| Amid
Stormy Daniels Trial Avenatti Mulls Firing
Federal Defenders and Represent Himself
By Matthew
Russell Lee, Patreon
Song
Radio
BBC
- Decrypt
- LightRead - Order
Affidavit
SDNY COURTHOUSE,
Jan 25 – Michael Avenatti's
financial affidavit to get a
publicly paid lawyer for his
Stormy Daniels case, which
Inner City Press formally
sought to have unsealed for
eleven months, were on July
27, 2021 ordered unsealed. Order.
Podcast here.
Aug 13 podcast here.
On the
weekend before trial there's
was a request to delay it, on
COVID policy and
Constitutional grounds. It was
denied.
The trial
started on the morning of
January 24. Inner City Press
live tweet here.
It continued in the afternoon,
with Stormy Daniels' literary
agency Lucas Janklow being
cross examined about being
introduced to Michael Avenatti
at a hotel bar, by Anderson
Cooper. Inner City Press live
tweeted, thread here;
stream here,
video here
On January 25,
the cross examination of
Janklow continues, then an
SDNY Special Agent and
Avenatti law firm staffer. But
in the middle, Federal
Defenders said Avenatti may
want to fire them and
represent himself. Judge
Furman said, Not so fast.
Inner City Press live tweeted
it, thread here:
US v. Avenatti,
Stormy Daniels case, Day 2.
Literary agent Luke Janklow
still on the stand,
cross-examined by Avenatti's
taxpayer-funded Federal
Defender.
Federal
Defender Dalack: So here you
called Sally Richardson saying
only $200,000 in first payment
was "asinine publishing
bulls*it."
Janklow: It's a
colloquialism. Federal
Defender: And Mr. Avenatti
wanted $300,000 up
front. Janklow: Yes.
Federal Defender: And you told
Mr. Avenatti about "Fire and
Fury." What's that?
Janklow: Another
Trump book. It made a lot of
money. [Inner City Press: even
with the free leaked PDF out
there] Federal Defender: You
trusted Mr. Avenatti, right?
Janklow: Yes.
Federal
Defender: So you were waiting
for Mr. Avenatti to take this
contract to Ms. Daniels and
get it approved, right?
Janklow: Yes. FD: Mr. Avenatti
was a folk hero for you?
Janklow: It was an exciting
moment.
FD: You were
aware he was doing work with
Ms. Daniels with respect to
her case against President
Trump? Assistant US Attorney:
Objection! Judge Furman:
Sustained.
FD: Why did
the publisher need to be
calmed down? Janklow: They had
not met the principal in
person, on a video call with
her. Judge Furman: By
principal, you mean Ms.
Daniels? Janklow: Yes.
Federal Defender
Dalack: You say you rejected
the proposed escrow clause out
of hand. But you forwarded it
to Mr. Avenatti, right?
Janklow: To show him how
absurd it was. Judge Furman:
Mr. Dalack, again, please
finish this line of
questioning.
Federal Defender:
You forwarded the contract to
Mr. Avenatti with the
signature, yes? Janklow: Of
course, with the signature.
Judge: This cross should end
in the next few minutes. FD:
Yes, Your Honor. I offer into
evidence LJ 157. AUSA:
Objection. Judge: Sustained.
FD: Mr.
Janklow, before Steve Cohen
counter-signed, you wanted to
consult with Mr. Avenatti,
right? Janklow: I don't
remember. Judge Furman: I'll
give you a couple more
questions and that's it. FD:
I'm wrapping up this chapter.
FD: May I
have a brief sidebar?? Judge
Furman: You may not. Please
have a seat. We'll see you at
[re-cross].
FD Dalack: Your
Honor -- Judge Furman: I don't
want to hear from you on this.
Mr. Janklow you are excused.
Dalack: We may call him during
our case.
AUSA: Did you
seize anything? Agent Ellard:
Mr. Avenatti's briefcase. I
conducted an inventory search.
