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Busting bad dish!

Lady Gaga Accused of Charity Scam

Truth rating: 10

(GettyImages)

Lady Gaga is being sued in a $5 million class action suit for allegedly scamming a Japan relief charity.

The singer said on her website that all proceeds from the sale of the “We Pray For Japan” wristbands were going to the victims of the Japanese earthquake and tsunami.

But a Michigan law firm says that’s not true.

According to the lawsuit filed by 1-800-Law-Firm, Gaga sold the bracelets for $5, plus $3.99 for shipping and handling, and 60 cents for taxes, but jacked up the price of the shipping costs in an effort to pocket the extra money.

The federal suit also claims Gaga never disclosed how much of the $5 bracelets was actually going to Japan relief, even though she included the money she allegedly pocketed as part of her claimed donation.

The lawsuit says Lady Gaga violated a number of federal racketeering laws as well as consumer protection laws from the alleged scam.

“I’m suing Lady Gaga simply to hold her accountable for giving the money that she was raising for charity to the cause that she was trying to raise it for,” said Ari Kresch, a 1-800-Law-Firm attorney.

His colleague Alyson Oliver adds, “When we tried to communicate with the defendants in this lawsuit, all we got was, ‘well, some of the money is being retained, but we don’t really know how much.’”

Last night, Gaga performed at the MTV Video Music Aid Japan show in Tokyo.

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  • Anonymous

    I really hope this isn’t true but if it is…so disappointing.

  • Anonymous

    I really hope this isn’t true but if it is…so disappointing.

  • Regina1180

    1800 Law Firm? For reals?

  • Regina1180

    1800 Law Firm? For reals?

  • http://twitter.com/RickG63 RickG63

    These Idiots are just looking for publicity they will be sued for liable They should be disbarred for filing a frivolous law suit.

  • http://twitter.com/RickG63 RickG63

    Ari Kresch what is your problem get a life.

  • Stryker

    You Gaga fans are so f’ing delusional.

  • tv316

    There’s no way this is true. Do yall know how much money Lady Gaga make a year? She doesn’t need this tiny little amount.

  • Mikah

    So no one in history has ever tried to gain publicity by suing a celebrity………I believe you’re the delusional one.

  • a.z.

    actually, she said in recent interviews (thereamong CBS 60 min) that she started making money not too long ago, approximately about 8 months ago to be more specific. she said she was completely bakrupt before then bacause every penny went to her concerts. Im sure she has a well filled bank account anyway tho! And i find it VERY hard to believe she would do something like this… ari kresch is a greedy nolifer.

  • a.z.

    actually, she said in recent interviews (thereamong CBS 60 min) that she started making money not too long ago, approximately about 8 months ago to be more specific. she said she was completely bakrupt before then bacause every penny went to her concerts. Im sure she has a well filled bank account anyway tho! And i find it VERY hard to believe she would do something like this… ari kresch is a greedy nolifer.

  • http://pulse.yahoo.com/_FT3AEWDCOIECLXUDVIM375O7WA PATRICIA

    If I had to guess, I’d say GaGa set this charity up in good faith & let some third party run it. Then the administrator saw a way to skim & scam for his own benefit. Many charities are notorious for taking 50 or 60% of their donations for administration & fund raising fees & giving the beneficiaries w/ what’s left. Sad but true.

  • http://www.facebook.com/heidi.cheney2 Heidi Cheney

    its about time these singers/actors/bands get held accountable for defrauding the common people in lieu of saying raising money for whatever rellief or foundation!!!!! 90% of them get away with it!!!!!!! we cant get away with it, so why shoiuld they??? they aren’t GOD!! THEY ARE NO BETTER THAN WE ARE!!!!!!!!!!!!!!!!!!!!!!!

  • TheRealRy

    LOL. it wouldnt surprise me to be honest.

  • TheRealRy

    LOL. it wouldnt surprise me to be honest.

