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Dear Avenatti - did you miss me? I’ve thought of you often. NYET - UPDATED

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Posted on June 04 2019

I Update - dissection of CA Bar Complaint 6/4/2019 5:34PM

See bottom of the entry...

  

Avenatti - Involuntary Inactive Status 

On a scale of 0 being ideal and 100 being oh shittlestix - I believe this imight be a 1,000,000 - a change of Bar status from Active to Involuntary Inactive Status...oh dear me...

 

 

I mean it’s not an everyday occurrence when your state bar has the following announcement on their website. As in this is on the front page of the California State Bar. I am sure you’re wondering what does this new status mean - Involuntarily Inactive means Michael Avenatti is Not Eligible to Practice Law.  In Avenatti’s CA Bar matter, the CA Bar announced late last night (remember I’m on the East Coast) the following statement and press release, which reads in part:

 

Today the State Bar filed a petition with the State Bar Court to place Los Angeles attorney Michael J. Avenatti on involuntary inactive status, pursuant to California Business and Professions Code 6007(c)(1)-(3).

This section of statute, amended by the Legislature on January 1, 2019, authorizes the Office of Chief Trial Counsel to file a petition for involuntary inactive enrollment of an attorney when there is sufficient evidence to show that the attorney caused or is causing substantial harm to the attorney’s clients or the public and there is a reasonable probability both that the Chief Trial Counsel will prevail on a related disciplinary matter and that the attorney will be disbarred. 

  

 

Avenatti now has ten days to respond to the CA Bar’s Petition (which is 500+ pages long) via a verified response and request a hearing. If on the 11th day (the date of the CA Bar Petition is June 3, 2019) Avenatti then waives his right to a hearing. At which point the CA Bar must file it’s decision regarding Avenatti’s status.

 

As it stands this is the message on Avenatti’s CA Bar profile - I mean it goes without saying that you never ever want to see a Consumer Alert on your State Bar profile. Respectfully I can appreciate the CA Bar doing the right thing, but never forget that in November of 2018 they “cleared” Avenetti of wrongdoing.

 

 

CONSUMER ALERT

The State Bar of California has 1led a petition to enroll this licensee on interim Inactive status, alleging that the licensee’s conduct poses a substantial threat of harm to clients or the public. The petition involves a charge that the licensee engaged in a major misappropriation of client funds. You may read the Petition 1led by the State Bar against the licensee, and any Response 1 led by the licensee, by following the links in the State Bar Court Cases section below. You may also learn more about the general nature of misappropriation of client funds.

DISCLAIMER: Any petition 1 led by the State Bar seeking interim suspension based in part on a major misappropriation charge contains only allegations of professional misconduct. The licensee is presumed to be innocent of any misconduct warranting discipline until the charges have been proven.

 

 

As previously mentioned in November of 2018 the CA Bar “cleared” Avenatti of wrongdoing in response to a “certified CA Bar Complaint” - which was filed by opposing counsel in Avenatti’s Tully FUBAR - See previous entry, it was a lot of research and rather time consuming but facts demand such dogged pursuit.

 

 

 

 

 

 

 

And yes I unreservedly applaud the CA Bar for their filing but even more I appreciate the CA Bar taking their time and investing in serious due diligence. I mean the CA Bar’s Petition is >520+ pages long. They left no room for ambiguity or reasonable doubt. Which in my line of work is worthy of respect, praise and emulating said efforts - best practices.

 

This is the Avenatti CA Bar Case Information SBC-19-TE-30259 |

 

Avenatti, Michael John Case Number: SBC-19-TE-30259

Court Los Angeles Judicial Officer Roland, Yvette D File Date 06/03/2019

Case Type Inactive 6007(c) Substantial Threat/Harm

Case Status Hearing - Open - Pretrial

 

 

 

 

The only regret I have is in March to early May 2018 I gave him the benefit of the doubt. I do not regret using my twitter account highlighting Avenatti’s disgusting behavior. He’s a liar. He’s an alleged thief but most importantly he betrayed his clients and the oath he took as an officer of the Court. Attorneys like Avenatti is why most have a terrible opinion about lawyers and their staff. Avenatti’s Conduct is antithetical to ethical lawyers and firms that work their asses off advocating for their clients.

Also full disclosure I haven’t read the 500+ page CA Bar Complaint - I’m not in a good head space because I was banned from Twitter for daring to call Avenatti out. His supporters doxed me, tweeted death threats at me, slide in to my DMs calling me every disgusting name you can imagine but nope that son of a bitch is still on Twitter.

