Barely open a year, Eva Longoria’s Beso and Eve at the Crystals has filed for Chapter 11 bankruptcy in a move to restructure its debt. That place never should have built its entire business model around selling Senorita Justice DVDs in the gift shop.
Actually, the restaurant/club, according to reports, is trying to restructure $5.7 million in debt against $2.5 million in assets. Longoria said she personally loaned more than $1 million to the venue, and that she’d be taking a more hands-on approach in Beso’s future.
That loan, though, is a point of contention. She’s being sued for $4 million by investor Mali Nachum, claiming the interest she charged—8 percent and a 23.33 percent stake in the company—violates California’s usury law. Ronen and Mali Nachum were ousted as managers of the club in May amid allegations of financial impropriety and incidents of violence. In the lawsuit, they’re looking to be reinstated as managers.