BILLIONAIRE American financier Ron Perelman has sued his ex-wife, actor Ellen Barkin, saying she used a film production company they set up together to settle a personal score and to employ her brother.
Barkin, Perelman and Barkin`s brother, George Barkin, created Applehead Pictures LLC in 2005.
Later that year, Mr Perelman made the first and only payment of $US465,000 ($526,000) to Applehead, according to Mr Perelman`s account.
The couple divorced in 2006.
In August of this year, Applehead sued Mr Perelman in New York State Court, saying he never paid an extra $US3 million that he had pledged to cover the company`s operating expenses.
In a countersuit filed late on Tuesday, Mr Perelman argued the Barkins and several business associates had tried to sabotage Applehead and squandered his investment.
In May, the Barkins used part of Mr Perelman`s initial investment to create a new company, Applehead Pictures II LLC, that was intended to compete with the original company and cut Mr Perelman out of the picture, Mr Perelman`s lawsuit said.
"Barkin has used Applehead I`s funds to pursue a personal claim against Perelman," according to the lawsuit.
Mr Perelman said the Barkins had used his investment to pay fees related to Applehead II and to pay George Barkin, a former editor of High Times magazine, an annual salary of $US250,000.
The company also transferred $US7000 into Ellen Barkin`s control, presumably for her own use, the lawsuit said.
Jacob Buchdahl, a lawyer for Applehead, said Mr Perelman had agreed to George Barkin`s compensation package in 2005 and that the payment to Ellen Barkin was to repay a loan she had made to the company.
"This is just a classic example of not really investigating allegations before you launch a lawsuit," Mr Buchdahl said.
"Applehead II was intended for projects that Ron Perelman had no connection to."
