Michael Avenatti released on $300,000 bond in extortion, bank fraud cases

Celebrity lawyer Michael Avenatti, who represented adult film actress Stormy Daniels in her lawsuit against US President Donald Trump, was on Monday evening (local time) released on a USD 300,000 bond, after he was arrested a few hours ago on charges of fraud.

Avenatti, who appeared in a New York court, was represented by two federal defenders and was asked not to enter a plea. He was released on USD 300,000 bail on the condition that he would surrender his passport, CNN reported.

Avenatti was arrested after prosecutors said that the 48-year-old attorney threatened to release "damaging information" about Nike if the firm did not pay around USD 25 million to him.

"Avenatti used illegal and extortionate threats for the purpose of obtaining millions of dollars in payments from a public company," Geoffrey Berman, the US attorney for the Southern District of New York had said.

In a separate case, Avenatti was accused of embezzlement and was charged with bank and wire fraud.

Avenatti made headlines last year for representing Daniels against Trump and his now-former lawyer Michael Cohen for the USD 130,000 hush agreement over the alleged affair between the adult star and the US President.

However, on March 12, Daniels announced that she and Avenatti were parting ways. However, the reason for the split was not disclosed.

It is widely speculated that Daniels had split from Avenatti following allegations by the adult film star that the attorney had filed the lawsuit without her permission and raised money for her legal fight without consulting her.