Lawsuit Says Golden Globes are Corrupt

Michael Russell is suing the Hollywood Foreign Press Association claiming that the members "Abuse their positions and engage in unethical and potentially unlawful deals and arrangements which amount to a "payola scheme."

Michael Russell wants $2 million and says there was a breach of contract, defamation and fraud over his firing after the awards show last year.  The lawsuit says that members of the association are abusing their positions by trading votes for deals that could jeopardize the group’s tax-exempt status.  Like accepting lavish vacations, lodging and gift ands perks by the studios in exchange for a nomination. The lawsuit reads in part:

“Such policies and practices allow members to illegally profit from their association in the nonprofit corporation and violate federal communications law prohibiting hidden ‘payola’ schemes. Most of HFPA’s members are not full-time journalists and rely on income generated from these questionable practices each year.”

“HFPA president Philip Berk expressly acknowledged to Russell that these activities were problematic and the HFPA was a corrupt organization, that its members are only out to use the organization to generate income for themselves and that many conflicts of interest exist with regard to the above-specified activities of the HFPA and its members,”

The suit also says he and his partner were dismissed after a dispute over a charity and an advertising campaign with Chrysler.  They were pointing out the ethical and potentially unlawful activity, but they were ignored.   They also are saying the association sells prime spots on the show’s red carpet to lesser-known media outlets.

Ken Sunshine, who does the public relations for the Golden Globes says the lawsuit is without merit.

“This is no more than the case of a disgruntled former consulting firm, whose contract was not renewed, attempting to take advantage once again of the Globe’s international stage for their own gain,” Sunshine said in a written statement.

The Golden Globes nomination of Johnny Depp and Angelina Jolie who were a box office flop in the movie “The Tourist” has been criticized by critics.

The lawsuit is scheduled to be heard in March.

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