Gaga has been hit with a class action lawsuit claiming that the singer improperly profited from the "We Pray For Japan" bracelets that she sold through her official website to raise funds for Japanese earthquake victims, NBCDFW.com reports. All proceeds from the sale of the $5 bracelets were supposed to go directly to Japan relief efforts; however, a law firm accuses Gaga and her team of adding unnecessary tax and overcharging for shipping to profit from the charity items.
Gaga is accused of violating federal racketeering laws and consumer protection laws by not only charging tax on a charity item and inflating shipping costs, but by also including whatever money the pop star's team pocketed from the bracelet sales as part of their donation fee to artificially inflate the figures. The firm has posted the complaint and this video (which, frankly, doesn't do a lot to enhance the credibility of a law firm branded with an 800 number by inviting viewers to follow a #gagascam hashtag on Twitter) attempting to explain the "Shady Gaga" suit on its website:
"When we tried to communicate with the defendants in this lawsuit, all we got was, 'well, some of the money is being retained, but we don't really know how much,'" 1-800 -LAW-FIRM's Alyson Oliver told My Fox Detroit. Gaga is within her rights to keep some of the money from the bracelets; all proceeds from their sales went to helping Japan, but the production of the bracelets wasn't going to pay for itself, and it's unfair for Gaga to assume that cost herself. However, if it's found that she did actually profit of the sale of the charity bracelets, then that's a major PR
(and potentially legal) problem waiting to happen. When contacted by The Amp, Gaga's reps had no comment on the allegations.