Harvey Weinstein Claims He Was Misled into Securing $45M Loan, Files Lawsuit Against Brother and Movie Executives

Imprisoned and disgraced film executive Harvey Weinstein claims in a new legal filing that his brother, Bob Weinstein, and other top officials at their now-defunct production company tricked him into guaranteeing a $45 million loan in 2016, while siphoning funds for personal gain and orchestrating his downfall.

Harvey Weinstein, 72, presented his allegations on Thursday as part of a protracted civil case in New York City, which involves a lender asserting that he defaulted on the loan. He remains incarcerated as he awaits a retrial on sexual crime charges in New York.

“Harvey Weinstein was misled by his closest associates and secured a $45 million loan under the guise of rescuing The Weinstein Company,” stated Imran Ansari, Harvey Weinstein’s attorney. “While Harvey took on the personal guarantee for the loan, others within The Weinstein Company benefited financially and systematically undermined him, leaving him liable for the debt while enriching themselves during the company’s crisis.”

Ansari contended that Bob Weinstein and others at The Weinstein Company participated in a scheme to set Harvey up for failure, aiming to take control of the company, which declared bankruptcy in 2018 amidst the escalating sexual misconduct scandal involving Harvey Weinstein.

In response, Bob Weinstein’s attorney, Brian Kohn, sent a brief statement to The Associated Press on Friday, declaring, “Harvey’s allegations are completely unfounded.”

David Glasser, the former chief operating officer of The Weinstein Company and now CEO of 101 Studios, known for producing Paramount’s hit series “Yellowstone,” is also named in Harvey Weinstein’s lawsuit. He did not immediately respond to a phone call left at his office on Friday.

AI International Holdings provided the loan to two affiliates of The Weinstein Company and Harvey Weinstein, subsequently filing a suit due to claimed defaults.

Harvey Weinstein asserts that his brother, Glasser, and others misled him into guaranteeing the $45 million loan by promising the funds would assist the financially struggling company. His lawsuit claims that they misappropriated millions of dollars for wrongful purposes, leaving the company in financial distress and Harvey Weinstein burdened with the loan repayment.

“As a direct consequence of these actions, the Companies suffered a loss of at least $12 million in cash that should have been used to repay the loan owed to AI International,” the lawsuit states. “This mismanagement caused the Companies to be unable to meet their financial obligations, resulting in insolvency and placing Weinstein at considerable personal financial risk as the loan guarantor.”

The suit, filed in the Manhattan state Supreme Court, contends that Weinstein has experienced “severe and outrageous financial and reputational damage.”

It also raises multiple accusations of financial wrongdoing against Bob Weinstein, Glasser, and others.

Among other claims, the lawsuit charges Bob Weinstein with withdrawing no less than $6 million from company accounts under false pretenses, thereby placing himself ahead of creditors, including AI International.

The allegations further assert that Glasser approved and received $5 million in excessive bonuses and unauthorized transactions, and improperly used company funds to pay his father $1 million without any legitimate business justification.

AI International Holdings initiated legal action against Harvey Weinstein and the two affiliates of The Weinstein Company in late 2017, claiming they defaulted on the loan following AI International’s directive for immediate payment of the full amount, triggered by Harvey Weinstein’s removal as co-chairman amid sexual misconduct allegations.

According to Harvey Weinstein, Bob Weinstein and Glasser settled their responsibilities for the loan with AI International for approximately $15 million due to “bad faith negotiations,” leaving Harvey Weinstein accountable for the remaining $30 million plus interest.

Harvey Weinstein’s lawsuit aims to absolve him of any financial obligation regarding the loan and seeks punitive damages for purported fraud and financial misconduct, along with coverage for his legal expenses.

Bob Weinstein recently requested the judge to dismiss subpoenas for documents and a deposition issued by Harvey Weinstein’s lawyer.

Once a powerful force in Hollywood and co-founder of Miramax, Harvey Weinstein produced acclaimed films such as “Pulp Fiction” and “The Crying Game.”

In 2017, he became a central figure in the #MeToo movement that emerged when women began to publicly share their experiences of his behavior.

He has consistently claimed that all sexual encounters were consensual.

Currently, Harvey Weinstein is facing retrial on charges that he forcibly performed oral sex on a movie and TV production assistant in 2006 and raped an aspiring actress in 2013. Additionally, another charge filed in September accuses him of forcing oral sex on a different woman at a Manhattan hotel in 2006.

His 2020 conviction and 23-year prison sentence were thrown out last year when an appeals court determined that the trial judge had improperly allowed testimony against Weinstein based on unrelated allegations.

By Dave Collins