I found an iPad, a passport,
things of that nature. AUSA:
What did you walk into court
with today. What is it? Agent
Ellard: It is a gray colored
MacBook Pro.
[And with
that, Agent Ellard is done.
Next witness will be by
video.]
Judge Furman: I'm
going to the jury a short
break now, ten minutes max, so
we'll take our lunch later
than usual. Keep an open mind
& do not discuss the case
or do any research. See you
shortly.
With jury out of
the room: Judge Furman: I
don't think a single question
Mr. Dalack asked this morning
was relevant to this case.
Federal Defender: I had a
whole other chapter to discuss
with Mr. Janklow how poorly
the book did - due to her own
failings.
Federal Defender:
Mr. Janklow took money from
the publisher before he had a
signed fee agreement with Ms.
Daniels. Judge Furman: I
gave you warnings, you failed
to take the hint. Federal
Defender Dalack: May I confer
with Mr. Baum? Judge: Do
whatever you want.
They're back
and... Federal Defender Baum:
A serious issue has arisen
about our continued
representation of Mr.
Avenatti. We need a recess. He
may want to represent himself.
Judge Furman: It is a
qualified right until the
trial begins. Sit down, Mr.
Avenatti.
Judge
Furman: I have received a
communication by a lawyer for
a third party, Justin Loupe. I
am going to reject it.
Defense: We expect what Mr.
Loupe would say would go
beyond Ms. Daniels' cross
examination. Judge Furman: Get
the witness unmuted, please.
Next
witness is Jade Regnier,
formerly employed at
Avenatti's law firm. AUSA:
What was your role? Regnier:
As a paralegal I handed
exhibits for class actions and
contacting the members of the
class action, that type of
thing. As office manager I
oversaw the staff.
AUSA: What is
this document? Regnier: A
client agreement with Ms.
Clifford, a/k/a Stormy
Daniels. AUSA: What does A-K-A
mean? Regnier: Also known as.
AUSA: This provision about a
legal defense fund - was one
set up for Ms. Daniels?
Regnier: Yes, by
Mr. Avenatti. AUSA: Was the
money used only for Ms.
Daniels? Federal Defender:
Objection! Judge Furman:
Overruled. Regnier: No, it was
not only use for Ms. Daniels.
AUSA: What
did you hear Mr. Avenatti say
about how he and the firm
would make money from
representing Stormy Daniels?
Regnier: That they would make
money from the lawsuit against
President Trump.
AUSA: Now a
stipulation: a representative
of Zions would says, he or she
is familiar with the record
keeping of California Bank
& Trust. [This could take
a while]
AUSA: Ms.
Regnier, did you review these
charts and are they accurate?
Regnier: Yes. AUSA: Show this
to the jury.
AUSA: Mr.
Avenatti asked you to send him
this bank account information?
Regnier: Yes. AUSA: Let's
focus on this one. Regnier:
It's from Mr. Avenatti to
Lucus Janklow, with wiring
information.
AUSA: What
did Mr. Avenatti say about
spending Ms. Daniels' money on
his personal expenses?
Regnier: He did not bring it
up. AUSA: What was the
condition of his law firm?
Regnier: It was not good. The
firm was essentially evicted
from its offices.
AUSA: What
did Mr. Avenatti ask you to
pay from the law firm's money?
Regnier: His rent and his car
payment. He did not have the
money. AUSA: Did you make
payments to Lisa Storie
Avenatti?
Regnier: Yes.
She's Michael's current
ex-wife. AUSA: Did Mr.
Avenatti tell you to use law
firm funds to pay Mareli
Miniutti? Regnier: Yes. AUSA:
Who was she? Regnier: Mr.
Avenatti's then girlfriend.
AUSA: Why did the
law firm change from
California Bank & Trust to
City National Bank? Regnier:
The law firm overdrew at
California Bank & Trust.
Judge
Furman calls lunch for the
jurors then says: I'll give
Mr. Avenatti half an hour to
think about if he wants to
make a clear and unequivocal
request to represent himself.
