The singer takes legal action after being shocked by earnings…
NINE INCH NAILS’ TRENT REZNOR is suing his manager, claiming he had just $400,000 (£217,000) in cash, despite earning millions with his band.
The singer claims that John Malm duped him into signing a bad contract and claims that his former friend misled him into a deal which gave Malm 20 per cent of Reznor’s earnings.
Malm’s lawyer Alan Hirth said that his client worked for years without a salary and kept no secrets from the singer.
According to BBC News, Hirth said: “Of the millions upon millions upon millions that Trent Reznor and Nine Inch Nails made, the vast majority went into his (Reznor’s) pocket.”
Reznor told on US court yesterday (May 16) that he trusted Malm more than anyone in his life when he agreed to let the manager handle his finances in the 1980s.
He told jurors: “John was the business guy, and I was the guy working for nothing in the studio.”
Reznor admitted that he ignored his finances and sometimes signed documents without reading or understanding them but said that he grew worried about his money when he was told in a meeting with Malm and a lawyer in 2002 that there was “clause for alarm”.
In 2003, Reznor said, he asked Malm to tell him how much money he had.
The singer said that he was sent a financial statement that revealed he had at most $3 million (£1.6 million) in total assets and as little as $400,000 in cash.