 

It is weird it’s almost like I said “stealing a clients money is an absolute betrayal of the oath you took as an Officer of the Court” which you can find here.

Or the February 2019 entry here, which lead to my Twitter Suspension after Basta had his troll crew and Woody and 1weesel crew mass Report my account. Go figure. Hey Basta-Asshole you had my account suspended on the same day the feds obtained a warrant for SEVEN of your electronic devices. Asshole. I’m not the one who illegally obtained SARs info aka John Fry’s Indictment.

Or this March 2019 entry found here, of his East Coast and West Coast criminal matters. Who steals from a paraplegic client and then goes on Twitter like a good guy? GTFOH with your Trumpian bull pucky.

Or this May 2019 twin SDNY entry found here. Avenatti had the temerity to act like he was a gladiator for women, meanwhile he stole millions of dollars from three female clients. But I’m the bad guy because I called him out and subsequently ended up permanently banned from Twitter. Good job guys.

 

Or this May 2019 CDCA Case update found here. Avenatti straight up lied to his nearly 900K followers about the Federal Public Defender and the Judge’s Order denying his request. I know because I read the court filings. 

 

Seriously none of this brings me any pleasure (okay maybe just a smidge) but maybe instead of trying to disprove or ignore my factual warnings...maybe just maybe I might know what I was tweeting and subsequently blogging about...since Avenatti is literally facing 425 years and disbarment - as far as I’m concerned I knew and know that I was right because I had the facts on my side. And apparently reading is hard? 

 

 

-SpicyFiles OUT

 

Update Avenatti CA Bar Petition

 

As previously disclosed when I originally posted this entry, I did not take the time to read the Avenatti - CA Bar Petition as carefully as I normally would. Because I think I’m in a better headspace and thusly am in a position to set aside my personal animus regarding Avenatti’s dangerous, damaging and unethical behavior - all of which can and does erode the credibility and integrity that all Officers of the Court should have. Notwithstanding I actually missed this - there is a new Avenatti “client-victim” - I triple checked all of Avenatti’s Indictments and I’m highly confident that this is in fact a new victim.

And by all appearances the only media outlet that has been way out ahead of their peers was The Daily Beast. In January of 2019 they were first to report the “Avenatti Ponzi-Like Scheme” you really should read their excellent reporting.

 

Gregory Barela, made the allegations in a statement of claims filed with Judicial Arbitration and Mediation Services (JAMS), a private arbitration organization. Barela’s lawyer provided the claim, which is not public, to The Daily Beast.

“Avenatti was operating his law firm in a Ponzi scheme like manner, taking settlement proceeds received for clients to pay off debts, pay the other individual Defendants’ salaries and bonuses, and fund his lavish lifestyle, while telling clients that the settlement proceeds had not been received or would be received at a later date,” says the claim, which also targets two other lawyers at Avenatti’s firm.

 

Literally on page 2, lines 16 thru 27 of the June 3, 2019 CA Bar Avenatti Petition, which reads in part:

 

The State Bar attaches to this Application clear and convincing evidence that respondent committed the following acts of misconduct which caused, and is causing, substantial harm to respondents client, Mr.Gregory Barela, for which there is a reasonable probability that the State Bar will prevail in a disciplinary proceeding and respondent will be disbarred: 

 

(1)on December 28, 2017, respondent provided Mr.Barela with a fabricated settlement agreement;

2) between January 5,2018, and March14,2018, respondent concealed the status of Mr.Barela’s settlement funds and intentionally and dishonestly misappropriated - nearly $840,000 of Mr.Barela settlement funds for respondent’s own personal use (emphasis added)

 

Continuing on from page 2 to page 3, lines 1 thru 10, respectively - this is when the CA Bar throws down the disbarment card with supreme authority. This is just stunning because as of yet I do not think Avenatti has been criminally charged in the embezzlement of Mr. Barela’s settlement. -cough- superseding - cough Indictment? It is also worth noting the dates - this is the exact time frame that Stormy Daniels and Avenatti had a very awkward public fight. As previously detailed in this entry.

 

 

 

(3) between March10, 2018, and November 2018, respondent repeatedly responded to Mr. Barela’s Inquiries concerning the status of his settlement funds with lies and evasions;

(4) respondent never provided Mr.Barela with an accounting of Mr.Barela’s settlement funds despite Mr.Barela’s multiple requests; and (emphasis added)

(5) to date, respondent still owes Mr.Barela approximately $710,000.00

 

I mean on a scale of crystal clear - I’d submit to you that this is pretty damn near as clear as it gets - candidly the CA Bar really had one course of action - ensure that Avenetti’s ability to practice law be terminated in the most expeditiously way possible. Otherwise Avenetti could in fact create new victims. 