  • Crk389

    I don’t think she did it anyway if she kept the money from the shipping I am saying if she did that would not matter cause the proceeds were from the wristbands not the shipping they are two different things the proceeds FROM THE WRISTBANDS IS THE MONEY SPENT ON THE WRISTBANDS NOT THE SHIPPING AGAIN TWO DIFFERENT THINGS so I think the idiot who sued her she get off her back and shut up and for all the stuff she did for japan that’s really cold

  • Crk389

    I don’t think she did it anyway if she kept the money from the shipping I am saying if she did that would not matter cause the proceeds were from the wristbands not the shipping they are two different things the proceeds FROM THE WRISTBANDS IS THE MONEY SPENT ON THE WRISTBANDS NOT THE SHIPPING AGAIN TWO DIFFERENT THINGS so I think the idiot who sued her she get off her back and shut up and for all the stuff she did for japan that’s really cold

  • Pogi

    Honestly, I think this is idiotic. I mean, I buy stuff all the time online, and if I were to buy a bracelet on, for example, Paramore’s webstore (who I love!), then it would cost $9 to ship! $3.99 isn’t that bad for a shipping cost. On Gaga’s webstore it’s usualy about $10 to get one thing shipped out. My gosh. What is she/the rest of the companies going to do with 60 cents anyway? They’re not idiots. Ugh.

  • http://profiles.yahoo.com/u/QIIZWFOKTVHL67PQR34LADDOAQ craigs

    It’s very clear that this was all intended to be a scam. Under any other circumstance this all would of been conducted as a non-profit in which the “donations” for the bracelets wouldn’t be subject to tax. Whens the last time you purchased something for ‘charity’ and had to pay a tax on it?

    If she wasn’t tied in with the government with the state department acting as her agent i’d say she may have some questions to answer with the IRS but judging from the response of her reps they know they are in the clear.

    Nothing like using a disaster for profit; unknown profit.

  • http://twitter.com/TuuliMurder Tuulikki Lindström

    Fuuuck, I bought on of those because I thought it was a great thing she was doing. Damnit. I hope this isnt true ):

  • Guest

    OMG I love you Gaga fans. Its so hilarious that whenever she does something supposedly good its always “Yeah she’s 100% involved in everything she did this and this and this, she made time for this she’s sooo original and blah blah” and when she does something bad its “Yeah someone else must have done it, she wasn’t involved she’s too busy.” Open your eyes kids. There are so many sides to people, Gaga may come off as this good eperson but none of you know her or what she’s capable of so stop acting like you do.

  • http://twitter.com/AnnieDG1326 annie dean-ganek

    this makes me so fuckn pissed. Who cares if she even kept a little $$$? I DONT! Fuck i’ll buy a million bracelets and pay that $3.99 shipping fee just to shove it in Ari Kresh’s face. I’m sick of society believing that no celebrity could ever be a simply good person with good intentions. This world is so goddamn corrupt, nothing is without faults, get over u sick assholes!!!. I found out about this like 3 days ago and couldn’t believe it. I’m more upset because even if Gaga did pocket money, she donated ~3 Million dollars to Japan relief efforts, how much did Ari Kresh donate or bring about awareness??? Nothing! And who the fuck legitimately works for a place called 1800Lawfirm with intentions not based on weaseling in money? I’m a Monster, but I’m not some naive prick. I’m just overall annoyed by how much America distracts away from good deeds because of money. Bono of U2 also pockets money from his charity work but he’s done a lot to raise awareness especially at the U2 concert i went to last year.

  • Davistopgun

    What kind of connection does Gaga have with Japan anyways. She`s just using her celebrity status to boost her image as a publicity stunt. I would not be surprised if she pocketed some money from all of this. A plastic bracelet doesn`t cost more than $1.00 to make. And with shipping and handling, it doesn`t weigh much which is how the post office works by weight. What a scam! Most people don`t know, especially innocent and naive teenagers that Gaga was a former pornstar. How outrageous!

  • Davistopgun

    Gaga is crazy and needs to be put in a mental institution.

  • Scott1977

    Kresh Oliver (1800Lawfirm) is a small law firm in the Detroit area with a bunch of new lawyers making $10.00 per hour (Yes you read that right) and Alyson Oliver (who just filed her own personal bankruptcy) and Ari Kresh (Who is better at marketing them actually being an attorney)

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