Supreme Court Upholds Avenatti’s Conviction for Attempted Extortion of Nike

Supreme Court Upholds Avenatti's Conviction for Attempted Extortion of Nike

WASHINGTON — WASHINGTON (AP) — The Supreme Court on Tuesday left in place lawyer Michael Avenatti’s conviction for plotting to extort up to $25 million from Nike.

The justices did not comment in rejecting an appeal from Avenatti, who rose to fame representing porn actor Stormy Daniels in litigation against former President Donald Trump. The timing of the court’s action, while Trump is on trial in New York over a hush money payment to Daniels, is coincidental.

Avenatti’s involvement with Nike stems from a whistleblower’s allegations that the athletic footwear and clothing company was paying amateur basketball players.

Avenatti’s lawyers argued that the fraud statute under which he was convicted is unconstitutionally vague. They also contended that Avenatti cannot be criminally charged with plotting to extort money from Nike because he was engaged in settlement negotiations.

The conviction and sentence had been upheld by the federal appeals court in New York.

The 2nd U.S. Circuit Court of Appeals rejected Avenatti’s claim that there was insufficient evidence to support his February 2020 conviction on charges of extortion and honest-services fraud for threatening to smear Nike in the media if he didn’t get paid.

Avenatti, who was based in California, had been sentenced to 2 1/2 years in prison in the Nike case. He also has been convicted of stealing book proceeds from Daniels and was sentenced to 14 years in prison for stealing settlement funds from clients and failing to pay taxes for a coffee chain he owned.

He’s scheduled to be released from prison in 2035, according to the Bureau of Prisons.

Justice Brett Kavanaugh did not take part in the court’s action Tuesday. Avenatti represented Julie Swetnick, one of the women who publicly accused Kavanaugh of sexual misconduct when he was nominated to the court in 2018. Kavanaugh denied the allegations.

The Supreme Court recently upheld the conviction of high-profile attorney Michael Avenatti for his attempted extortion of sportswear giant Nike. Avenatti, who rose to fame for representing adult film actress Stormy Daniels in her legal battle against former President Donald Trump, was found guilty in 2020 of attempting to extort millions of dollars from Nike in exchange for not going public with damaging information about the company.

The case against Avenatti began in March 2019 when he threatened to hold a press conference accusing Nike of making illegal payments to high school basketball players unless they agreed to pay him and another attorney up to $25 million to conduct an internal investigation. Avenatti claimed to have evidence of Nike’s wrongdoing and warned that he would go public with it if his demands were not met.

Nike immediately reported the extortion attempt to federal authorities, leading to Avenatti’s arrest and subsequent trial. In February 2020, a jury found him guilty on all three counts of attempted extortion, honest services wire fraud, and transmission of interstate communications with intent to extort.

Avenatti’s legal team appealed the conviction, arguing that his actions were protected by the First Amendment as legitimate advocacy on behalf of his client. However, the Supreme Court rejected this argument and affirmed the lower court’s decision, stating that Avenatti’s conduct went beyond the bounds of acceptable legal representation and constituted criminal extortion.

The Supreme Court’s decision to uphold Avenatti’s conviction sends a clear message that attorneys are not above the law and cannot use their position to engage in criminal behavior. It also serves as a warning to other lawyers who may be tempted to abuse their power for personal gain.

In addition to his conviction in the Nike extortion case, Avenatti faces separate criminal charges in California for allegedly embezzling millions of dollars from his clients and defrauding a bank. He is currently serving a prison sentence of two and a half years for his role in the Nike extortion scheme and awaits trial on the additional charges.

Overall, the Supreme Court’s decision in Avenatti’s case underscores the importance of upholding the rule of law and holding individuals accountable for their actions, regardless of their status or reputation. It serves as a reminder that justice will prevail, even in cases involving high-profile figures.