 

Accordingly, the State Bar respectfully submits that each factor required by Business and Professionsn Code section 6007(c)(2)is established by clear and convincing evidence.  Namely,

(1) respondent has caused substantial harm to Mr.Barela and respondent’s other clients; that:

(2) there is a reasonable probability that the State Bar will prevail on the merits in a disciplinary proceeding; and

(3) there is a reasonable probability that respondent will be disbarred.

 

What a lot of folks will overlook is the CA Bar requested (on numerous occasions) that Avenatti respond to their inquiry and/or proffer evidence to counter the information the CA Bar had collected in the course of their investigation - Avenatti failed to do so, thereby sealing his fate with the CA Bar. And just so we are clear, this is not my bon-bon stuffing in my calorie hole Opinion, these are statements of facts as recited in the 500+page petition. 

 

 

 

It might be advantageous for you to also read the California STATE BAR ACT
(Bus. & Prof. Code, §§ 6000 et seq.) specifically section (pages 16 thru 18, respectively)

 

 §6007 Involuntary Enrollment as an Inactive  Member

c (2) In order to find that the attorney’s conduct poses a substantial threat of harm to the interests of the attorney’s clients or the public pursuant to this subdivision, each of the following factors shall be found, based on all the available evidence, including affidavits: (emphasis added)

 

With respect to Mr. Barela  - he retained Avenatti via his old firm Eagan & Avenetti, LLP In July of 2014. The case was an Intellectually Property dispute. Shortly thereafter Avenatti filed in Federal Court Case 8:15-cv-00779-JVS-JCG

 After a series of protracted motions the matter eventually ended up in Arbitration in December of 2017 a “Settlement Agreement” was executed, netting Barela a $1.9million payout. Based on the Ts and Cs (terms and conditions) of aforementioned settlement agreement the 1st payout was $1.3million with three subsequent annual payments of $100K each, until 2021. During the course of the CA Bar Investigation they obtained declarations from Avenatti’s client/victim Mr. Barela and Opposing Counsel. 

 

 

I literally make zero apologies for what I’m about to say - in my opinion  Avenatti is a piece of steaming dogshit. He lacks any modicum of ethics and/or morality and/or decency. I have no actual proof to make this assertion but here’s my “prediction” in <4 months Avenatti will proffer an affirmative defense that he has a substance abuse problem and that “his addiction” is what caused him to betray the OATH he took and steal millions of dollars from his clients. In my industry that would be the only defense because the reality is the CA Bar Petition is a damning indictment of Avenatti’s moral ineptitude, unethical and unjust enrichment. Frankly it is disgusting and Avenatti should forfeit all future earnings and what little liquidity he has left to his name. This is vulgar and a total abandonment of the oath he took. I am disgusted.

 

 

The CA Bar Petition goes on to particularize and enumerate Avenetti’s scheme - oddly this is the same exact scheme he used on the various clients in the CDCA and SDNYs Indictments. This is also direly similar to what caused the very public rift between Ms. Daniels and Avenatti In Oct/Nov 2018 - like carbon copy similar. Weird right?

 

 

Now for the kids in the peanut gallery who lurve to make fun of me for my “odd” obsession to tiny details...1) that characteristic of mine is why I’m semi-decent at my job, and 2) notice the Bank Name, and 3) Superseding CDCA Indictment- soonish...seriously this is as bad as it gets. In my opinion, Avenatti’s betrayal to his clients is exactly why he should never ever practice law again.

In fact the only reason Avenatti should ever step foot into a Courtroom is as a Criminal Defendant. My level of anger and disgust can not be properly expressed sans a litany of derivative uses of the F word. Yet this unethical, morally bankrupt POS had the nerve to Twitter-hate at me. Seriously Dude - I’m not the asshole WHO STOLE FROM MULTIPLE CLIENTS - and I do not think it’s an over estimation that Avenatti could very well be facing a new Superseding Indictment in his CDCA matter. Why am I so confident in that assertion? Because City National is the same bank referenced repeatedly in the CDCA matter, see recent write up here.

