California attorney Michael Avenatti, known for representing porn actress Stormy Daniels in a lawsuit against U.S. President Donald Trump, was more than $15 million in debt when he allegedly tried to extort as much as $25 million from Nike Inc (NKE.N), U.S. prosecutors claimed.
Last week, Avenatti, 48, pleaded not guilty to an indictment accusing him of trying to extort up to $25 million from Nike by threatening to go public with claims the company made improper payments to athletes.
The celebrity lawyer is accused by prosecutors of demanding money from the athletic wear company in exchange for agreeing to scrap a threatened news conference to discuss Nike’s alleged improper payments to elite college basketball recruits.
A trial is scheduled for late in January. Nike, which has denied wrongdoing, did not immediately respond to a Reuters request for comment on Wednesday.