New York – Former American Apparel CEO Dov Charney has admitted to being broke. While
he does live in a mansion with eight bedrooms, he currently can’t find
enough money to keep affording a real lawyer. Charney will now be
representing himself in a lawsuit filed against him by Standard General, a
primary backer of American Apparel.
Charney told the Delaware judge presiding over the case that if he
continues to be unable to afford a lawyer he will represent himself. It’s
no surprise that Charney’s wealth was eaten up by legal fees. Since he was
ousted by the American Apparel’s board of directors in 2014, he has waged
an expensive legal battle to try and regain his position as CEO.
Last month, when American Apparel filed for bankruptcy that didn’t helping
Charney’s financial situation in the slightest. Most of his net worth
declined when American Apparel’s stocks took a steep decline. His 11,000
square foot home in Los Angeles is perhaps his most valuable asset
currently.
Charney was not immediately available for comment regarding his financial
situation.
It should be noted that this isn’t Charney’s first time complaining about
his financial situation. In 2014, he told Bloomberg News he was down to his
last 100,000 dollars, and he was reportedly sleeping on a friend’s couch in
NYC. Apparently that proved to be mostly talk since he still has an eight
room mansion in Los Angeles.
In his last year as CEO of American Apparel he made 832,000 dollars, so he
was far from the poverty line. Last month, a judge ruled that Charney’s
legal costs would not be covered by American Apparel’s insurance, so, his
bank account was all downhill from there.