1 00:00:08,375 --> 00:00:10,844 Narrator: In this episode of "American Greed"... 2 00:00:10,877 --> 00:00:15,815 He's a powerhouse litigator who eats big corporations for lunch. 3 00:00:15,849 --> 00:00:20,320 Super lawyer Tom Girardi is worth $100 million 4 00:00:20,353 --> 00:00:23,590 but says he's a champion of the little guy. 5 00:00:23,623 --> 00:00:27,727 Archie: Tom was one of the most respected trial lawyers 6 00:00:27,761 --> 00:00:29,462 in U.S. legal history. 7 00:00:29,496 --> 00:00:33,600 Narrator: He wins billions in settlements for clients around the globe. 8 00:00:33,633 --> 00:00:35,869 Girardi: As a lawyer, sometimes you feel pretty good. 9 00:00:35,902 --> 00:00:38,672 Narrator: Girardi makes his fortune in the courtroom, 10 00:00:38,705 --> 00:00:42,075 but his reputation is all Hollywood. 11 00:00:42,108 --> 00:00:43,476 Edelson: He said "I was in that! 12 00:00:43,510 --> 00:00:45,078 I'm the 'Erin Brockovich' lawyer!" 13 00:00:45,111 --> 00:00:46,946 And that stuck. 14 00:00:46,980 --> 00:00:50,650 Narrator: And whether he's taking on Big Pharma or Major League Baseball, 15 00:00:50,684 --> 00:00:52,018 he's a legal legend. 16 00:00:52,052 --> 00:00:55,722 Girardi: They did the wrong thing. You gotta make it right. 17 00:00:55,755 --> 00:00:57,957 Narrator: Girardi's got the mansion... 18 00:00:57,991 --> 00:00:59,592 the cars... 19 00:00:59,626 --> 00:01:00,960 the swagger... 20 00:01:01,061 --> 00:01:04,564 and the glamorous "Real Housewife of Beverly Hills." 21 00:01:04,597 --> 00:01:06,666 Forouzan: He said stuff like "Forget about it, baby." 22 00:01:06,700 --> 00:01:08,301 That's showmanship. 23 00:01:08,335 --> 00:01:10,403 Narrator: But clients claim that this showman 24 00:01:10,437 --> 00:01:14,074 is really a swindler who allegedly siphons 25 00:01:14,074 --> 00:01:18,745 tens of millions in settlements to fund a gilded lifestyle. 26 00:01:18,778 --> 00:01:22,082 Lowrey: It's about a lot of people who have been victimized 27 00:01:22,115 --> 00:01:24,150 once, twice, three times. 28 00:01:24,184 --> 00:01:28,922 Narrator: And his victims trust "American Greed" to tell their stories. 29 00:01:28,955 --> 00:01:30,256 Jones: They're ruining lives. 30 00:01:30,290 --> 00:01:32,525 They're ruining thousands of lives. 31 00:01:32,559 --> 00:01:36,129 Narrator: Until this accused con-man counselor's world 32 00:01:36,162 --> 00:01:37,630 starts to crumble. 33 00:01:37,664 --> 00:01:39,199 Edelson: That's what's been happening the whole time. 34 00:01:39,232 --> 00:01:41,868 "The old man went through all the money." 35 00:01:41,901 --> 00:01:47,107 Narrator: And Girardi's days of making headlines are far from over. 36 00:01:47,107 --> 00:01:48,708 Sharp: Is it greed? Yes. 37 00:01:48,742 --> 00:01:50,643 Is it pride? Absolutely. 38 00:01:50,677 --> 00:01:53,013 Is it ego? Is it prestige? 39 00:01:53,113 --> 00:01:54,748 It's all of the above. 40 00:01:54,781 --> 00:01:56,149 But it's not a mistake. 41 00:01:56,182 --> 00:02:02,956 ** 42 00:02:03,056 --> 00:02:09,696 ** 43 00:02:09,729 --> 00:02:16,102 ** 44 00:02:16,136 --> 00:02:20,473 Narrator: Tom Girardi's illustrious career as a personal injury attorney 45 00:02:20,507 --> 00:02:23,376 has made him an all-American success story. 46 00:02:23,410 --> 00:02:26,579 The flashy uber lawyer is a multi-millionaire, 47 00:02:26,613 --> 00:02:30,717 with a lifestyle most can only dream of. 48 00:02:30,750 --> 00:02:34,721 It's on display every week, along with his beautiful, 49 00:02:34,754 --> 00:02:37,557 much younger, wife, Erika Jayne, 50 00:02:37,590 --> 00:02:40,226 who shares the intimate details of their marriage 51 00:02:40,260 --> 00:02:42,095 on the hit reality series 52 00:02:42,095 --> 00:02:46,166 "The Real Housewives of Beverly Hills." 53 00:02:46,199 --> 00:02:49,402 But on November 3, 2020, 54 00:02:49,436 --> 00:02:52,572 the press catches wind of a bombshell -- 55 00:02:52,605 --> 00:02:55,442 Erika's filing for divorce. 56 00:02:55,475 --> 00:02:56,876 This is wife number three. 57 00:02:56,910 --> 00:02:59,612 He'd already had an armload of mistresses. 58 00:02:59,646 --> 00:03:02,449 You know, you keep watching to see what will happen. 59 00:03:04,050 --> 00:03:08,888 Narrator: Her soon-to-be ex-husband isn't nearly as famous as Erika. 60 00:03:08,922 --> 00:03:13,059 But Girardi is a flamboyant character in his own right -- 61 00:03:13,059 --> 00:03:15,161 at least in the courtroom. 62 00:03:15,195 --> 00:03:18,331 Edelson: In the legal world, this is a case about Tom Girardi. 63 00:03:18,365 --> 00:03:22,369 In the reality world, it's about Erika Jayne's husband. 64 00:03:22,402 --> 00:03:24,871 Narrator: Erika says she wants a divorce because, 65 00:03:24,904 --> 00:03:30,710 she contends, Tom cheats and treats her poorly. 66 00:03:30,744 --> 00:03:34,647 But could there be another reason for the split? 67 00:03:34,681 --> 00:03:38,418 Tom Girardi's financial life is crumbling to pieces, 68 00:03:38,451 --> 00:03:40,653 as the public will soon find out. 69 00:03:40,687 --> 00:03:44,290 17 counts of federal criminal indictments 70 00:03:44,324 --> 00:03:47,794 and a torrent of civil lawsuits will later claim 71 00:03:47,827 --> 00:03:52,232 Tom stole client funds, and Erika knew it. 72 00:03:52,265 --> 00:03:54,567 Edelson: We sued under federal statute RICO, 73 00:03:54,601 --> 00:03:58,171 which is the statute that you use to go after the mob. 74 00:03:58,204 --> 00:04:01,841 Narrator: A collapsing marriage and avalanche of legal woes 75 00:04:01,875 --> 00:04:04,744 are just the beginning of Tom's troubles. 76 00:04:04,778 --> 00:04:06,579 Teetering on bankruptcy, 77 00:04:06,613 --> 00:04:09,349 Girardi risks losing what, according to Erika, 78 00:04:09,382 --> 00:04:11,451 might matter most to him -- 79 00:04:11,484 --> 00:04:15,155 his sole identity as a great lawyer. 80 00:04:18,591 --> 00:04:22,896 In 1964, seven years before his third wife, Erika, 81 00:04:22,929 --> 00:04:24,597 is even born, 82 00:04:24,631 --> 00:04:29,169 Girardi graduates from Loyola Marymount Law School in L.A. 83 00:04:29,202 --> 00:04:32,972 He establishes a personal-injury law practice, 84 00:04:33,073 --> 00:04:37,344 and scores early victories, including a big claim. 85 00:04:37,377 --> 00:04:38,878 Lowrey: Just a few years out of law school, 86 00:04:38,912 --> 00:04:41,581 Tom made a name for himself by being the first lawyer 87 00:04:41,614 --> 00:04:45,852 in California to win a medical malpractice judgment 88 00:04:45,885 --> 00:04:47,821 of more than $1 million. 89 00:04:47,854 --> 00:04:52,325 And he was always an expert at marketing himself, 90 00:04:52,359 --> 00:04:56,796 so he would turn every single victory into three more. 91 00:04:56,830 --> 00:04:59,599 Narrator: Including a victory that will make him famous -- 92 00:04:59,632 --> 00:05:03,403 the so-called Erin Brockovich case. 93 00:05:03,436 --> 00:05:07,273 Lowrey: The Erin Brockovich case put him on the map nationally. 94 00:05:07,307 --> 00:05:09,709 Narrator: Before the world knows her as a character 95 00:05:09,743 --> 00:05:14,147 that wins Julia Roberts an Oscar for Best Actress, 96 00:05:14,180 --> 00:05:18,451 Erin Brockovich is a real-world legal clerk. 97 00:05:18,485 --> 00:05:21,454 She works with her boss, attorney Ed Masry, 98 00:05:21,488 --> 00:05:25,425 to lead a class-action lawsuit against Pacific Gas and Electric 99 00:05:25,458 --> 00:05:30,130 for releasing cancer-causing chemicals into groundwater. 