihanna
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