Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

‘Girls Gone Wild’ Ruled in Need of Trustee to Run Company

April 10 (Bloomberg) -- The company behind the “Girls Gone Wild” videos will be run by a federal bankruptcy trustee, a judge ruled after creditors accused the founder of the soft-core pornography franchise of using the business to dodge his debts.

Creditors of GGW Brands LLC, including Steve Wynn’s Wynn Las Vegas LLC, requested the trustee to stop the company from diverting cash to Joe Francis, who started the video series that features college-age women drinking, stripping and having sex in reality-TV style shows.

GGW Brands, which claims it has no formal ties to Francis, filed for bankruptcy in Los Angeles in February, listing debt of $16.3 million and assets of less than $50,000.

The company claims GGW has no responsibility to pay millions of dollars in court judgments against Francis that were won by Wynn Las Vegas and a woman who says a “Girls” video featured naked images of her without her permission.

GGW paid more than $800,000 in Francis’s American Express credit card bills so the video maker could maintain his “bad boy” image, the company said in court papers. Francis’s image and lavish lifestyle are necessary to sell GGW products, according to the company.

Creditors said in court filings that those payments and other evidence prove Francis controls GGW. Therefore, the company, based in the Los Angeles area, should pay the judgments, they said.

‘Mega Titans’

“What is before the court is a creditor of Mr. Francis trying to gain control of the debtor,” Robert Yaspan, a lawyer for GGW, told U.S. Bankruptcy Judge Sandra Klein today. He asked Klein to let “mega titans” Francis and Steve Wynn fight their battle outside the Chapter 11 proceedings.

Klein said Wynn Las Vegas had provided compelling evidence that the current company manager is a “figure head” and that Francis controls GGW.

Last year, Wynn and his company won a $7.5 million slander ruling against Francis when a Nevada judge found the video maker lied when he claimed to have proof that Wynn tricked high-end gamblers.

The case is In re GGW Brands, LLC 13-15130, U.S. Bankruptcy Court, Central District of California (Los Angeles)

To contact the reporters on this story: Steven Church in Wilmington, Delaware at schurch3@bloomberg.net; Edvard Pettersson in Los Angeles at epettersson@bloomberg.net

To contact the editors responsible for this story: Michael Hytha at mhytha@bloomberg.net; John Pickering at jpickering@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.