100 00:05:30,163 --> 00:05:35,368 It's called a "toxic mass tort case." 101 00:05:35,402 --> 00:05:37,570 When Masry runs out of money, 102 00:05:37,604 --> 00:05:40,573 he turns to Tom Girardi for help. 103 00:05:40,607 --> 00:05:44,611 With Girardi on Masry's team, in 1996, 104 00:05:44,644 --> 00:05:49,716 PG&E settles for $333 million. 105 00:05:49,749 --> 00:05:52,919 The attorneys pocket $133 million 106 00:05:52,952 --> 00:05:55,889 in contingency fees alone. 107 00:05:55,922 --> 00:05:59,092 Edelson: Erin Brockovich was the defining case for a lot of us. 108 00:05:59,092 --> 00:06:02,262 And the movie compelled a lot of us to go to law school, 109 00:06:02,295 --> 00:06:03,797 and fight for the underdog. 110 00:06:03,830 --> 00:06:06,499 Narrator: Girardi name-drops his A-list 111 00:06:06,533 --> 00:06:08,902 connections to the movie for decades. 112 00:06:08,935 --> 00:06:10,537 In promotional interviews, 113 00:06:10,570 --> 00:06:13,573 he sounds like hehas a starring role. 114 00:06:13,606 --> 00:06:16,176 Shooting that movie -- I was on the set every day -- 115 00:06:16,209 --> 00:06:18,111 I got to know Julia Roberts, 116 00:06:18,144 --> 00:06:19,879 And to this day, 117 00:06:19,913 --> 00:06:24,050 we still have the chance to say "hello" now and then. 118 00:06:24,050 --> 00:06:28,188 Narrator: Except, in the film, Tom's not important enough 119 00:06:28,221 --> 00:06:30,757 to score an on-screen nod. 120 00:06:30,790 --> 00:06:35,929 Writers invent a composite they call "Kurt Potter." 121 00:06:35,962 --> 00:06:37,230 Erin, I was just talking about you. 122 00:06:37,263 --> 00:06:39,065 This is our new partner, Kurt Potter. 123 00:06:39,065 --> 00:06:40,433 He'll be handling Hinkley now. 124 00:06:40,467 --> 00:06:43,069 Oh. I see what you mean about a secret weapon. 125 00:06:43,103 --> 00:06:46,072 Erin, it's great to meet you. You've done a fabulous job. 126 00:06:46,072 --> 00:06:49,509 He immediately latched on to it, and said, "That's me!" 127 00:06:49,542 --> 00:06:51,411 So, even though they never said "Tom Girardi," 128 00:06:51,444 --> 00:06:52,645 he said, "I was in that. 129 00:06:52,679 --> 00:06:54,314 I'm the 'Erin Brockovich' lawyer." 130 00:06:54,347 --> 00:06:55,582 And that stuck. 131 00:06:55,615 --> 00:06:58,151 And he realized that that fame got him 132 00:06:58,184 --> 00:07:00,820 an incredible amount of power. 133 00:07:00,854 --> 00:07:04,924 Narrator: Powerful lawyer, even better businessman. 134 00:07:05,025 --> 00:07:09,162 In glossy advertising, he's Girardi-Keese's best hype man, 135 00:07:09,195 --> 00:07:13,166 and in P.R. interviews, seizes every opportunity 136 00:07:13,199 --> 00:07:15,669 to pitch his firm's signature calling card. 137 00:07:15,702 --> 00:07:17,937 And we're interested in doing one thing, 138 00:07:18,038 --> 00:07:19,739 and that's helping the little guy, 139 00:07:19,773 --> 00:07:22,709 giving the guy a voice, who's been harmed, 140 00:07:22,742 --> 00:07:25,211 who otherwise wouldn't have a voice. 141 00:07:25,245 --> 00:07:28,615 Narrator: Girardi thrives on high-profile cases 142 00:07:28,648 --> 00:07:31,317 that earn him headlines. 143 00:07:31,351 --> 00:07:35,855 He even takes on the L.A. Dodgers in 2014. 144 00:07:35,889 --> 00:07:39,059 Police in Los Angeles arrested a suspect today 145 00:07:39,059 --> 00:07:42,062 in the brutal beating of a San Francisco Giants fan 146 00:07:42,095 --> 00:07:43,863 outside L.A.'s Dodger Stadium. 147 00:07:43,897 --> 00:07:47,100 Lewis: Beaten so badly that he remains in a coma 148 00:07:47,133 --> 00:07:49,469 in a San Francisco hospital. 149 00:07:49,502 --> 00:07:52,272 Narrator: Girardi sues the victim's attackers 150 00:07:52,305 --> 00:07:53,773 andthe Dodgers, 151 00:07:53,807 --> 00:07:58,278 blaming negligent security for his client's trauma. 152 00:07:58,311 --> 00:08:02,182 Investigative reporter Brandon Lowrey covers the trial, 153 00:08:02,215 --> 00:08:06,486 and gets a front-row seat to the Girardi Show. 154 00:08:06,519 --> 00:08:07,921 Lowrey: When I first met Tom, 155 00:08:08,021 --> 00:08:11,424 he was in the middle of the Bryan Stow case. 156 00:08:11,458 --> 00:08:13,893 He was representing the fan against the Dodgers. 157 00:08:13,927 --> 00:08:18,431 Narrator: And he does it all with dramatic panache. 158 00:08:18,465 --> 00:08:20,500 The Dodgers should be paying the medical expense 159 00:08:20,533 --> 00:08:23,069 for this man and his family right now. 160 00:08:23,103 --> 00:08:25,105 "Hey, man, we made a mistake. We're so sorry." 161 00:08:25,138 --> 00:08:28,375 And instead, you come in here, and you deny what the law is. 162 00:08:28,408 --> 00:08:32,045 You deny you have any ability to keep the place safe. 163 00:08:32,078 --> 00:08:34,447 "People get hurt, too bad." 164 00:08:34,481 --> 00:08:38,952 Narrator: In and outside the courtroom, Lowrey is impressed. 165 00:08:39,052 --> 00:08:42,389 He remembered my name the first time I told it to him. 166 00:08:42,422 --> 00:08:45,959 The next day, he came up to me, "Brandon, great story." 167 00:08:46,059 --> 00:08:49,329 He was just a really nice guy. 168 00:08:49,362 --> 00:08:51,064 Narrator: Girardi's closing argument 169 00:08:51,064 --> 00:08:53,967 is a folksy master class in persuasion. 170 00:08:54,067 --> 00:08:55,435 You know what? 171 00:08:56,936 --> 00:08:58,905 You're gonna do the right thing. 172 00:08:58,938 --> 00:09:00,173 I know you will. 173 00:09:00,206 --> 00:09:02,676 Tom Girardi's clients needed a win. 174 00:09:02,709 --> 00:09:06,846 He was the man who was gonna solve their problems. 175 00:09:06,880 --> 00:09:08,481 He was their hero. 176 00:09:08,515 --> 00:09:13,319 Narrator: The jury awards Girardi's client nearly $18 million. 177 00:09:13,353 --> 00:09:14,587 I didn't know who he was. 178 00:09:14,621 --> 00:09:16,256 I mentioned this to one of my colleagues, 179 00:09:16,289 --> 00:09:19,025 and he was like, "Oh, yeah, he's kind of a big deal. 180 00:09:19,025 --> 00:09:20,427 He was one of the Erin Brockovich lawyers, 181 00:09:20,460 --> 00:09:22,195 and his wife's on 'Real Housewives.'" 182 00:09:22,228 --> 00:09:24,130 And I was like, "Wow. This guy remembered me." 183 00:09:24,164 --> 00:09:26,266 I can only imagine how clients would have felt, 184 00:09:26,299 --> 00:09:30,103 being treated like they really mattered to him. 185 00:09:30,136 --> 00:09:31,538 Narrator: Six years later, 186 00:09:31,571 --> 00:09:35,241 and only days before Erika Jayne files for divorce, 187 00:09:35,275 --> 00:09:38,478 Tom will give his last-known on-camera interview 188 00:09:38,511 --> 00:09:41,548 to personal-injury attorney Daniel Forouzan, 189 00:09:41,581 --> 00:09:43,850 who lands Girardi as a marquee guest 190 00:09:43,883 --> 00:09:48,488 on his "Schmoozin' with Forouzan" podcast. 191 00:09:48,521 --> 00:09:51,624 ** 192 00:09:51,658 --> 00:09:53,059 Hi. 193 00:09:53,093 --> 00:09:54,627 My name is Daniel Forouzan, and welcome to the first episode 194 00:09:54,661 --> 00:09:56,563 of the "Schmoozin' with Forouzan" podcast. 195 00:09:56,596 --> 00:09:58,765 I went in there thinking to myself, "Oh, wonderful. 196 00:09:58,798 --> 00:10:01,968 I got a big name for the first episode of my podcast." 197 00:10:02,002 --> 00:10:03,470 That's all I knew. 198 00:10:03,503 --> 00:10:05,205 And I was excited to listen to him, and learn. 199 00:10:05,238 --> 00:10:07,173 Narrator: Sharing that interview exclusively 200 00:10:07,207 --> 00:10:09,576 with "American Greed," Forouzan learns that 201 00:10:09,609 --> 00:10:13,313 Girardi's happy to talk shop about his Dodgers win. 202 00:10:13,346 --> 00:10:14,714 Not too long ago, sir, 203 00:10:14,748 --> 00:10:18,918 I was listening live to your closing 204 00:10:18,952 --> 00:10:20,720 in the Bryan Stow case, 205 00:10:20,754 --> 00:10:22,655 and now here I am, sitting across from you, 206 00:10:22,689 --> 00:10:24,190 getting to ask you all these questions. 