According to court documents obtained by The Blast, the trustee presiding over Thomas’s involuntary Chapter 7 bankruptcy reached a deal with his conservator. The deal states the once-respected lawyer will be kicked out of his longtime Pasadena mansion once the trustee finds a buyer.
The proceeds from the sale will go to pay back Thomas’s numerous creditors.
Per the deal, Thomas will have 20 days after the sale to move out of the home. It’s unclear where he will be placed. Last year, Erika left the home after filing for divorce following 21 years together. She moved into her own $1.5 million Hollywood home and hasn’t been back to the home she shared with her estranged husband.
The trustee will also seize other assets and property to sell-off. Those proceeds will also go to pay off the tens of millions Thomas owes to ex-partners, companies, and his former clients.
As The Blast previously reported, Thomas is currently under a conservatorship. His brother Robert Girardi was appointed his temporary conservator due to the lawyer’s alleged health problems.
Once his financial problems started, Thomas’s team started claiming he was dealing with short-term memory loss and was in-and-out of the doctor’s office.
The memory loss came up after Erika and Thomas were named as defendants in a federal lawsuit accusing them of embezzling money meant for the families of plane crash victims.
The suit claims Thomas diverted settlement funds and used them to fund his lavish lifestyle with Erika. One creditor even claims Erika’s entertainment company received over $20 million from Thomas in the past couple of years.
For her part, Erika has remained quiet about the situation. She has refused to comment on the allegations she helped embezzle millions meant for orphans and widows. Instead, the “Real Housewives of Beverly Hills” star has continued posting selfies and filming the Bravo reality show.
Fans have been demanding the network take action against Erika for her alleged role in the scheme.