If he does, tell me after the
break. But I will not take it
up until after the trial day
Judge Furman
again says that a defendant's
right to represent him- or
herself is a qualified right,
after the trial begins, to be
balanced with how a change
would impact the trial.
He adds, he
does not want to waste the
jurors' time. Live tweeting
will resume
On January 24
Inner City Press rushed down
to see if Avenatti speaks, as
before, on Worth Street
He did:
stream here,
video here
Judge
Furman released his juror
questions, asking each side to
respond by January 19 at 10
am. The questions include:
"Based on anything that you
have read, seen, or heard
about Mr. Avenatti, have
you formed any opinions
about Mr. Avenatti that might
make it difficult for you to
be a fair and impartial
juror in this case? 10.
Would you have any trouble
following my instructions to
put anything you may
have read, seen, or
heard about Mr. Avenatti out
of your mind and decide this
case based only on the
evidence presented at
trial? 11. Do you or
does any member of your family
or a close friend personally
know or have past or
present dealings with the
alleged victim in this case,
Ms. Clifford (also known
as “Stormy Daniels”), or
with any of her family
members?...
"Do you know or
have you heard of any of the
following people or entities,
which include the
lawyers in this case, people
who may testify at the trial,
and other names that may
be mentioned during the
course of the trial? •
Pamela Baez • Elizabeth Beier
• Thomas Bolus • Clark
Brewster • Christine Carlin •
Michaela Catando (also known
as Kayla Paige) • Dmitri
Chitov • Dwayne Crawford •
Jennifer Donovan • Anna Finkel
• Mark Geragos • Jack
Guiragosian • Holtzbrinck
Publishers • Luke Janklow •
Janklow & Nesbit
Associates • Geoffrey Johnson
• Global Baristas • Sean
Macias • Macmillan Publishers
• Susan McClaran • Benjamin
Meiselas • Travis Miller •
Mareli Miniutti • Erik Nathan
• Denver Nicks • Kevin Carr
O’Leary • David Padilla •
Brandon Parraway • Pro Tech
Security and Automation • Judy
Regnier • Sally Richardson •
Security and Automation LLC •
St. Martin’s Press • Enrique
Santos • Jessica Volchko •
Juliet Vicari • Donald Vilfer
25. Are you familiar with
anyone else present in the
courtroom, including your
fellow jurors, all Court
personnel, and myself?"
On October 14
Judge Furman held a proceeding
in the Stormy Daniels case and
Inner City Press live tweeted
it here
and podcast here
On August 10
Avenatti's Federal Defenders
filed a copy of the affidavit
with multiple redactions. The
form refers on nearly every
question to an attachment,
which is blacked out in absurd
ways. It reads, for example,
"I own stock in two closely
held companies that may have
value: (a) [REDACTED] located
in [REDACTED]
and (b) [REDACTED]
located in [REDACTED]...
I technically
still have an
interest in a
private
aircraft
(model:
HondaJet 420)
that was
seized by the
IRS and is
still in their
possession.
This interest
is held
through a
single-purpose
entity named [REDACTED],"
and so forth.
Inner
City
Press
published the
redacted
affidavit on
its
DocumentCloud
here
and asked,
Will the Court
be accepting
this?
On
August 11, the
correct answer
was: No. "MEMO
ENDORSEMENT as
to Michael
Avenatti (1)
on [139]
LETTER MOTION
re: [139]
LETTER MOTION
addressed to
Judge Jesse M.
Furman from
Robert Baum,
Tamara Giwa
& Andrew
Dalack dated
August 10,
2021 re:
Letter Motion
In Response to
Court's Order
to File
Financial
Affidavit.
ENDORSEMENT:
The Court is
unpersuaded
that privacy
interests
justify
redacting the
names and
locations of
the corporate
entities in
Paragraphs 14,
15, and 17 of
ECF No.
139-1."