207 00:10:24,224 --> 00:10:26,226 I can't tell you how excited I am. 208 00:10:26,259 --> 00:10:29,696 I got all the accolades -- "Girardi won." 209 00:10:29,729 --> 00:10:31,464 Forget about it, baby." 210 00:10:31,498 --> 00:10:34,668 It was that wonderful, sweet client 211 00:10:34,701 --> 00:10:37,637 that those jurors really liked. 212 00:10:37,671 --> 00:10:40,373 He says things like, "Forget about it, baby." 213 00:10:40,407 --> 00:10:41,641 And I'm thinking to myself, 214 00:10:41,675 --> 00:10:43,043 "Oh, my God. I'm in 'Dick Tracy.' 215 00:10:43,076 --> 00:10:44,244 What's going on here? 216 00:10:44,277 --> 00:10:45,478 Do we still speak like that?" 217 00:10:45,512 --> 00:10:48,281 At the time, I found that charming, 218 00:10:48,314 --> 00:10:50,917 because no one else has ever spoken to me like that. 219 00:10:50,950 --> 00:10:55,689 Narrator: But clients say Girardi's charm never lasts for long. 220 00:10:57,557 --> 00:11:02,362 Coming up, Tom Girardi plays Erika Jayne's Prince Charming. 221 00:11:02,395 --> 00:11:05,265 He had so much power and influence and money 222 00:11:05,298 --> 00:11:07,067 that he could take kind of a nobody 223 00:11:07,100 --> 00:11:08,768 and make her into a star. 224 00:11:08,802 --> 00:11:13,206 Narrator: But who's really funding their fairytale lifestyle? 225 00:11:21,881 --> 00:11:27,187 ** 226 00:11:27,220 --> 00:11:32,525 ** 227 00:11:32,559 --> 00:11:36,696 Narrator: As a hot-shot L.A. lawyer, Tom Girardi cultivates 228 00:11:36,730 --> 00:11:40,333 a big-spending, showy reputation. 229 00:11:40,367 --> 00:11:47,540 Lowrey: Since the 1980s, he had a mansion in Pasadena. 230 00:11:47,574 --> 00:11:48,908 And he would entertain politicians. 231 00:11:48,942 --> 00:11:50,477 He'd entertain other lawyers. 232 00:11:50,510 --> 00:11:53,913 And this goes back long before Erika. 233 00:11:53,947 --> 00:11:57,317 Narrator: By the late '90's, when he meets 27-year-old 234 00:11:57,350 --> 00:11:59,786 cocktail waitress Erika Chahoy, 235 00:11:59,819 --> 00:12:02,722 they're a match made in Hollywood. 236 00:12:02,756 --> 00:12:06,126 Sharp: Tom Girardi and Erika are two peas in a pod. 237 00:12:06,159 --> 00:12:10,663 And when they met, it was like a stereotype ran into a cliché. 238 00:12:10,697 --> 00:12:15,068 Narrator: They marry in 2000, and the one-time exotic dancer 239 00:12:15,068 --> 00:12:18,471 begins her metamorphosis to Erika Jayne, 240 00:12:18,505 --> 00:12:20,740 the aspiring singer and celebrity 241 00:12:20,774 --> 00:12:26,079 bankrolled by her new husband 33 years her senior. 242 00:12:26,112 --> 00:12:28,581 Author Kathleen Sharp will spend years 243 00:12:28,615 --> 00:12:31,217 investigating Tom Girardi. 244 00:12:31,251 --> 00:12:32,585 Sharp: They're very similar, 245 00:12:32,619 --> 00:12:37,223 their ambitions and their public personas. 246 00:12:37,257 --> 00:12:40,794 She was very clever to hitch her star to him. 247 00:12:40,827 --> 00:12:44,097 Narrator: But at the same time Erika's star is rising, 248 00:12:44,097 --> 00:12:47,901 Tom Girardi is about to take another big swing at Pacific Gas 249 00:12:47,934 --> 00:12:52,405 and Electric -- the company that made him rich and famous. 250 00:12:52,439 --> 00:12:56,109 They're behind another devastating disaster. 251 00:12:56,142 --> 00:12:57,577 And for Girardi, 252 00:12:57,610 --> 00:13:01,514 it's a new opportunity to cash in on tragedy. 253 00:13:07,153 --> 00:13:10,357 On a warm September evening in 2010, 254 00:13:10,390 --> 00:13:12,692 Joe Ruigomez is a teenager, 255 00:13:12,726 --> 00:13:16,763 at home watching a football game with his girlfriend. 256 00:13:16,796 --> 00:13:21,134 Suddenly, his entire neighborhood explodes. 257 00:13:21,167 --> 00:13:24,337 Almaguer: This city's reeling from an explosion so powerful 258 00:13:24,371 --> 00:13:27,640 it claimed lives and forever charred the landscape here. 259 00:13:27,674 --> 00:13:30,510 The local gas company, Pacific Gas and Electric, 260 00:13:30,543 --> 00:13:34,881 says a 30-inch gas line likely ruptured. 261 00:13:34,914 --> 00:13:40,220 Narrator: With burns covering his body, Joe clings to life. 262 00:13:40,253 --> 00:13:43,089 Amazingly, this is his second appearance 263 00:13:43,123 --> 00:13:45,091 as a victim on "American Greed." 264 00:13:45,125 --> 00:13:50,630 His first was in season 14, episode 11, "Burned by Greed," 265 00:13:50,663 --> 00:13:53,133 recounting how he survived the explosion 266 00:13:53,166 --> 00:13:57,470 caused by PG&E's negligence. 267 00:13:57,504 --> 00:13:58,705 Joe: Boom. 268 00:13:58,738 --> 00:14:01,508 Fire comes filling up the whole house. 269 00:14:01,541 --> 00:14:04,878 It's like a huge blowtorch, if you will. 270 00:14:04,911 --> 00:14:07,113 I don't know what's going on, but all I know is this is it. 271 00:14:07,147 --> 00:14:08,948 I'm, like, melting alive. 272 00:14:09,049 --> 00:14:10,483 It's over. 273 00:14:11,351 --> 00:14:14,354 Narrator: Joe's girlfriend, Jessica, perishes, 274 00:14:14,387 --> 00:14:18,058 along with seven others in San Bruno. 275 00:14:21,661 --> 00:14:24,264 Archie: Joe -- We don't know if he's gonna make it. 276 00:14:24,297 --> 00:14:26,533 And he's hooked up to a million tubes, 277 00:14:26,566 --> 00:14:30,270 and covered in bandages all over. 278 00:14:30,303 --> 00:14:33,973 You can't recognize him. 279 00:14:34,074 --> 00:14:38,078 Narrator: Kimberly Archie, a close friend of Joe's mother, 280 00:14:38,111 --> 00:14:39,946 knows many lawyers in her work 281 00:14:39,979 --> 00:14:42,282 as a youth sports safety advocate. 282 00:14:42,315 --> 00:14:45,552 Some of them have high praise for Tom Girardi. 283 00:14:45,585 --> 00:14:48,088 All they ever talked about was Tom Girardi. 284 00:14:48,088 --> 00:14:49,222 Tom Girardi this. 285 00:14:49,255 --> 00:14:50,824 "We'll take it to Tom." 286 00:14:50,857 --> 00:14:55,095 Narrator: And when it comes to winning against PG&E, 287 00:14:55,128 --> 00:14:57,530 no one has a better reputation. 288 00:14:57,564 --> 00:15:00,900 I ran the meeting, initially, when they met Tom 289 00:15:00,934 --> 00:15:06,239 because this was just a horrific nightmare for them. 290 00:15:06,272 --> 00:15:08,608 Narrator: But with a home in ashes, 291 00:15:08,641 --> 00:15:11,544 and facing a mountain of medical debt for Joe, 292 00:15:11,578 --> 00:15:15,181 the Ruigomez family, like so many of Girardi's clients, 293 00:15:15,215 --> 00:15:19,886 are vulnerable, as Joe's sister Jamie recalls. 294 00:15:19,919 --> 00:15:24,157 We thought, "Wow, like, he's an amazing lawyer. 295 00:15:24,190 --> 00:15:25,458 He's so well-known." 296 00:15:25,492 --> 00:15:27,827 We had no experience in that world. 297 00:15:27,861 --> 00:15:32,132 Like, we were a middle-class, blue-collar family. 298 00:15:32,165 --> 00:15:35,535 Narrator: The Ruigomez family signs on with Girardi-Keese, 299 00:15:35,568 --> 00:15:38,571 and their celebrity L.A. lawyer fights for them, 300 00:15:38,605 --> 00:15:43,376 suing PG&E for negligent procedures. 301 00:15:43,410 --> 00:15:45,512 Joe: I was in a coma for most of that. 302 00:15:45,545 --> 00:15:48,381 And I woke up, and they said, "This is our lawyer." 