Wednesday, April 20, 2011

Gretchen Rossi & Slade Smiley Sued For Fraud

http://static.tvfanatic.com/images/gallery/gretchen-rossi-and-slade-smiley-pic.jpgReal Housewives of Orange County star Gretchen Rossi and her boyfriend, fellow reality star, Slade Smiley, are being sued by a former business associate for breach of contract, fraud, deceit and conspiracy.

The lawsuit, exclusively obtained by Radar Online, was filed in Orange County Superior Court by Ronann Myers, Rossi's former make-up artist, friend and business partner.

Ronann alleges that in February 2009 he and Gretchen decided to form a make-up company together with the agreement that the profits would be split 50/50.

She claims that both invested $15k in the venture and filed documents to form their company.

However, Ronann never signed a partnership agreement with Rossi, insisting though that the two had an oral agreement. Ronann says that he tried to have the partnership agreement signed, but claims Smiley put the kabosh on that.

The lawsuit states: "From February 2009 onward, Rossi and Smiley engaged in an elaborate scheme to defraud Plaintiff out of her interest in the make-up Line.

"Rossi and Smiley conspired to exploit Plaintiff's experience in, knowledge of and contacts within the make-up industry to create, design, launch and promote ‘Gretchen Christine Beaute.’ Once Rossi and Smiley obtained what they needed from Plaintiff, they planned to ‘cut her off without a dime.’ Their plan was premeditated."

Myers claims that Rossi took $2183.00 out of the joint business account without permission. Furthermore, Rossi is accused of having any profits of the sale of the make-up deposited directly into her PayPal account, which Myers had no access to.

Myers is seeking $100k in damages, attorneys’ fees, and compensatory damages.

Credit: Radar Online