Guccione Zeroes in on Penthouse, iBill and Others in Suit

NEW YORK — Penthouse founder Bob Guccione has filed suit in New York County Court, claiming that Penthouse Media Group and its executives drove his empire into bankruptcy.

Guccione says the group owes him severance of $7.5 million plus legal fees, so far.

Guccione claims that rather than reorganize his financially troubled General Media International, he allowed the Penthouse executives to acquire it and reorganize, on the promise they would let him keep his townhouse, pay him $1 million a year for 25 years and pay him $15 million if they failed to perform.

In the 37-page complaint, Guccione names defendants Charles Samel, a former employee, and Jason Galanis, a consultant, among those who defrauded him and drove his company into bankruptcy.

He also alleges that defendants Marc Bell and Daniel Staton purchased Penthouse Media Group out of bankruptcy and now refuse to pay Guccione money owed.

The suit claims that another defendant, Luis Enrique Molina Galeana, aided and abetted the alleged frauds, using the defendant corporations, Penthouse International Inc. and iBill, to do so.

After the acquisition, Guccione alleges, the group refused to pay him once they had control of the new company.

In the filing, the complaint describes the considerable debts Guccione and his companies had run up before he ceded control, including “a $50 million art loan that was in default,” and his townhouse, also in default.

Calls from XBiz to Guccione's attorney, Jamie Brickell, were not returned early Tuesday.

Copyright © 2024 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Streamate Spotlights Savannah Sly as December 'Elevate' Community Partner

Streamate has selected New Moon Network founder and co-director Savannah Sly as its Elevate Community Partner for December.

LaBellaDX Launches New Site Through YourPaysitePartner

Content creator LaBellaDX has launched her new official website through YourPaysitePartner (YPP).

Clip Page Launches 'Creator Analytics' Feature

Custom content marketplace Clip Page has launched the Creator Analytics feature on its platform.

BBWXXXAdventures Relaunches Through Grooby's Blue.xxx

Paysite BBWXXXAdventures has relaunched under Grooby's new website management company Blue.xxx.

Flirt4Free Announces 'Tease the Season' Holiday Contest

Flirt4Free has announced its Tease the Season promo and model contest, which will run Dec. 21-25.The competition is led by the return of the Snowflake Contest, where models can be gifted digital snowflakes by their fans. The models who collect the most snowflakes by 11:59 a.m. on Christmas Day will win cash prizes.

SWR Data Publishes 2024 'Top Creator Platforms' Report

Adult industry market research firm SWR Data has published a report on the Top Creator Platforms of 2024.

MintStars Joins Pineapple Support as Supporter-Level Sponsor

Content platform MintStars has joined the ranks of over 60 adult businesses and organizations committing funds and resources to Pineapple Support.

Politicians Aim to Study Effects of FOSTA-SESTA on Sex Workers

In an encouraging sign for sex workers, California State Representative Ro Khanna and U.S. Senator Elizabeth Warren of Massachusetts have reintroduced the SAFE SEX Workers Study Act, which aims to study the effects of FOSTA-SESTA.

Pornhub to Shut Down Access in Florida Over Age Verification

Aylo will geoblock Pornhub across Florida starting Jan. 1, when HB 3, the state's age verification law, goes into effect.

AEBN Publishes Popular Searches by Country for October, November

AEBN has released the list of popular searches from its straight and gay theaters by country in October and November.

Show More