303 00:15:48,415 --> 00:15:49,849 Every time I talked to him, 304 00:15:49,883 --> 00:15:51,484 he'd whisper me sweet nothings all the time, 305 00:15:51,518 --> 00:15:53,186 you know, talk a good game. 306 00:15:53,219 --> 00:15:55,722 It just seemed logical to trust him. 307 00:15:57,490 --> 00:16:00,360 Narrator: As their case winds through the court, 308 00:16:00,393 --> 00:16:02,028 Joe's family friend, Kimberly, 309 00:16:02,062 --> 00:16:06,466 starts working closely with Tom as a litigation consultant, 310 00:16:06,499 --> 00:16:08,301 giving her an up-close look 311 00:16:08,335 --> 00:16:11,738 at Girardi's outrageous spending. 312 00:16:11,771 --> 00:16:15,875 He leases not one, but two, private jets, 313 00:16:15,909 --> 00:16:20,580 and drives a rotating fleet of luxury cars. 314 00:16:20,613 --> 00:16:23,049 Tom showers Erika with jewels, 315 00:16:23,049 --> 00:16:25,251 including the pièce de résistance -- 316 00:16:25,285 --> 00:16:29,656 $750,000 diamond earrings. 317 00:16:29,689 --> 00:16:35,161 His estimated net worth peaks at $100 million. 318 00:16:35,195 --> 00:16:37,497 Yet, for all his wealth, 319 00:16:37,530 --> 00:16:41,634 Archie notices something doesn't quite add up. 320 00:16:41,668 --> 00:16:46,072 Archie: I kept thinking, "How is he living like a billionaire 321 00:16:46,106 --> 00:16:47,440 on millionaire money?" 322 00:16:47,474 --> 00:16:50,110 I never thought he made that kind of money 323 00:16:50,143 --> 00:16:52,278 just on settlements. 324 00:16:52,312 --> 00:16:54,114 Narrator: She might be right. 325 00:16:54,147 --> 00:16:56,983 She just doesn't know it yet. 326 00:16:57,083 --> 00:17:03,890 ** 327 00:17:03,923 --> 00:17:07,527 Three years into their lawsuit against PG&E, 328 00:17:07,560 --> 00:17:11,331 Tom Girardi has exciting news for the Ruigomez family -- 329 00:17:11,364 --> 00:17:15,201 he's won them a multimillion-dollar settlement. 330 00:17:15,235 --> 00:17:17,370 Most is earmarked for Joe, 331 00:17:17,404 --> 00:17:20,173 who's already endured dozens of surgeries, 332 00:17:20,206 --> 00:17:22,409 and will require extensive medical care 333 00:17:22,442 --> 00:17:24,144 for the rest of his life. 334 00:17:24,177 --> 00:17:25,578 I didn't have any money at the time. 335 00:17:25,612 --> 00:17:27,614 Everything that me and my family owned 336 00:17:27,647 --> 00:17:29,416 was up in smoke -- literally. 337 00:17:29,449 --> 00:17:31,384 Narrator: But Joe's sister, Jamie, 338 00:17:31,418 --> 00:17:34,721 says Girardi isn't explaining the details 339 00:17:34,754 --> 00:17:35,955 of their settlement. 340 00:17:36,056 --> 00:17:37,624 We didn't see any paperwork. 341 00:17:37,657 --> 00:17:40,927 And once my mom started pressing him, 342 00:17:40,960 --> 00:17:44,497 he pretty much cut off communication with her. 343 00:17:44,531 --> 00:17:47,901 We had no idea what we were getting ourselves into. 344 00:17:47,934 --> 00:17:52,072 Narrator: And when Tom tells the family how much money they'll receive, 345 00:17:52,072 --> 00:17:57,610 instead of comforted, Jamie recalls feeling judged. 346 00:17:57,644 --> 00:18:01,314 He made me feel like I was being an ungrateful brat, 347 00:18:01,348 --> 00:18:04,651 as if he was expecting me to jump for joy 348 00:18:04,684 --> 00:18:06,186 that I got this money, 349 00:18:06,219 --> 00:18:09,422 but I lost everything that was important to me. 350 00:18:09,456 --> 00:18:14,494 Narrator: On top of that, Girardi's smarminess makes her suspicious. 351 00:18:14,527 --> 00:18:16,730 He called everybody, like, "Oh, baby," 352 00:18:16,763 --> 00:18:18,431 and, like, stuff like that. 353 00:18:18,465 --> 00:18:21,201 And he just tried too hard, and it was phony. 354 00:18:21,234 --> 00:18:22,869 He even called my father "baby." 355 00:18:22,902 --> 00:18:24,771 Like, what are you doing? 356 00:18:24,804 --> 00:18:28,274 Narrator: Coming up, more families in dire straits 357 00:18:28,308 --> 00:18:31,945 depend on Tom Girardi to be their champion 358 00:18:32,045 --> 00:18:33,213 of the little guy. 359 00:18:33,246 --> 00:18:35,148 We need this money for help. 360 00:18:35,181 --> 00:18:38,918 We don't want this to go buy lavishly. 361 00:18:38,952 --> 00:18:41,054 Narrator: But their lawyer does, 362 00:18:41,054 --> 00:18:43,656 and it will lead to his downfall. 363 00:18:43,690 --> 00:18:46,126 Edelson: This was not a small criminal operation. 364 00:18:46,159 --> 00:18:48,161 It was large. It was unwieldy. 365 00:18:48,194 --> 00:18:50,697 That is something out of a John Grisham novel. 366 00:18:57,826 --> 00:19:02,998 ** 367 00:19:02,998 --> 00:19:04,366 Narrator: In California, 368 00:19:04,400 --> 00:19:07,269 while the Ruigomez family trusts Tom Girardi 369 00:19:07,302 --> 00:19:09,138 to deliver millions in settlement money 370 00:19:09,171 --> 00:19:12,007 from the PG&E explosion lawsuit, 371 00:19:12,007 --> 00:19:13,776 halfway across the country, 372 00:19:13,809 --> 00:19:18,747 the Jones family is counting on him to answer their prayers. 373 00:19:18,781 --> 00:19:25,454 ** 374 00:19:25,487 --> 00:19:29,224 In Lyndon, Kansas, they're represented by Tom's firm 375 00:19:29,258 --> 00:19:31,493 as part of a 2012 lawsuit 376 00:19:31,527 --> 00:19:36,031 against the Johnson & Johnson drug Risperdal. 377 00:19:36,031 --> 00:19:38,233 After taking the drug as a child, 378 00:19:38,267 --> 00:19:41,036 Holly and her husband, Michael's, son Matthew, 379 00:19:41,036 --> 00:19:44,907 who is autistic, develops gynecomastia, 380 00:19:44,940 --> 00:19:47,910 male swelling of breast tissue. 381 00:19:47,943 --> 00:19:49,378 Insurance won't cover 382 00:19:49,411 --> 00:19:53,349 the corrective operation that he needs. 383 00:19:53,382 --> 00:19:58,287 Holly: It broke my heart to see him going through that, 384 00:19:58,320 --> 00:20:03,392 and I couldn't make it better right away. 385 00:20:03,425 --> 00:20:07,563 Narrator: When Michael dies from lung cancer in 2016, 386 00:20:07,596 --> 00:20:10,332 Holly and her children are left reeling, 387 00:20:10,366 --> 00:20:12,334 and financially strapped. 388 00:20:12,368 --> 00:20:15,137 Holly suffers brain and physical injuries, 389 00:20:15,170 --> 00:20:16,872 leaving her disabled. 390 00:20:16,905 --> 00:20:19,775 They hope for a miracle settlement for Matt 391 00:20:19,808 --> 00:20:22,144 and a little money to repair their home, 392 00:20:22,177 --> 00:20:24,847 if there's anything left over. 393 00:20:24,880 --> 00:20:26,849 Kellie: And it's not that we want this money. 394 00:20:26,882 --> 00:20:30,052 It's that a lot of us can't afford this stuff. 395 00:20:30,085 --> 00:20:33,088 We can't afford Matt's surgery. 396 00:20:33,122 --> 00:20:35,591 Narrator: Though Girardi-Keese advertises 397 00:20:35,624 --> 00:20:38,494 that "we treat our clients like family," 398 00:20:38,527 --> 00:20:42,698 the Joneses say they receive hardly a word of correspondence. 399 00:20:42,731 --> 00:20:44,900 Kellie: We kept getting pushed off, and pushed off, 400 00:20:44,933 --> 00:20:47,670 and pushed off, and pushed off, and we needed the help. 401 00:20:47,703 --> 00:20:53,075 Something just wasn't right in the way they handled you, 402 00:20:53,108 --> 00:20:55,010 the way they treated you. 403 00:20:55,044 --> 00:20:56,812 Narrator: Finally, after seven years, 404 00:20:56,845 --> 00:20:59,848 Girardi-Keese notifies Holly that they've negotiated 405 00:20:59,882 --> 00:21:03,318 a settlement with Risperdal's manufacturer. 406 00:21:03,352 --> 00:21:06,855 It will allow the Joneses to pay for Matt's surgery 407 00:21:06,889 --> 00:21:08,390 and fix up their home. 408 00:21:08,424 --> 00:21:11,660 The amount is modest -- just $12,000 -- 409 00:21:11,694 --> 00:21:14,963 but for the Jones family, it's life-changing. 