OK - it's US v. Avenatti, Day 4 of Stormy Daniels trial, with #Avenatti still cross-examining lawyer Macias about what social media posts he's read during the trial. Inner City Press is posting innercitypress.com/sdnytrial6aven… and will live tweet, thread below
Avenatti: Did you meet with the prosecutors on WebEx?
Macias: Yes.
Judge Furman: Is that a platform like Zoom or Microsoft Teams?
Avenatti: Mr. Macias, wasn't your home searched by the government?
Macias: Absolutely not.
Avenatti: Is it your testimony your office or home has not been searched?
Judge Furman: May we have a sidebar, Mr. Avenatti?
[Whispered sidebar]
[They're back, and it seems the issue of possible government search of Macias' premises is off limits.]
Avenatti: Mr. Macias, what is a legal malpractice lawsuit? What is an expert witness? Have you ever hired one?
Macias: Yes.
Avenatti: In late 2018 didn't you hire me as an expert?
Macias: Yes.
Avenatti: Who is Mel B?
Macias: A Spice Girl. A beautiful lady.
Avenatti: Did you're hire me as an expert in an arbitration?
AUSA: Objection!
Judge Furman: Sustained. Mr. Avenatti, please get to the point.
Avenatti: When I told you I liked Tulsi Gabbard for my campaign, didn't you tell me I'd get you some Dough Ray Me?
Macias: I did use the phrase Do Re Mi.
Avenatti: Didn't you send me a text you'd get some some Dough Ray Me "so you can run like a banshee"? Can we have the exhibit on the screen? DX-AB.
Judge Furman: Mr. Macias, does it refresh your recollection?
Macias: No.
Avenatti: Mr. Macias, you currently serve as my estranged wife's lawyer in our divorce, yes or no?
Macias: Yes.
Judge Furman: Re-direct?
AUSA: No, Your Honor.
Macias: Am I excused?
Judge Furman: Yes. Put your mask back on.
Next witness is US Attorney's Office staffer Enrique Santos.
AUSA: What type of cloud data have you examined?
Santos: iCloud, Facebook, Google. For this, I used Cellebrite. It parses out the data from the iCloud production.
US introduces a slew of exhibits, messages between Stormy Daniels and Avenatti- or the owner of his phone.
AUSA: So Mr. Santos, there are blue bubbles & green bubbles, Stormy Daniels and "unknown."
Santos: That's the owner of the phone associated with Mr. Avenatti
AUSA: Let's read. I'll be Avenatti or "unknown."
Santos / Stormy: When is the publisher going to cough up my money?
AUSA / "unknown" They need to pay you, you did your part and then some.
Santos / Stormy: How do they think they can get away without paying me?
Cross examination.
Avenatti: You did analysis of Exhibit 401 and 402?
Santos: 401 is just what Apple gave us. 402 is my report, using Cellebrite.
Avenatti: Who told you to do it? Who exactly?
Santos: I believe Mr. Sobelman.
Avenatti: What did you ask you do to?
AUSA: Objection.
Judge Furman: Sustained.
Avenatti: Did you search for all conversations with Stormy Daniels?
Santos: I was asked to focus on these WhatsApp conversations. I saw there was an iMessage and some group chats.
Avenatti: And you don't know if there are conversations with Sean Macias in there, because no one asked you to look, right?
AUSA: Objection.
Judge Furman: Sustained.
Avenatti: Refresh my recollection on what Exhibit 5 is.
Santos: Messages between Ms. Daniels and you, or the owner of your phone.
Avenatti: We offer Defense Exhibit AC, Apple Charlie.
AUSA: This is hundreds of pages. Objection.
Judge Furman: Sustained.
Avenatti: With this WhatsApp conversation, if a message is deleted before it was backed-up to the cloud, it's not in here, right?
Santos: Right.
[Judge Furman took time to review exhibits Avenatti offered, came back and said only 22, 31 and 43 are in]
Avenatti: Mr. Santos let's do a dramatic reading. I'll play me.
Santos / Stormy: Getting luggage. Can't do unless I get out of Big Brother.
Avenatti-as-Avenatti: I will handle with the publisher. Don't worry. I got it.
Santos / Stormy: I don't give a shit anymore.
