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Russell Simmons Accuses Ex-Wife Kimora Lee Simmons of Fraud in New Lawsuit

Russell Simmons Accuses Ex-Wife Kimora Lee Simmons of Fraud in New Lawsuit

Russell Simmons is accusing ex-wife Kimora Lee Simmons of fraud.

The 63-year-old music producer filed a lawsuit against his ex-wife and her current husband Tim Leissner on Tuesday (May 18).

Click inside to find out more about the lawsuit…

The filing accuses the couple of breach of contract, fraudulent concealment, breach of confidential relations/constructive fraud and more, per E! News.

According to the suit, Russell entered a new business arrangement with Kimora and Tim in 2016 when they joined his investment company Nu Horizons.

The company “made considerable investments” in the “tens of millions of dollars” into the publicly traded energy drink company Celsius Holdings, Inc.

Russell‘s lawsuit alleges that the couple “conspired” to use their control to “fraudulently transfer” 3,972,659 shares of Celsius to themselves.

Separate charges were filed against Tim in a different case from 2017 which were related to his involvement in the 1MDV fraud during his time at Goldman Sachs. He eventually plead guilty to money laundering and foreign bribery charges and forfeited $43.7 million.

Russell‘s team calls 1MDB “one of the World’s largest commercial frauds” in the lawsuit.

“Awaiting his plea deal and sentencing, Defendants Leissner and Lee, knowing full well that they would be required to pay tens of millions for bail and possible victim compensation, conspired and effectuated… an unlawful fraudulent scheme,” the filing states.

The complaint also states that Russell didn’t consent to the alleged transfer and wasn’t aware of it until July 2019 when it was allegedly discovered by his accountants.

“In short, knowing full well that Defendant Leissner would need tens of millions of dollars to avoid jail time, stay out on bail and forfeit monies for victim compensation, Defendants engaged in this blatant fraud to achieve that nefarious and unlawful goal,” his lawyers claimed.

The lawsuit alleges that Kimora and Tim decided to “create a new spin for the conspiracy and fraud they had effectuated” through a signed letter from June 2018 where they wrote the stock shares “have been temporarily loaned” to the mother of five “for purposes of the bond” in connection with his federal case. They said the investments “will be returned when such collateral is no longer required.”

According to Russell‘s suit, these were part of their scheme and not “legitimate loans”.

Kimora and Russell were married from 1998 to 2009 and share two daughters, Ming Simmons, 21, and Aoki Simmons, 18.

She is also a mom to Wolfe, 4, and Gary, 10, with Tim and Kenzo, 10, with ex Djimon Hounsou.

She recently posted a super sweet family photo with all five kids.

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Photos: Getty Images
Posted to: Kimora Lee Simmons, Russell Simmons

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