Jeff Shell Countersues Whistleblower for Defamation and Extortion
Attorneys for Jeff Shell have responded to claims made by R.J. Cipriani, accusing the Las Vegas gambler and whistleblower of defamation and extortion in a new countersuit on Monday.
The move comes after Cipriani sued the Paramount Skydance president for $150 million over allegedly failing to pay for 18 months of crisis communications services. Cipriani also accused Shell of disclosing material, non-public information about Paramount’s $7.7 billion UFC media rights deal and plans to submit a sweetened offer for Warner Bros. Discovery, which his lawyers say is an “utterly false tale.”
The cross-complaint, which was filed in the Superior Court of Los Angeles, claims that Cipriani used their mutual lawyer Patricia Glaser to cozy up to Shell, falsely claimed that he was helping him and then extorted the executive in an attempt to extract a massive payday.
“He thought he could manipulate Shell, the President of Paramount Skydance
Corporation, into paying millions in hush money to keep Cipriani from sabotaging
Shell’s reputation. He placed a high-stakes bet that, if he concocted an utterly false tale that Shell had disclosed confidential details about Paramount’s business, Shell would pay Cipriani a ransom to keep him from going public with his heinous lies,” the complaint states. “But Shell called his bluff: Shell had disclosed no such information, and he refused to pay a dime. Under black-letter California law, Cipriani’s use of threats to extract money was extortion. And Cipriani’s false and incendiary accusations in the press and to countless others that Shell had violated securities law are defamation per se.”
Shell’s lawyers said that the executive had never heard of Cipriani prior to the pair’s first meeting and never requested that Cipriani do anything for him or make promises of any kind.
They added that Shell did ask Cipriani for advice about certain online death threats he received in connection with Paramount’s dispute with “South Park” creators Trey Parker and Matt Stone, but that he “offered no meaningful insights or perspective” and declined Cipriani’s offer to help.
“Cipriani, however, later claimed — without Shell’s knowledge or consent — he had purportedly planted an article about the dispute that was favorable to Shell,” the complaint continues. “Shell did not believe him, and Cipriani acknowledged that Shell had never asked him to do so in any event, but Shell thanked him nonetheless.”
Shell’s lawyers added that Shell “politely declined” after Cipriani asked him to develop “Star Serenade” and never made any promises to produce the show. After Cipriani’s insistence, the pair met for another meeting.
“The short meeting — for which Glaser was again present the entire time — began with Cipriani hurling, out of nowhere, preposterous claims that he had been working for Shell for the past 18 months and demanding that Shell now pay him for his purported services,” the lawsuit notes. “There was no mention of any show purportedly dear to Cipriani’s heart; Cipriani demanded only money. Shell and Glaser were stunned. They had no idea what Cipriani was talking about — Shell had not asked for or received any services from Cipriani. Shell refused to pay anything and promptly left.”
Cipriani then filed a $150 million lawsuit in a “last desperate grasp for leverage,” the countersuit claims. They argue that the suit has “no basis in fact or law” and is “nothing more than a vehicle to continue his slanderous and extortionate campaign against Shell — and now his family — in the hopes of leveraging a settlement.”
Shell is seeking an unspecified amount of compensation for all damages and losses caused by Cipriani’s accusations. They’re also seeking an “injunction restraining Cipriani from further defaming Shell.”
Prior to being recruited by David Ellison, Shell was ousted from NBCUniversal in 2023 over allegations of sexual harassment from former CNBC correspondent Hadley Gamble, with whom he admitted to having an “inappropriate relationship.”
He would ultimately land at Gerry Cardinale’s RedBird Capital Partners, which helped fund Skydance’s $8 billion acquisition of Paramount and is backing the $47 billion in equity financing for Warner Bros. alongside the Ellison family. He would officially join the Paramount Skydance leadership team after the announcement of the merger in July 2024.
A representative for Cipriani did not immediately return TheWrap’s request for comment.
The post Jeff Shell Countersues Whistleblower for Defamation and Extortion appeared first on TheWrap.