Avenatti (reading) I am never going on the show with you. I saw him at Disney. I never speak badly about you, Stormy. I was never going on.
Santos / Stormy: It's about conversation going on behind my back. I hope Luke f*cking chokes on the money he makes off me.
Avenatti (reading) I don't know what you are upset about being deleted from your book. B.T.W. I build you up. You can't send that statement Stormy, please. Why go after me in the press?
Avenatti: Mr. Santos did I read that correctly?
Santos: Yes.
Santos is done.
Judge Furman: Next witness.
AUSA: The government calls Stephanie Clifford.
Assistant US Attorney Sobelman: What other name do you use?
Stormy/Clifford: Stormy Daniels. That's my stage name. Please call me Ms. Daniels.
AUSA: You've met Michael Avenatti?
Stormy: He's standing up in the blue shirt. He was my attorney. But no longer.
Stormy: I hired a new attorney because he stole from me and lied to me.
AUSA: What did he steal from you?
Stormy: Money from my book. I am a writer, director and in production of a TV show about paranormal activity. I was also a dancer and worked in adult films.
Stormy: I was referred by Sean. I don't remember his last name. I wanted out of a non-disclosure deal with Donald Trump. I met Avenatti at the Waldorf Astoria in Beverly Hills.
AUSA: GX 603. Is this a photo of the hotel?
Stormy Daniels: Yes.
AUSA: What did you discuss about payment?
Daniels: I said I didn't have much money. He said we could work it out. A day later we met for lunch in LA. He said it would be $100, and he'd set up a legal defense fund and take money from winnings again Donald Trump.
AUSA: Is this the agreement?
Daniels: Yes.
AUSA: Did you make the $100 payment.
Daniels: Yes. Right there, in cash. He used it to pay for lunch.
AUSA: How much was raised for your legal defense fund?
Daniels: $650,000.
AUSA: Who controlled it?
Daniels: Michael.
Judge Furman calls the lunch break for the jurors. Feed will continue. Question is how long will prosecutor's direct examination go? Thread will continue. Story coming soon on InnerCityPress.com and patreon.com/MatthewRussell…
Update: ran during the lunch break to the SDNY cafeteria, large ice water and saw... Avenatti and Federal Defender Baum at roundtable. Will aim to ask Avenatti some questions after the trial day. Now, UN noon briefing (banned from) then thread will resume
They're back.
Assistant US Attorney: Ms. Daniels, did you author a book?
Daniels: Yes, Full Disclosure.
AUSA: Is this your publishing contract?
Daniels: Yes.
AUSA: What did the defendant tell you about taking some of your advance for himself?
Daniels: Nothing.
AUSA: What did you do after you signed it?
Daniels: Got really excited with my friends. I texted a photo of the contract to Michael. I didn't have access to a scanned but he asked me for it.
AUSA: GX 16 and 16A.
AUSA: What is GX 301B?
Daniels: My bank statements, for April 2018.
AUSA: What is Stormy Entertainment?
Daniels: It's my company.
AUSA: When you got the payment where were you?
Daniels: In a car with my bodyguard in California. It solidified I was a real author.
AUSA: Please read these messages.
Stormy Daniels as Stormy, reading: Got the wire, can't feel my face. From smiling so much.
AUSA: The defendant responded, We make a good team, smiley face, do you see that?
Daniels: Yes.
AUSA: Where were you?
Daniels: Making a commercial for an adult film company. I called Michael. He called me an American hero. He told me he would never take a penny from me for the book, that I'd worked for it and it was mine.
AUSA: And what is this?
Daniels: My literary agent contract with Luke Janklow.
AUSA: What percent was he supposed to get?
Daniels: 15%.
AUSA: Did you review this whole contract before testifying today?
Avenatti: Leading!
Judge Furman: Overruled.
AUSA: After you got paid in April what did you have to do?
Daniels: I had to write my book, with the help of Kevin, a ghostwriter suggested by St. Martin's. I finished in July.
AUSA: What's this audio clip?
Daniels: He wanted me to check out who'd do my audio book
Daniels: Can we move this so there's not a glare? I don't want to touch it. [Referring to computer screen for exhibits]
AUSA: Look at this. Was the second payment made, to your understanding?
Daniels: I thought it had not been sent.