After hours on
August 12,
some
redactions
were removed:
Avenatti's owned
a plane
through
Passport 420
LLC; an
unnamed
"non-family-member
acquaintance"
paid a
NY-based
attorney in
the Nike case,
whose name is
redacted.
Unredacted:
Avenatti owns
stock in
Tyrian Systems
(aka Seek
Thermal) of
Santa Barbara,
CA and
Centurion
Holdings I,
LLC of St.
Louis
Missouri."
Not
so fast. Inner
City Press
research in
the hours
after the
removal of the
improper
redactions found
that Centurion
Holdings I,
LLC is based
in Arnold,
Missouri - and
"received a
PPP loan of
$60,477 in
May, 2020."
That's the
Paycheck
Protection
Program; the
funds came
through the
Central Bank
of St. Louis.
Bigger,
the aka: "Seek
Thermal, Inc
of 6300
Hollister Ave
in Goleta,
California received
a
Coronavirus-related
PPP loan from
the SBA of
$1,365,062.00
in April,
2020." We'll
have more on
this.
Watch
this site.
On August
27, Inner City Press filed a
formal request that documents
in the case not be sealed,
full filing on Patreon here.
On
November 12, Inner City Press
made a third filing with Judge
Furman, on a decision
to unseal issued earlier in
the day by SDNY Judge J. Paul
Oetken after Inner City Press
filed to similarly unseal Lev
Parnas' co-defendant David
Correia's financial infor: "we
again ask, why should lower
income and less high profile
defendants in the SDNY -- and
now David Correia -- have
their financial information so
disclosed while Avenatti's
information is sealed in its
entirety? The documents at
issue should not be sealed and
should be made available."
On August
28, 2020 Judge Furman entered
an order: "The Court received
the attached communication
from Matthew Lee of Inner City
Press “seeking leave to be
heard and for the unsealing of
the CJA Form 23, affidavit,
and all associated documents”
relating to this litigation.
To the extent that Mr. Lee
(who is admitted to the bar of
the Southern District of New
York) seeks leave to be heard,
his application is GRANTED.
The Court reserves judgment on
the question of whether
Defendant’s CJA Form 23 and
related documents should be
unsealed. SO ORDERED. Dated:
August 28, 2020 New York, New
York JESSE M. FURMAN." Docket
No. 85, on Inner City Press'
DocumentCloud, here.
On July
27, 2021, Judge Furman four
times citing Inner City Press
ordered
Avenatti's affidavits
unsealed: "Avenatti filed a
letter brief arguing that the
Initial Financial Affidavit
should remain under seal. ECF
No. 80 (“Def.’s Mem.”).
Thereafter, the Court received
submissions from Inner City
Press, a media outlet that
intervened to seek disclosure
of the Financial Affidavits,
ECF Nos. 85, 90, 99... The
Defendant initially argued
that the Government lacked
standing “to assert any right
on behalf of the public to
access Mr. Avenatti’s sworn
financial statements.” Def.’s
Mem. 7 n.1 (citing United
States v. Hickey, 185 F.3d
1064 (9th Cir. 1999)).
Subsequently, however, the
Court granted leave to Inner
City Press to be heard on the
Defendant’s motion, ECF No.
85, which indisputably does
have standing to assert such
rights." Full order here,
filings due August 10. Watch
this site.
This case is US v. Avenatti, 19-cr-374
(Furman).
***
Your
support means a lot. As little as $5 a month
helps keep us going and grants you access to
exclusive bonus material on our Patreon
page. Click
here to become a patron.
Feedback:
Editorial [at] innercitypress.com
SDNY Press Room 480, front cubicle
500 Pearl Street, NY NY 10007 USA
Mail: Box 20047, Dag
Hammarskjold Station NY NY 10017
Reporter's mobile (and weekends):
718-716-3540
Other, earlier Inner City Press are
listed here,
and some are available in the ProQuest
service, and now on Lexis-Nexis.
Copyright 2006-2020 Inner City
Press, Inc. To request reprint or other
permission, e-contact Editorial [at]
innercitypress.com for
|
,
