Debbie Allen is taking several people to court for allegedly stealing a staggering amount of money from her company.
According to RadarOnline.com the choreographer is suing her former business managers, Keepers Financial, Nigro, Karlin, Segal & Field LLPs, and several other individuals. She claims the groups embezzled $1 million from Red Bird Productions.
Court documents state that Debbie hired Keepers as her business managers back in 2005. However, one of its employees, Diane Schumacher, wasn’t keeping up with her responsibilities. Specifically, Diane was usually behind on paying Debbie’s bills–that is, when she decided to pay them at all.
The suit states that "Plaintiff’s bills were regularly paid late, resulting in excessive late fees to Plaintiff’s detriment. Sometimes bills were not paid at all, causing Plaintiff’s accounts and credit cards to be suspended and/or terminated."
Debbie didn’t find out until September 2009, thanks to a tip from Keepers owner Nicole Katz, that Diane was “fraudulently embezzling, co-mingling, converting, and transferring monies belonging to Allen and Red Bird Production for several years, and that this fraudulent activity had gone undetected or willfully ignored by the other named Defendants.”
Nicole later filed a police report against Diane, who had been forging Nicole’s signature on checks, for identity theft.
Debbie, understandably, was furious over the fact that such ongoing fraud and embezzlement went unnoticed by the company and its employees for so long.
— Sonya Eskridge
Everything old is a new again in ‘Fame’