Daniels: I set up a second bank account because I was having problems with my husband and some money was production money and I wanted to keep it separate.
AUSA: What did you write?
Daniels: I did not get paid today and I am not f*cking happy.
AUSA: And here, what did you write?
Stormy: That Denver is on it.
AUSA: Who is Denver?
Stormy: He was going my publicity at the time. That night, I was going on the Jimmy Kimmel show to promote the book.
AUSA: Did the defendant tell you he had your third book advance payment?
Daniels: No he did not.
AUSA: Show me where in these messages he told you he had your third payment.
Daniels: I can't, because he didn't.
AUSA: And these messages, who are they between?
Daniels: Myself and Michael Avenatti. I asked, what about reimbursement for my dragons, my bodyguards, and I asked, how much is in the legal fund?
AUSA: Can you point me where in this message the defendant told you that you were suppose to pay your dragons yourself?
Daniels: Nowhere.
[Note: Stormy called her security guards "dragons" and paid them $26,000, to be paid back by Avenatti from legal defense fund]
AUSA: Let's look at GX 42. What did you ask?
Daniels: "Any news?"
AUSA: And this?
Daniels: I was asking about this second legal defense fund Michael set up and that I knew nothing about. My email and social media were blowing up with people asking me if I was broke
AUSA: What's this?
Daniels: I asked, Are you threatening me now? Checks have bounced. I'm tired of finding sh*t out on Twitter. I'm not a liar. You have balls of steel. I will always respect you. But I have not been paid.
AUSA: And this, Michael's accounting of the crowd-funding, did it mention the book contract payments?
Daniels: No.
AUSA: What's this?
Daniels: A post Michael wanted me to put on my social media. I did, adding a curse word. My fans know I have a potty mouth.
AUSA: Now what did you ask?
Daniels: When is the publisher going to cough up my money? I'm about 2 second from blasting them publicly.
AUSA: Do you know if the defendant ever actually sent a letter to the publisher about your payment?
Daniels: I had no way to know.
Daniels: I wrote I was going to fire Luke. Why pay someone 15% to have them not respond?
AUSA: Did the defendant ever tell you he had told Mr. Janklow and the published not to contact you?
Avenatti: Objection! Lacks foundation!
Judge Furman: Overruled.
Daniels: I told Michael, I am sending the publisher a certified letter. I am trapped in this house with my ex until I get paid and every day is one step closer to one of us going to jail.
AUSA: If you could afford a new house, would you be living with your ex-husband?
Avenatti: Objection! Relevance!
Judge Furman: Overruled.
AUSA: Why did Michael ask you, When do you look at the property?
Daniels: He knew I was looking at a house in Florida.
AUSA: What were you going to do there?
Avenatti: Objection! Relevance!
Judge Furman: Overruled.
Daniels: Live there?
AUSA: Where in this does it say that Mr. Avenatti had already received and spent your third book payment?
Avenatti: Objection! Argumentative!
Judge Furman: Overruled.
Daniels: Nowhere.
AUSA: So Mr. Avenatti wrote to you there were 9000 e-book sales, and 24,000 hard copy with some out in the field, some indies may feel disloyal returning them. But what does this have to do with the advance you were owed?
Daniels: Nothing.
Daniels: My third payment was 4 months late, with a fourth payment coming due. Now Michael said they were offering to pay both, but a smaller amount. He asked if I'd be open to it. I said, Hell no.
AUSA: Why?
Daniels: Michael told me they hadn't paid.
Daniels: I told Michael I was going to do an interview and say authors should never do business with MacMillan... F*ck them. And there are reporters asking me why your office got seized and my files. WTF is going on?
AUSA: What did Avenatti respond?
Daniels: That it was his old firm that was seized, not the one that worked on my case. He wanted me to tell the press, "It's a big nothing-burger."
AUSA: What did you mean when you wrote, Find my f*ucking money?
[Laughter]
AUSA: How did the defendant reply?
Daniels: "Word," with like seven exclamation points.
AUSA: And what does that mean?
Daniels: Agreement. Very enthusiastic agreement.
AUSA: Then you stopped answering - why?
Daniels: Because I learned from the publisher Michael had been lying. I didn't even know he had a trust account with my name on it. He had lied to me every day for five months.