410 00:21:15,064 --> 00:21:18,500 For the Girardis, 12 grand is a night out. 411 00:21:18,534 --> 00:21:22,271 * Cha-ching, it's expensive to be me * 412 00:21:22,304 --> 00:21:24,773 Narrator: Erika's video "Xxpen$ive" 413 00:21:24,807 --> 00:21:28,610 lays out her thoughts on money management. 414 00:21:28,644 --> 00:21:32,648 Erika was the perfect mate, in that she loved to spend money 415 00:21:32,681 --> 00:21:35,684 just as much as Tom did, if not more. 416 00:21:35,718 --> 00:21:38,454 It was a trophy, to him, to say, like, 417 00:21:38,487 --> 00:21:40,556 "I paid for her music video." 418 00:21:40,589 --> 00:21:42,825 Narrator: As reality TV royalty, 419 00:21:42,858 --> 00:21:46,929 Erika reportedly tallies more than $14 million 420 00:21:46,962 --> 00:21:49,098 in American Express charges. 421 00:21:49,131 --> 00:21:52,534 But her celebrity seems to pay off for Tom. 422 00:21:52,568 --> 00:21:55,604 How has the reality television affected your career? 423 00:21:55,637 --> 00:21:58,507 How has it affected the marketing for you office? 424 00:21:58,540 --> 00:22:01,210 I would be in a hotel room in New Orleans, 425 00:22:01,243 --> 00:22:04,179 20 people come running up -- 426 00:22:04,213 --> 00:22:06,215 "Are you Erika's husband?" 427 00:22:09,084 --> 00:22:12,588 Narrator: Erika talks about enlisting a $40,000-a-month 428 00:22:12,621 --> 00:22:17,660 "glam squad," and goes on eye-popping spending sprees. 429 00:22:20,562 --> 00:22:24,199 Tom and Erika had money to buy whatever they wanted. 430 00:22:24,233 --> 00:22:26,835 They didn't necessarily have the most taste. 431 00:22:26,869 --> 00:22:29,304 And I think that's really where the spirit of greed 432 00:22:29,338 --> 00:22:32,841 comes from -- people who just have an empty want. 433 00:22:32,875 --> 00:22:36,178 Narrator: Yet, while Tom's living it up with Erika, 434 00:22:36,211 --> 00:22:40,282 his clients are just trying to survive. 435 00:22:40,315 --> 00:22:42,518 He was brilliant at getting the recovery, 436 00:22:42,551 --> 00:22:46,822 getting a payment made by the defendants in these lawsuits. 437 00:22:46,855 --> 00:22:49,658 He just wasn't very good at allocating those funds 438 00:22:49,692 --> 00:22:51,527 where they should have been paid. 439 00:22:51,560 --> 00:22:55,297 Narrator: The Ruigomez family discovers that firsthand. 440 00:22:55,331 --> 00:22:56,699 They've asked "American Greed" 441 00:22:56,732 --> 00:22:58,934 to keep the exact amount confidential, 442 00:22:58,967 --> 00:23:02,771 but, by 2018, they allege that Girardi pays them 443 00:23:02,805 --> 00:23:04,139 only a small fraction 444 00:23:04,173 --> 00:23:06,208 of their multimillion-dollar settlement, 445 00:23:06,241 --> 00:23:10,145 telling Joe he'll eventually get the rest. 446 00:23:10,179 --> 00:23:14,350 At first, Girardi's rationale sounds plausible. 447 00:23:14,383 --> 00:23:16,852 Joe: "You're gonna get payments every five years, 448 00:23:16,885 --> 00:23:18,320 lump sums every five years, 449 00:23:18,354 --> 00:23:20,656 and then, you're gonna get annuity every month." 450 00:23:20,689 --> 00:23:22,691 And I'm like, "Oh, that makes sense. 451 00:23:22,725 --> 00:23:24,193 I'm young, you know." 452 00:23:24,226 --> 00:23:26,228 Narrator: Neil Wertlieb is a lawyer 453 00:23:26,261 --> 00:23:28,697 and ethics expert in California. 454 00:23:28,731 --> 00:23:31,367 The clients, they don't really have the access 455 00:23:31,400 --> 00:23:35,337 to the information to figure out what they're entitled to 456 00:23:35,371 --> 00:23:37,673 unless the lawyer does what they're supposed to do, 457 00:23:37,706 --> 00:23:41,310 which is to tell them precisely what's been received, 458 00:23:41,343 --> 00:23:43,612 account for it basically to the penny, 459 00:23:43,645 --> 00:23:45,848 and whatever balance is remaining, 460 00:23:45,881 --> 00:23:48,984 all of that is supposed to be allocated to the clients. 461 00:23:49,084 --> 00:23:52,921 Narrator: Instead, his clients allege Girardi evades 462 00:23:52,955 --> 00:23:56,525 their pleas to see the actual paperwork from their settlement. 463 00:23:56,558 --> 00:23:58,827 They claim that he hedges on showing them 464 00:23:58,861 --> 00:24:02,665 his itemized fees, and he's late with payments. 465 00:24:02,698 --> 00:24:05,434 Joe: It's just another excuse, another excuse. 466 00:24:05,467 --> 00:24:08,771 That's when some red flags started popping up. 467 00:24:08,804 --> 00:24:12,074 Narrator: Red flags are just the beginning. 468 00:24:12,107 --> 00:24:14,243 Joe: Time would go on, and then, finally, 469 00:24:14,276 --> 00:24:17,279 if you press him enough, he'll finally pay you something. 470 00:24:17,312 --> 00:24:19,214 And then, eventually, that just stopped. 471 00:24:19,248 --> 00:24:20,549 Narrator: And back in Kansas, 472 00:24:20,582 --> 00:24:22,785 the Jones family says that Girardi-Keese 473 00:24:22,818 --> 00:24:28,257 plans to keep most of their tiny $12,500 settlement. 474 00:24:28,290 --> 00:24:31,694 Holly: They were going to take 40%, 475 00:24:31,727 --> 00:24:38,434 and they were also going to take $3,500 for postage, 476 00:24:38,467 --> 00:24:41,603 and copies, and filing fees. 477 00:24:41,637 --> 00:24:44,506 I know they did not spend that much. 478 00:24:44,540 --> 00:24:47,976 Narrator: Holly claims she doesn't get an itemized bill, 479 00:24:48,077 --> 00:24:49,278 and pushes back. 480 00:24:49,311 --> 00:24:52,681 Eventually, they settled for $6,000. 481 00:24:52,715 --> 00:24:55,517 Well, they said, "Okay, we'll pay you in a month." 482 00:24:55,551 --> 00:24:59,455 Month goes by, nothing happens. 483 00:24:59,488 --> 00:25:01,223 We kept calling them, and calling them, 484 00:25:01,256 --> 00:25:02,424 and calling them, 485 00:25:02,458 --> 00:25:04,827 and they would not respond to us. 486 00:25:04,860 --> 00:25:08,530 Narrator: Up next, when an Indonesian air disaster 487 00:25:08,564 --> 00:25:10,866 leaves widows and orphans in its wake, 488 00:25:10,899 --> 00:25:13,235 Tom Girardi is on the scene. 489 00:25:13,268 --> 00:25:16,939 Past clients warn, "Check your pockets." 490 00:25:17,039 --> 00:25:22,378 If you're unlucky enough to have touched Tom Girardi, 491 00:25:22,411 --> 00:25:24,446 he probably had your wallet. 492 00:25:32,615 --> 00:25:40,657 ** 493 00:25:40,690 --> 00:25:45,762 By 2018, Chicago consumer law attorney Jay Edelson 494 00:25:45,795 --> 00:25:48,865 has a chance to collaborate as a co-counsel 495 00:25:48,898 --> 00:25:52,935 with the man who has helped inspire his career -- 496 00:25:52,969 --> 00:25:54,904 Tom Girardi. 497 00:25:54,937 --> 00:25:59,308 But Edelson is about to find new truth in an old saying -- 498 00:25:59,342 --> 00:26:03,179 "Never meet your heroes. They'll only disappoint." 499 00:26:03,212 --> 00:26:04,814 Edelson: He operated like a mob boss, 500 00:26:04,847 --> 00:26:06,616 you know, what you see in "The Sopranos," 501 00:26:06,649 --> 00:26:08,318 where they're at the restaurant all day, 502 00:26:08,351 --> 00:26:09,619 and if you want a meeting with them, 503 00:26:09,652 --> 00:26:11,054 you've got to come to the restaurant. 504 00:26:11,087 --> 00:26:12,388 It wasn't like any other attorney 505 00:26:12,422 --> 00:26:14,090 I'd ever met in my life. 506 00:26:14,123 --> 00:26:18,194 Narrator: And talking about the opioids case they might work on, 507 00:26:18,227 --> 00:26:22,932 in Jay Edelson's opinion, Tom is shockingly charmless. 508 00:26:23,032 --> 00:26:26,035 Edelson: Within 30 seconds, you realize he's a horrible person. 509 00:26:26,035 --> 00:26:27,637 And it was clear he was full of [bleep]. 