 

 

Here are some very uncomfortable facts - the 500+ pages show that the Feds had Avenatti in their sights well before Donald Trump was sworn in. So Avenatti’s narrative that “I became a threat to President Trump” isn’t just disingenuous - it’s a blatant lie. Like a demonstrably provable lie. It’s actually offensive because similar to Trump, Avenatti thinks his obsequious “fans” are intellectually stunted that they can’t read or understand legal filings, like Indictments, Affidavits, Declarations etc. seriously get a new “argument” 

Moreover Avenatti’s client Mr. Barela hired a second attorney and that’s how Avenatti’s scheme was uncovered. Again the time frame here is critical because it was a confluence of multiple clients demanding honest and fulsome answers from Avenatti. Unbeknownst to many of Avenatti’s clients the parties had in fact sent their payments, Avenatti made multiple material misrepresentations to his clients while bragging about getting Stormy Daniel’s literary agent fired. What is worse is some of Avenetti’s clients were in dire financial straits. Remember because of Avenetti’s dereliction and ineptitude Mr Johnson, his paraplegic client lost his Social Security Benefits in February of 2019 and that was after Avenatti straight up stole millions of dollars from Mr Johnson. To add further insult to injury then Avenatti coerced Mr. Johnson into signing a March 2019 Statement.

 

 

And you know what - no one asked me to delete Avenatti’s hateful comment on my blog but after considerable introspection I decided to delete his comment. But I saved a Record of it because it was the most unprofessional communication I’ve ever received. If it’s possible - via a subpoena imma gonna compel twitter to provide me the records and “reports” that caused my February 22, 2019 Suspension because now I’m out for a bit of sweet vindication and justice. Notice the date it’s March 1st after I was suspended from Twitter but then again I’m not the guy acting like an unhinged lunatic sliding into Twitter users DMs or  seeking out an obscure blog so there’s that fun-fact nugget

 

 

 

It is just incomprehensible to me, how Avenatti has conducted himself on social media, the hundreds of hours of free publicity Avenetti benefited from. I mean one could try enumerate the potential “value” in his 260+ Cable News TV appearances - conservative guess? I’d say north of $60M in free publicity thanks to CNN, MSNBC, CBS, ABC, the View, ShowTime etc...like I said the mainstream media has a reckoning coming.

Because many of these news networks bent over backwards to “book” Avenatti. The networks knew it would  result in an “increased” viewership - which then translates to higher advertising revenue. In October of 2018 I was at my family’s beach home and I remember looking at my spouse saying: Avenatti has reached saturation and I can’t wait for his financial crimes Indictment - I believe I predicted 38 Counts on October 10, 2018. I remember the exact date because I created a FEC PAC thread asking why was his PAC paying him so much.

And lastly this is exactly how all of us expected Avenatti to respond. It is not like the CA Bar Petition asserted any specious arguments or claims. Nope they have multiple declarations, statement of facts they did a thorough investigation. The notion that the CA Bar would “pile on” or use their authority and responsibility as a “publicity stunt” is beyond offensive, it’s scurrilous accusation and has zero basis in reality.

Yo Basta - you think 500+ pages is a “publicity stunt”?  You need to pull your head out, get right with Jesus and pray that your clients are not called as witnesses because their testimony would be such an insurmountable task that you’ll never achieve. Why don’t you stay off Twitter, stop running to every camera and mic you see...and embrace the realization - the only one you have to blame is yourself.

 

These are your actions. These were your choices to steal from your clients. You betrayed the fundamental trust that’s given to attorneys. This is on YOU and no one else. The sooner you accept responsibility and offer a contrite apology the  better it will be for you. The sad part is I actually feel terrible for your ex-wives, your children and your clients. And in a weird way I somewhat feel sorry for you, because you can’t even be honest with yourself. Stop blaming other people and man up - Seriously you need to understand “silence is the refuge of the Defendant” who’s facing over 425 years in jail if sentenced to the maximum sentence in your CDCA and TWO SDNY Indictments. Stop tweeting, spend time with your loved ones and maybe man up and own your shit. Period. Full Stop.  

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2 comments

  • Marie G: June 08, 2019

    Ah, I thought of you Monday, first when the hordes of twitter users suspended Friday, May 31st had their suspensions lifted with a “we’re sorry.” That included my account. We all pretty much tweeted “now do Spicy” as soon as were able to. I thought of you again the same day, when CA BAR updated his status to inactive.

    Glad your voice is here on maddogpac.com but I’m going to say it again, I miss you on twitter. Have a great weekend and thanks for all you do.
  • Kathy: June 04, 2019

    Brava, bravo.

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