[Judge Furman gives the jurors a stretching break. Will the prosecutors keep direct examination going until the 3 pm quitting time, guaranteeing headlines Avenatti won't like? Now the break is extended to include bathroom break.]
Judge Furman: Please rise.
[Jury back from bathroom break.]
Judge Furman: We will continue with the direct examination of Ms. Daniels.
AUSA: What reaction did you have to learning that your payment was actually sent early?
Daniels: I don't know if there is a word stronger than furious.
AUSA: Is that your signature?
Stormy Daniels: Yes.
AUSA: And did you sign this document?
Daniels: No.
AUSA: Before you found out he was lying to you, were you responsive to the defendant?
Daniels: Yes, we spoke almost daily. Now he wrote me a letter saying HE decided to terminate representing me.
AUSA: Were you ever paid your 3d book payment?
Daniels: No.
AUSA: When the defendant was your lawyer, what if anything did he tell you about his and his lawyer firm's finances?
Daniels: Nothing. Other than that his law firm was excellent.
AUSA: Let's shift topics. What is Spooky Babes?
Daniels: It involves attractive people.
AUSA: Are you into paranormal activities?
Daniels: Yes. And I get paid for video chats.
AUSA: I am almost done [!] Did you say you hope the defendant gets raped in prison?
Daniels: Yes. I felt violated. But I didn't mean it.
AUSA: One last topic: Attorney Client privilege. Did you waive it?
Stormy Daniels: Yes, I have nothing to hide. I want everyone to know.
AUSA: No further questions [2:49 pm]
Judge Furman: Cross examination.
Avenatti: The US asked you if particular texts said I had taken your money. Do you recall that?
Stormy Daniels: No.
Avenatti: Ms Daniels, do you have a single message that says I would not take any money from your book deal?
A: No.
Avenatti: Ms. Daniels, how was I supposed to get paid for all of the work that I and my law firm did for you over the course of a year?
Stormy Daniels: From the legal defense fund and winnings against Donald Trump.
Avenatti: I never told you I would work for $1, right?
Stormy Daniels: No, you did not. You never mentioned one dollars to me.
Avenatti: Everything in your book is 100% true, right?
Daniels: Yes.
Avenatti: And your statements on Twitter are true, right?
A: Yes.
Avenatti: You have claimed that you have a perfect memory, haven't you - and that you can see and speak to dead people, haven't you?
Daniels: Yes.
Avenatti: And to look into residences from the outside. And speak to a haunted doll --
Daniels: She speak to everyone.
Stormy Daniels: The doll has her own Instagram.
Avenatti: Move to strike. Can I have GX 3? Where in this contract does it say me and my firms would advance all of the costs associated with your legal representation?
Stormy: My screen went black. I can't read it.
Avenatti: Read paragraph 3 into the record.
Judge Furman: That bring us to 3 pm. We'll end. Don't read anything online about the case. I am monitoring the weather forecast, it will probably be ok for everyone to get home tomorrow. See you tomorrow morning.
[Stormy Daniels leave the witness box and courtroom]
AUSA: Mr. Avenatti has indicted he intends to cross examine Ms. Daniels for six hours. If there's time tomorrow we have Elizabeth Myer from St. Martin's and one more SDNY staff witness, Ms. Medrano.
Avenatti: The government has had consistent access to this witness over the past three years. I have not.
Judge Furman: That's generally how trial work. Do you have an application?
Avenatti: Yes. They asked of Ms. Daniels' financial condition. So the door is open
Avenatti: I seek approval to explore her financial situation despite your rulings.
Judge Furman: I said no inquiry into back taxes and spousal payments. You can only get into finances as they relate to bias. You certainly can ask about the house.
Avenatti: I'd like all of Exhibit 5 in, the WhatsApp chain. They elicited testimony that Ms. Daniels was never not responsive. But that is borne out by Exhibit 5. So I make an application to admit it.
Judge Furman: It is denied, as to the entirety.
Judge Furman: I don't think we'll get to the defense case, but for planning?
Avenatti: I expect two or three days, closer to two. I have not decided whether or not to testify. I'm talking to people I trust and will do so over the weekend.
Judge Furman: If you do testify, let's think about the US could have a chance to object to improper testimony. Perhaps stand-by counsel could read out questions. In any event, see you tomorrow.
