For much of their careers, major artists have to rely on their inner circle of professionals to assist them with many critical aspects of the business such as caring for the artist’s money and investments. Clearly, the artist trusts and relies on these professionals and when that trust is broken it is not good. In the case of icon Alanis Morissette, her former business manager has unfortunately broken that trust as today he admitted to embezzling an estimated $4.8 million from Morissette. Shockingly, Morissette was not the only victim as other celebrities and athletes too fell victim to Morissette’s former manager, Jonathan Schwartz from Los Angeles. Under the federal plea agreement, Schwartz agreed to plead guilty to federal charges which included wire fraud and filing a false tax return associated with the embezzled funds.
The embezzling activities took place between 2010 and 2014 as Schwartz used the money for personal expenses. To cover up the misdeed, Schwartz falsely listed the cash withdrawals as “sundry/personal expenses.”
When confronted about the embezzlement, Schwartz lied and said he had invested the money in an illegal marijuana growing business. Schwartz faces up to 23 years in federal prison if convicted, though his plea deal calls for a sentence between four and six years. Restitution in the amount of $8.2 million is also being sought by prosecutors. Sentencing is scheduled for Feb. 1.
Editor’s Note: Earlier in 2016 Morissette had sued Schwartz civilly in the California Superior Court and a copy of that complaint can be found here. The suit was later dropped.