Lady Gaga sued for allegedly pocketing wristband proceeds

Lady Gaga attends a Tokyo news conference to promote MTV Video Music Aid Japan. (June 23, 2011) Credit: AP
Looks like Mother Monster's got some explaining to do.
According to reports published Monday, Lady Gaga and companies connected to her are being sued for allegedly pocketing profits made from her We Pray for Japan wristbands. In promoting the charity, the entertainer had promised that the proceeds would go to helping victims of the earthquake and tsunami that devastated parts of the country in March.
The suit, filed by 1-800-LAW-FIRM, accuses the organization behind the fundraiser of hiking shipping prices and keeping a portion of the $5 charged for the bracelets.
"The first issue that came up was that there was a sales tax being charged on a charitable contribution, then it came to our attention that. . .not all of the money was going to charity," Ari Kresch, an attorney for 1-800-LAW-FIRM, told E! News in an interview.
According to the court document filed in Michigan, these actions violate federal racketeering laws as well as several state-level consumer protection laws. (Read the claim here.)
When the federal class-action suit was filed against her Saturday in U.S. District Court in Eastern Michigan, the singer was about to perform at MTV Video Music Aid Japan, a benefit concert in Tokyo for tsunami victims, according to Business Insider.
Lady Gaga is expected to responded to the allegations on Tuesday.
Photo: Lady Gaga attends a Tokyo news conference to promote MTV Video Music Aid Japan. (June 23, 2011)
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