NEWSRihanna Sues Former Accountants for Lost Millions
July 6 2012, Published 12:18 p.m. ET
What happens when you're a millionaire and the money is rolling in? Well, if you're Rihanna, you may be wondering if millions of dollars have been lost along the way. After all, it could get hard to keep track!
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The Barbados-born star has sued her former money managers, as reported by E! News. She claims they managed her finances poorly — to the tune of tens of millions of dollars!
Not only that, their actions have reportedly sparked an audit by the IRS. A federal complaint was filed yesterday in NYC, and apparently the pop star wasn't informed that her 2009 Last Girl on Earth tour reportedly had issues — apparently it was literally losing money and her team didn't pull in the reins. This resulted in "significant net losses."
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As per E! News, in the complaint Rihanna thought Berdon LLP didn't have an incentive to ask her to trim down production costs. Here's a potential reason why: The company landed 22 percent of touring revenue! As for the "Umbrella" singer? According to the complaint, she only took in six percent. Hmmm, someone's math could be a little off, here!
That's not all. Berdon was accused of not staying on top of her tax returns from 2008 through 2010, resulting in an audit of her income for the same timeframe.
The suit claimed, "Despite having earned millions of dollars in revenues during Berdon's tenure Fenty Robin Fenty, aka Rihanna learned that her net income after payment of expenses and exorbitant commissiones to defendant was a fraction of that amount."
