Avenatti gets 2.5 years in prison for Nike case

Michael Avenatti, the California lawyer who once represented Stormy Daniels in lawsuits against President Donald Trump, was sentenced Thursday to 2½ years in prison for trying to extort up to $25 million from Nike by threatening the company with bad publicity.

Avenatti, 50, was convicted last year of charges including attempted extortion and honest services fraud in connection with his representation of a Los Angeles youth basketball league organizer who was upset that Nike had ended its league sponsorship.

U.S. District Judge Paul G. Gardephe called Avenatti’s conduct “outrageous,” saying he “hijacked his client’s claims, and he used those claims to further his own agenda, which was to extort millions of dollars from Nike for himself.”

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Avenatti, the judge added, “had become drunk on the power of his platform, or what he perceived the power of his platform to be. He had become someone who operated as if the laws and the rules that applied to everyone else didn’t apply to him.”

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Before the judge spoke, Avenatti delivered emotional remarks, sometimes through tears.

“Your honor, I’ve learned that all the fame, notoriety and money in the world is meaningless,” he said. “TV and Twitter, your honor, mean nothing.”

He ended his statement by saying what he expects of his three children, including two teenage daughters who wrote letters to the judge.

“Every father wants their children to be proud of them,” Avenatti said. “I want mine to be ashamed. Because if they are ashamed, it means their moral compass is exactly where it should be.”

As he left the courthouse in the rain with his attorney, he stopped briefly before a set of microphones while his lawyer, Danya Perry, told reporters, “A new Michael Avenatti is deeply humbled as a result of this experience.”

Criminal fraud charges on two coasts disrupted Avenatti’s rapid ascent to fame. He also faces the start of a fraud trial next week in the Los Angeles area, a second California criminal trial later this year and a separate trial next year in Manhattan, where he is charged with cheating Daniels, an adult film actor, out of hundreds of thousands of dollars.

“Every father wants their children to be proud of them. I want mine to be ashamed. Because if they are ashamed, it means their moral compass is exactly where it should be.”
Michael Avenatti, to U.S. District Judge Paul G. Gardephe, before his sentencing
Prosecutors had requested a “very substantial” sentence, citing the U.S. Probation Department’s recommendation of an eight-year prison term. Avenatti’s lawyers said six months in prison and a year of home detention was enough punishment.

In written sentencing arguments, prosecutors said Avenatti tried to enrich himself by “weaponizing his public profile” to try to force Nike to submit to his demands.

In a victim impact statement, Nike’s lawyers said Avenatti did considerable harm to the company by falsely trying to link it to a scandal in which bribes were paid to the families of NBA-bound college basketball players to steer them to powerhouse programs. An employee of Adidas, a Nike competitor, was convicted in that prosecution.

The lawyers said Avenatti threatened to do billions of dollars of damage to Nike and then falsely tweeted that criminal conduct at Nike reached the “highest levels.”

Avenatti’s former client, Gary Franklin Jr., said in a statement submitted by prosecutors that Avenatti’s action had “devastated me financially, professionally, and emotionally.” Franklin was expected in court Thursday.

In their pre-sentence submission, Avenatti’s lawyers said their client had suffered enough, citing enormous public shame and a difficult stint in jail last year that ended after lawyers said he was particularly vulnerable to the coronavirus.

“Avenatti’s epic fall and public shaming has played out in front of the entire world,” the lawyers wrote. “The Court may take judicial notice of this fact, as Avenatti’s cataclysmic fall has been well-documented.”

In announcing the sentence, Gardephe noted that “conditions were terrible” at the Manhattan federal lockup where Avenatti spent 100 days behind bars last year, mostly in solitary confinement. He added that it was hard to believe such conditions would occur in the U.S.

He noted that Avenatti had long showed no remorse, contrition or accepted responsibility for his crimes until Thursday, when he expressed “what I believe to be sincere remorse.”

The judge said some leniency for Avenatti was deserved because a lawyer who acted with him in negotiations with Nike was not charged, despite playing a critical role. He said it would not be justice for Avenatti to face a lengthy prison term when his co-conspirator was not even charged.

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