510 00:26:27,670 --> 00:26:29,572 It was just clear from the very beginning. 511 00:26:29,605 --> 00:26:31,407 He didn't know anything about the case. 512 00:26:31,441 --> 00:26:35,378 He had no strategy other than just to wield his influence. 513 00:26:35,411 --> 00:26:37,313 It was not a good mix. 514 00:26:37,347 --> 00:26:39,482 Narrator: But against his better judgment, 515 00:26:39,515 --> 00:26:43,152 Edelson will give Girardi a second chance. 516 00:26:48,358 --> 00:26:50,827 Now to that growing air-disaster mystery, 517 00:26:50,860 --> 00:26:52,295 a Boeing passenger plane, 518 00:26:52,328 --> 00:26:54,063 the company's most recent design, 519 00:26:54,063 --> 00:26:55,698 suddenly plunging into the sea, 520 00:26:55,732 --> 00:26:59,068 likely killing all 189 people on board. 521 00:26:59,102 --> 00:27:00,670 And the question is, 522 00:27:00,703 --> 00:27:03,206 what caused a brand-new plane to go down in clear skies? 523 00:27:03,239 --> 00:27:07,276 Narrator: When a Boeing 737 MAX, owned by Lion Air, 524 00:27:07,310 --> 00:27:09,278 crashes in Indonesia, 525 00:27:09,312 --> 00:27:12,115 Girardi-Keese swoops in to represent 526 00:27:12,148 --> 00:27:14,384 a dozen grieving family members, 527 00:27:14,417 --> 00:27:17,186 most of them widows and orphans, 528 00:27:17,220 --> 00:27:21,891 in a lawsuit against Chicago-based Boeing and others. 529 00:27:21,924 --> 00:27:25,461 A few months later, we got a call from Tom Girardi's firm, 530 00:27:25,495 --> 00:27:28,564 saying, "We're gonna file the case in Chicago, 531 00:27:28,598 --> 00:27:31,034 and we'd like you to help out." 532 00:27:31,034 --> 00:27:34,437 Narrator: When Edelson confirms that Girardi won't be 533 00:27:34,470 --> 00:27:38,708 directly involved with the legwork, he signs on. 534 00:27:38,741 --> 00:27:43,212 Both firms agree to a 50/50 fee split, 535 00:27:43,246 --> 00:27:47,050 and, in February of 2020, Girardi and Edelson 536 00:27:47,050 --> 00:27:50,953 celebrate a multimillion-dollar settlement for their clients. 537 00:27:51,054 --> 00:27:55,191 Girardi-Keese is responsible for promptly paying the families 538 00:27:55,224 --> 00:27:58,061 and cutting co-counsel their share. 539 00:27:58,061 --> 00:28:00,496 But, as a federal judge will later find, 540 00:28:00,530 --> 00:28:06,002 by that September, Edelson's firm hasn't seen a dime. 541 00:28:06,002 --> 00:28:09,505 We were calling every week, trying to get more information, 542 00:28:09,539 --> 00:28:11,674 and we kept getting stalled. 543 00:28:11,708 --> 00:28:15,144 Narrator: The Ruigomez family knows the feeling. 544 00:28:15,178 --> 00:28:17,246 After years of runaround, 545 00:28:17,280 --> 00:28:20,383 they've started sleuthing into Girardi's past, 546 00:28:20,416 --> 00:28:23,786 and discovered a laundry list of complaints against him 547 00:28:23,820 --> 00:28:26,656 they find online. 548 00:28:26,689 --> 00:28:29,025 They tell their friend, Kimberly Archie, 549 00:28:29,025 --> 00:28:30,493 what they found. 550 00:28:31,828 --> 00:28:35,665 As a host of civil lawsuits will later allege, 551 00:28:35,698 --> 00:28:38,034 Tom Girardi seems to have been regularly 552 00:28:38,034 --> 00:28:41,337 transferring client settlements into his own bank accounts 553 00:28:41,371 --> 00:28:44,607 to sustain his obscene spending. 554 00:28:44,640 --> 00:28:46,509 Edelson: When money comes in as client money, 555 00:28:46,542 --> 00:28:48,544 you have to put it in a separate account. 556 00:28:48,578 --> 00:28:50,246 It is sacrosanct. 557 00:28:50,279 --> 00:28:52,582 Narrator: Client funds are supposed to be kept 558 00:28:52,615 --> 00:28:55,284 in a trust account that's registered 559 00:28:55,318 --> 00:28:59,288 and regulated by the California State Bar. 560 00:28:59,322 --> 00:29:02,058 Lawyers are also bound to follow 561 00:29:02,091 --> 00:29:05,194 specific payment procedures. 562 00:29:05,228 --> 00:29:07,697 Let's say it's $100,000 in the trust account, 563 00:29:07,730 --> 00:29:10,299 and I have a 40% contingency fee on that. 564 00:29:10,333 --> 00:29:14,303 So, if I get my client $100,000, I will take the $40,000, 565 00:29:14,337 --> 00:29:16,139 move it out of the trust account, 566 00:29:16,172 --> 00:29:17,707 put it into my operating account 567 00:29:17,740 --> 00:29:20,743 before I ever touch a penny or a nickel of that money. 568 00:29:20,777 --> 00:29:22,345 Why? 569 00:29:22,378 --> 00:29:24,013 While it's in your trust account, it's not your money. 570 00:29:24,013 --> 00:29:26,082 That belongs to your clients. 571 00:29:26,115 --> 00:29:28,551 Narrator: Bankruptcy trustees will later claim 572 00:29:28,584 --> 00:29:31,454 not if you're Tom Girardi. 573 00:29:31,487 --> 00:29:34,390 He took the funds for his own use, 574 00:29:34,424 --> 00:29:37,327 his own personal expenses, for gifts to his wife, 575 00:29:37,360 --> 00:29:38,828 whatever it might have been. 576 00:29:38,861 --> 00:29:42,932 Narrator: It's called "commingling client funds." 577 00:29:43,032 --> 00:29:45,702 Wertlieb: The amount of money that was involved here 578 00:29:45,735 --> 00:29:47,437 became very attractive. 579 00:29:47,470 --> 00:29:51,341 Perhaps he saw those funds, and thought "I've earned it. 580 00:29:51,374 --> 00:29:53,042 I deserve it. I want it." 581 00:29:53,076 --> 00:29:57,046 Commingling funds is the fast track to getting disbarred -- 582 00:29:57,046 --> 00:30:02,018 or it was supposed to be the fast track of getting disbarred. 583 00:30:02,051 --> 00:30:04,587 Narrator: Instead, the California State Bar 584 00:30:04,620 --> 00:30:08,825 inducts Girardi into the Trial Lawyer Hall of Fame. 585 00:30:08,858 --> 00:30:11,928 Lowrey: On the surface, this is about a celebrity couple, 586 00:30:11,961 --> 00:30:15,631 but what it's really about, it's about a lot of people 587 00:30:15,665 --> 00:30:20,069 who have been victimized once, twice, three times. 588 00:30:20,103 --> 00:30:24,173 Narrator: The Ruigomez family knows that feeling, as well. 589 00:30:24,207 --> 00:30:26,242 Jamie: It really is a slap in the face 590 00:30:26,275 --> 00:30:29,445 because we'll just sit there watching TV, and be like, 591 00:30:29,479 --> 00:30:31,814 "Oh, that's what our money's being spent on. 592 00:30:31,848 --> 00:30:34,150 Oh, that's what all the other victims' money 593 00:30:34,183 --> 00:30:35,451 is being spent on. 594 00:30:35,485 --> 00:30:36,986 Oh, that's what you're doing with it." 595 00:30:37,020 --> 00:30:41,090 Narrator: Joe Ruigomez copes with constant, daily pain. 596 00:30:41,124 --> 00:30:44,927 But Girardi seems untouchable. 597 00:30:44,961 --> 00:30:47,597 Archie: Nobody is looking at any of this stuff. 598 00:30:47,630 --> 00:30:50,767 How could he have done it? Nobody knew. 599 00:30:50,800 --> 00:30:55,071 Narrator: Up next, Girardi has seemingly perfected hiding 600 00:30:55,104 --> 00:30:58,675 dirty little secrets in plain sight. 601 00:30:58,708 --> 00:31:01,778 Tom Girardi was not a work in progress. 602 00:31:01,811 --> 00:31:07,183 He was already a made man in the most corrupt way. 603 00:31:15,658 --> 00:31:20,496 ** 604 00:31:20,530 --> 00:31:24,500 Narrator: In 2019, Tom Girardi is regarded 605 00:31:24,534 --> 00:31:28,071 as one of the most successful litigators in America. 