Now out for Foley Square Follies. Yesterday:
OK - it's US v. Avenatti Day 5, with Avenatti about to resume cross examination of Stormy Daniels. Inner City Press is covering the case (and related Nike case Geragos questions) innercitypress.com/sdnytrial8aven… and will live tweet, thread below
Judge Furman (to jury, just entered) I'm monitoring the weather but I don't think the storm will arrive so early as to impact our trial day.
Avenatti: How long have you been an actress?
Stormy Daniels: Since 2002.
Avenatti: So you are expert in reading scripts.
Avenatti: You said in prison there'll be a long line of people to a*s-rape me, didn't you?
Daniels: I don't remember.
Avenatti: You said it's handy you have your own line of lube how because you can just bring me a gift basket in prison?
Daniels: I did, on Twitter
OK - in opioids trial against Larry Doud of Rochester Drug Co-op, it's the final day of witnesses. Judge Daniels has criticized Doud's lawyer's argument about yesterday's cooperator. Inner City Press will live tweet, thread below
In the morning there was a Doud "character witness" who said she could not think of a single negative adjective to apply to Doud. Now an expert is disagreeing with / rebutting the government's / taxpayers' $900/hour expert Cutler of Harvard
Q: Was Larry Doud incented to sell controlled substances based on his compensation structure?
Objection!
Judge Daniels: Sustained. I'm not sure he's qualified to answer.
OK - opioids trial of US v. Larry Doud of Rochester Drug Co-operative nearing end, Judge Daniels has been asking defense lawyer Gottlieb why witnesses not ready, now a pharmacist on stand. Inner City Press covering the case & will live tweet as it can, thread below
Pharmacy owner: I signed up with RDC, it was easy. The customers were re-selling the pills, unfortunately.
AUSA: And your pharmacist?
Owner: He basically slept all day.
AUSA: Is this is a photo of him sleeping?
Owner: Yes.
AUSA: Did you fill prescriptions for Doctors like Suarez and Carl Anderson?
Owner(Paulson, of "Regal Remedies" on Staten Island) Yes.
OK - it's US v. Avenatti, Day 3, with Avenatti cross examining his ex-office manager Regnier and soon Stormy Daniels. Inner City Press is reporting twice daily on the trial innercitypress.com/sdnytrial4aven… and will live tweet, thread below
Judge Furman: Members of the jury, please remember that questions are not evidence.
Avenatti: Ms. Regnier, wasn't this payment for a case on which we represented children blocked at the US - Mexico border?
Assistant US Attorney: Objection!
Judge Furman: Sustained.
Avenatti: OK, the technology issue has been fixed. Let's go back to the previous month's records... Ms. Daniels was having a personal issue with her estranged husband, right?
AUSA: Objection!
Judge Furman: Sustained.
OK - opioids trial of US v. Larry Doud of Rochester Drug Co-operative keeps chugging along, alongside Judge Daniels' fairness hearing in an unrelated class action. Inner City Press covering the case & will live tweet as it can, thread below
Judge Daniels is ruling on prosecutors' request to exclude a slew of defense exhibits. He is allowing some in, "to demonstrate that at the time the defendant made his statements, he was not part of a conspiracy," or try to demonstrate that.
Defense lawyer Gottlieb: Any statements made by people about Lindencare being in compliance, they are not being introduced for the truth of the matter asserted --
Judge Daniels: I don't agree. It's not probative of whether Mr. Doud was involved in a conspiracy
OK - US v. Avenatti, Stormy Daniels case, Day 2. Literary agent Luke Janklow still on the stand, cross-examined by Avenatti's taxpayer-funded Federal Defender. Inner City Press is covering the case matthewrussellleeicp.substack.com/p/in-stormy-da… and will live tweet, thread below
Federal Defender Dalack: So here you called Sally Richardson saying only $200,000 in first payment was "asinine publishing bulls*it."
Janklow: It's a colloquialism.
Federal Defender: And Mr. Avenatti wanted $300,000 up front.
Janklow: Yes.
Federal Defender: And you told Mr. Avenatti about "Fire and Fury." What's that?
Janklow: Another Trump book. It made a lot of money.
[Inner City Press: even with the free leaked PDF out there]
Federal Defender: You trusted Mr. Avenatti, right?
Janklow: Yes.