Johnny Depp May Have To Foreclose On Five California Homes To Repay $5M Debt
Johnny Depp's money problems and personal nose dives have been at the forefront of media coverage since his split with former wife Amber Heard. And, just like his much publicized divorce, one of his homes has ended-up in legal turmoil as well.
The well-award-decorated star’s former manager has filed a foreclosure action as of Monday, requesting the Oscar-winning actor sell five properties he owns in Los Angeles to pay back a $5 million loan lent him in the winter of 2012, Deadline reported recently. The Management Group (TMG) allegedly gave the Disney Darling actor the loan to help him pay a City National Bank (CNB) loan — which he then squandered to buy more California real estate.
“TMG agreed to come to the aid of its long-time client,” the complaint said in a statement published by Fox News. “The idea behind this arrangement, which was designed to save Depp from a public and devastating financial collapse, was that Depp would pay TMG what TMG was required to pay CNB under the loan.”
Adam Waldman, Depp’s attorney, told People the actor would not sell his homes and called the action an “effort to intimidate Depp into dropping his lawsuit.”
“Sometime in February, Depp sued TMG for $25 million, accusing the company of fraud and attempting to foreclose his main home,” his attorney went on to later add.
“As a result of years of gross mismanagement and sometimes outright fraud, Mr. Depp lost tens of millions of dollars and has been forced to dispose of significant assets to pay for TMG’s self-dealing and gross misconduct,” the loan company went on to further add. “In essence, TMG treated Mr. Depp’s income as their own, available to either TMG or third parties to draw upon as desired.”
TMG, having split ties with Depp in early 2016, said it gave the actor the lump sum to quote “save him from bankruptcy.”
“At least at the time, Depp and his sister, personal manager, and the president of his production company, (Elisa Christi) Dembrowski, were very grateful to TMG for coming to Depp’s aid and helping him to avoid a public financial collapse,” a TMG spokesperson went on to say in a concluding remark.
A court-ordered decision on the amount owed by Depp is expected to be decided within the coming months.
(Feature image, courtesy of Flickr)