606 00:31:28,071 --> 00:31:32,709 Author Kathleen Sharp has known better since the 1990s. 607 00:31:32,742 --> 00:31:35,445 Tom was an operator way back when. 608 00:31:35,478 --> 00:31:37,113 Narrator: Way back in 2000, 609 00:31:37,146 --> 00:31:41,451 she writes a searing exposé on the Erin Brockovich case. 610 00:31:41,484 --> 00:31:45,355 Victims from that early PG&E case accuse Tom 611 00:31:45,388 --> 00:31:48,324 of the same lying and embezzlement racket 612 00:31:48,358 --> 00:31:50,760 that he's been accused of repeating with scores 613 00:31:50,793 --> 00:31:53,096 of complaining clients after them. 614 00:31:53,096 --> 00:31:55,131 Sharp: Here were these poor people 615 00:31:55,164 --> 00:31:57,166 who had suffered for years and years, 616 00:31:57,200 --> 00:32:01,571 and they trusted Girardi to make them, if not whole again, 617 00:32:01,604 --> 00:32:03,272 then at least to get some money, 618 00:32:03,306 --> 00:32:05,541 so they could take care of their medical problems. 619 00:32:05,575 --> 00:32:07,910 And that never really happened. 620 00:32:07,944 --> 00:32:09,545 Narrator: But there's more. 621 00:32:09,579 --> 00:32:11,848 Sharp: What I found was sort of a gold mine, 622 00:32:11,881 --> 00:32:14,584 which is the arbitration system. 623 00:32:14,617 --> 00:32:17,954 Narrator: Voluntary arbitration allows Girardi 624 00:32:18,054 --> 00:32:20,223 to steer some of his famous cases -- 625 00:32:20,256 --> 00:32:24,494 including the Erin Brockovich case -- into negotiation 626 00:32:24,527 --> 00:32:28,698 instead of a full-blown trial before a jury. 627 00:32:28,731 --> 00:32:32,935 Private, retired judges administer those cases. 628 00:32:32,969 --> 00:32:36,105 Sharp: They were earning hundreds of millions of dollars, 629 00:32:36,139 --> 00:32:38,608 paying judges two or three times 630 00:32:38,641 --> 00:32:41,344 what they had earned in the public sector. 631 00:32:41,377 --> 00:32:45,648 Narrator: Perhaps surprisingly, this is perfectly legal. 632 00:32:45,682 --> 00:32:47,517 Sharp: It wasn't just arbitration. 633 00:32:47,550 --> 00:32:51,387 It was him making friends with some of these private judges. 634 00:32:51,421 --> 00:32:54,857 But Tom took it a little bit farther. 635 00:32:54,891 --> 00:32:59,729 Narrator: Girardi wines and dines judges in L.A. 636 00:32:59,762 --> 00:33:03,666 He flies them to baseball games on his Gulfstream jet, 637 00:33:03,700 --> 00:33:06,369 and even charters Mediterranean cruises 638 00:33:06,402 --> 00:33:11,341 that his judge pals later call "educational seminars." 639 00:33:12,442 --> 00:33:15,645 There would be butlered waiters with silver trays 640 00:33:15,678 --> 00:33:19,115 full of champagne, or bikini-clad ladies 641 00:33:19,148 --> 00:33:21,551 frolicking on the sun-drenched decks. 642 00:33:21,584 --> 00:33:25,688 It gave decadence a bad name. 643 00:33:25,722 --> 00:33:30,460 Narrator: With arbitration, results are veiled in secrecy, 644 00:33:30,493 --> 00:33:34,063 so Girardi's payouts escape scrutiny. 645 00:33:34,063 --> 00:33:36,466 And in this good-old-boy culture, 646 00:33:36,499 --> 00:33:39,769 Girardi's official record with the California Bar 647 00:33:39,802 --> 00:33:41,771 remains spotless -- 648 00:33:41,804 --> 00:33:47,176 which is remarkable, because, zooming ahead to 2022, 649 00:33:47,210 --> 00:33:50,246 the Bar will disclose a jaw-dropping number 650 00:33:50,279 --> 00:33:52,615 of complaints and lawsuits -- 651 00:33:52,648 --> 00:33:54,751 more than 200, 652 00:33:54,784 --> 00:33:58,821 dating all the way back to the early 1980s. 653 00:33:58,855 --> 00:34:03,459 They taught me a thing or two about not only 654 00:34:03,493 --> 00:34:07,096 how to fleece your clients, but how to get away with it. 655 00:34:07,130 --> 00:34:12,468 Narrator: Girardi quietly settles some of the cases in a Ponzi-like way, 656 00:34:12,502 --> 00:34:16,039 paying off old debts with new money. 657 00:34:16,039 --> 00:34:18,274 Other times, court findings show 658 00:34:18,307 --> 00:34:22,311 he simply runs out the statute of limitations. 659 00:34:22,345 --> 00:34:24,480 And Girardi thumbs his nose 660 00:34:24,514 --> 00:34:27,350 at a mandate from the California Bar. 661 00:34:27,383 --> 00:34:32,689 There were 37 cases where he was required to report himself. 662 00:34:32,722 --> 00:34:36,225 The Bar trusted him to report his own misconduct, 663 00:34:36,259 --> 00:34:37,527 and he just didn't. 664 00:34:37,560 --> 00:34:40,797 Basically, if you're unlucky enough 665 00:34:40,830 --> 00:34:46,069 to have touched Tom Girardi, he probably had your wallet. 666 00:34:47,837 --> 00:34:53,676 Narrator: But by 2019, the Ruigomez family has had enough of Tom Girardi. 667 00:34:53,710 --> 00:34:57,547 They not only fire him, they sue him. 668 00:34:57,580 --> 00:35:01,551 Archie: The day that Kathy's family sued Tom 669 00:35:01,584 --> 00:35:02,885 was the beginning of the end. 670 00:35:02,919 --> 00:35:04,487 That unraveled everything. 671 00:35:04,520 --> 00:35:06,923 Narrator: The judge issues Erika Jayne-Girardi 672 00:35:07,023 --> 00:35:11,127 two subpoenas, asking for shared financial records. 673 00:35:11,160 --> 00:35:15,698 That's what led to Erika being served, 674 00:35:15,732 --> 00:35:20,236 and finding out that, really, Tom has no money. 675 00:35:20,269 --> 00:35:22,405 Narrator: Though Erika has publicly blamed 676 00:35:22,438 --> 00:35:26,376 Tom's alleged cheating as her reason for divorcing him, 677 00:35:26,409 --> 00:35:29,312 Jay Edelson doesn't buy it. 678 00:35:29,345 --> 00:35:32,915 It didn't make sense until Erika filed for divorce. 679 00:35:32,949 --> 00:35:35,718 Then, we said, "That's what's been happening the whole time. 680 00:35:35,752 --> 00:35:40,590 The old man went through all the money." 681 00:35:40,623 --> 00:35:41,924 Narrator: Up next... 682 00:35:41,958 --> 00:35:45,294 Edelson: At that point, he was known to be a crook. 683 00:35:45,328 --> 00:35:49,065 His whole reputation ended like that. 684 00:35:56,821 --> 00:36:04,396 ** 685 00:36:04,429 --> 00:36:08,667 Narrator: A lawsuit against Tom Girardi, brought by his former clients, 686 00:36:08,700 --> 00:36:12,237 the Ruigomez family, has ruptured his reputation. 687 00:36:12,270 --> 00:36:14,873 And now, all hell is breaking loose. 688 00:36:14,906 --> 00:36:17,876 Edelson: When they brought their suit, and started having success, 689 00:36:17,909 --> 00:36:19,544 the lenders start cutting him off. 690 00:36:19,577 --> 00:36:22,480 He was relying on a lot of outside money 691 00:36:22,514 --> 00:36:25,817 to keep it going, and that stopped that. 692 00:36:25,850 --> 00:36:30,121 Narrator: Girardi is dangerously deep in debt, baby, 693 00:36:30,155 --> 00:36:32,724 as he reveals in a video deposition 694 00:36:32,757 --> 00:36:34,459 for the Ruigomez case. 695 00:36:52,410 --> 00:36:57,882 ** 696 00:36:57,916 --> 00:37:01,152 Narrator: In Chicago, Jay Edelson is deeply worried 697 00:37:01,186 --> 00:37:04,155 about his clients, and is horrified to discover 698 00:37:04,189 --> 00:37:07,792 that they've received barely half of their settlement money. 699 00:37:07,826 --> 00:37:10,161 And we now know the clients were saying to them, 700 00:37:10,195 --> 00:37:12,597 were screaming "Where's our money?" 701 00:37:16,368 --> 00:37:21,706 Narrator: On December 2, 2020, Jay Edelson files a 30-page, 702 00:37:21,740 --> 00:37:25,176 five-count civil complaint against Tom, Erika, 703 00:37:25,210 --> 00:37:28,079 and other Girardi-Keese associates. 704 00:37:28,113 --> 00:37:30,281 Edelson: In my view, it is a crime family. 705 00:37:30,315 --> 00:37:33,518 That's what it is. That is how they operated. 706 00:37:33,551 --> 00:37:36,287 Narrator: Just two weeks later, on December 14th, 707 00:37:36,321 --> 00:37:38,089 Judge Thomas Durkin 708 00:37:38,123 --> 00:37:41,393 calls Girardi's behavior "unconscionable," 709 00:37:41,426 --> 00:37:46,197 and demands $2 million to be paid to the Lion Air families. 710 00:37:46,231 --> 00:37:49,534 But Tom Girardi is broke. 711 00:37:49,567 --> 00:37:51,703 The court issued the judgment. 712 00:37:51,736 --> 00:37:53,038 They froze his assets. 713 00:37:53,071 --> 00:37:55,140 A criminal investigation started. 714 00:37:55,173 --> 00:37:57,275 He then was forced into bankruptcy. 715 00:37:57,309 --> 00:38:00,679 And at that point, he was known to be a crook. 716 00:38:00,712 --> 00:38:05,283 His whole reputation ended like that, overnight. 717 00:38:05,317 --> 00:38:08,086 Narrator: Over the next two years, new civil lawsuits 718 00:38:08,119 --> 00:38:12,891 filed by Jay Edelson pour in, alleging Tom embezzled funds, 719 00:38:12,991 --> 00:38:17,262 and Erika helped him hide more than $20 million in assets 720 00:38:17,295 --> 00:38:20,699 through loans to her company, EJ Global. 721 00:38:20,732 --> 00:38:23,401 Edelson: We sued under federal statute RICO, 722 00:38:23,435 --> 00:38:26,871 which is the statute that you use to go after the mob. 723 00:38:26,905 --> 00:38:30,408 We know that she knew that the money had run out 724 00:38:30,442 --> 00:38:32,811 at a time when she was pretending otherwise. 725 00:38:32,844 --> 00:38:34,546 That's why we've claimed she was 726 00:38:34,579 --> 00:38:36,414 the front woman of the enterprise. 727 00:38:36,448 --> 00:38:39,317 Narrator: And in a statement to "American Greed," 728 00:38:39,351 --> 00:38:41,586 Erika's attorney vocally denies 729 00:38:41,619 --> 00:38:44,022 all the lawsuit's claims against her, 730 00:38:44,022 --> 00:38:46,891 writing that they are "disappointed with the focus 731 00:38:46,925 --> 00:38:51,329 on Erika, which has been used as a distraction tactic. 732 00:38:51,363 --> 00:38:55,133 She had no knowledge of, and did not participate in, 733 00:38:55,166 --> 00:38:57,035 any misconduct. 734 00:38:57,035 --> 00:38:59,070 And she turned over her earnings 735 00:38:59,104 --> 00:39:00,972 to her husband and his law firm." 736 00:39:01,006 --> 00:39:06,077 But Erika doesn't turn over those infamous $750,000 earrings 737 00:39:06,111 --> 00:39:09,080 from Tom until a court order demands 738 00:39:09,114 --> 00:39:11,349 she submit them for auction. 739 00:39:12,484 --> 00:39:14,219 I'm angry. I'm upset. 740 00:39:14,252 --> 00:39:17,055 Here you are, flashing all this stuff off, 741 00:39:17,088 --> 00:39:19,257 and that shouldn't be your stuff. 742 00:39:19,290 --> 00:39:20,992 All of that should be gone. 743 00:39:20,992 --> 00:39:25,330 All of that should be money towards the people who need it. 744 00:39:25,363 --> 00:39:29,567 Auctioneers sell them for 312 grand. 745 00:39:29,601 --> 00:39:31,603 After months in foreclosure, 746 00:39:31,636 --> 00:39:37,008 Tom's opulent Pasadena mansion sells for $8 million. 747 00:39:37,008 --> 00:39:39,477 The expensive treasures left inside 748 00:39:39,511 --> 00:39:42,280 fetch less than a half a million. 749 00:39:42,314 --> 00:39:45,684 While the Girardis' divorce languishes in limbo, 750 00:39:45,717 --> 00:39:48,453 Tom lives in a memory-care facility, 751 00:39:48,486 --> 00:39:52,190 reportedly due to advancing Alzheimer's disease. 752 00:39:52,223 --> 00:39:55,427 18 months after suspending Girardi's law license 753 00:39:55,460 --> 00:39:57,662 due to his suspected cognitive decline, 754 00:39:57,696 --> 00:40:01,566 the California State Bar permanently disbars him, 755 00:40:01,599 --> 00:40:02,968 later writing that 756 00:40:03,001 --> 00:40:08,273 "Girardi caused irreparable harm to hundreds of his clients." 757 00:40:08,306 --> 00:40:10,976 Tom does not represent all lawyers. 758 00:40:11,009 --> 00:40:14,346 The vast majority of lawyers I know get up in the morning, 759 00:40:14,379 --> 00:40:16,881 and do good work on behalf of their clients. 760 00:40:16,915 --> 00:40:20,552 Narrator: Tom Girardi's attorney responded to "American Greed" 761 00:40:20,585 --> 00:40:23,621 with "no comment." 762 00:40:23,655 --> 00:40:26,691 And though at least one court has found no evidence 763 00:40:26,725 --> 00:40:29,494 that Erika participated in any wrongdoing, 764 00:40:29,527 --> 00:40:32,430 in a suit brought by Girardi's former colleagues, 765 00:40:32,464 --> 00:40:37,002 she and Tom still face a slew of civil cases, 766 00:40:37,035 --> 00:40:38,603 including Edelson's. 767 00:40:38,637 --> 00:40:40,905 Whatever role she may have played in this 768 00:40:40,939 --> 00:40:46,544 pales in comparison to the roles played by numerous people 769 00:40:46,578 --> 00:40:49,247 whose names we don't know. 770 00:40:49,280 --> 00:40:51,549 Tom would never have gotten as far as he did 771 00:40:51,583 --> 00:40:55,086 without all of these other people and enablers -- 772 00:40:55,120 --> 00:40:58,089 the other attorneys, the partners. 773 00:40:58,123 --> 00:40:59,924 Ever time you pull a thread, 774 00:41:00,025 --> 00:41:03,395 it kind of goes in 15 different directions. 775 00:41:03,428 --> 00:41:05,397 That's the difficulty in this case, 776 00:41:05,430 --> 00:41:10,435 that it really was a sprawling criminal conspiracy for decades. 777 00:41:10,468 --> 00:41:14,439 Narrator: Girardi's estimated debt is at least $100 million, 778 00:41:14,472 --> 00:41:19,311 with another $700 million in lawsuit claims against him. 779 00:41:19,344 --> 00:41:23,181 The Jones family has launched a GoFundMe campaign. 780 00:41:23,214 --> 00:41:25,917 And Holly wonders what justice might look like 781 00:41:25,950 --> 00:41:27,686 for the Girardis. 782 00:41:27,719 --> 00:41:29,321 This may sound harsh, 783 00:41:29,354 --> 00:41:32,290 but I want them to live like we have to live. 784 00:41:32,324 --> 00:41:37,128 And I want justice for all the clients 785 00:41:37,162 --> 00:41:39,331 who have been stolen from. 786 00:41:39,364 --> 00:41:42,100 Narrator: Jamie Ruigomez, whose family is still fighting 787 00:41:42,133 --> 00:41:46,404 to secure the rest of Joe's settlement, has another thought. 788 00:41:46,438 --> 00:41:48,206 Jamie: I don't care how old he is. 789 00:41:48,239 --> 00:41:49,708 No one should be above the law. 790 00:41:49,741 --> 00:41:52,477 He should be in prison. That's where I want him. 791 00:41:52,510 --> 00:41:55,714 Narrator: And that could be a possibility. 792 00:41:55,747 --> 00:41:59,617 In November 2022, federal agents in Baltimore 793 00:41:59,651 --> 00:42:02,754 arrest Tom Girardi's former C.F.O., Chris Kamon, 794 00:42:02,787 --> 00:42:05,590 on criminal charges for wire fraud. 795 00:42:05,623 --> 00:42:09,594 Though they declined to comment, FBI and IRS agents 796 00:42:09,627 --> 00:42:11,730 are reportedly pursuing investigations 797 00:42:11,763 --> 00:42:15,033 against Girardi and his associates. 798 00:42:15,033 --> 00:42:20,205 Would it be a happy ending to see an octogenarian in prison 799 00:42:20,238 --> 00:42:22,273 after he's already harmed everybody? 800 00:42:22,307 --> 00:42:24,476 The happiest ending we could hope for 801 00:42:24,509 --> 00:42:26,945 is that people start looking at the system, 802 00:42:27,045 --> 00:42:29,247 and changing the system, 803 00:42:29,280 --> 00:42:31,282 to prevent this from happening to other people. 804 00:42:31,316 --> 00:42:33,084 There's gonna be another Tom Girardi, 805 00:42:33,118 --> 00:42:36,054 and probably doing it right now. 806 00:42:36,054 --> 00:42:43,795 ** 807 00:42:43,828 --> 00:42:51,336 ** 808 00:42:51,369 --> 00:42:54,906 -- Captions by VITAC -- 809 00:42:54,939 --> 00:43:03,048 ** 810 00:43:03,081 --> 00:43:11,456 **