The wife of John Paulson has demanded at least $1 billion in their bombshell divorce case — and has accused the hedge-fund billionaire of setting up a “secretive web of trusts” to hide the money from her, according to an explosive court filing.
Jenny Paulson, 50, claims her soon-to-be-ex-husband created and concealed three trusts worth billions of dollars while the couple was married — a shameless ploy to make sure he wouldn’t have to fork over half of his wealth in the event of a divorce, according to the filing in New York state Supreme Court.
The suit alleges that while Mrs. Paulson was busy raising two daughters and managed the family’s homes and relationships, Paulson was secretively siphoning the couples’ assets into the special trusts. The trusts were created between 2001 and 2009 — after the two were married in 2000, according to the suit.
The trusts have improperly “served to evade Mr. Paulson’s lawful obligation in the event of divorce,” court papers allege. Two of the three trusts — which contain billions in undisclosed assets, according to court documents — contain language that benefits “Paulson’s legal wife,” meaning that Jenny will be deprived of the assets upon divorce, court papers show.
The court filing also bitterly notes that Paulson, 66, blindsided Jenny with his divorce filing, claiming that she only learned about it — and Paulson’s new girlfriend nutritionist Alina de Almeida — on Page Six.
“Given the spouses’ longstanding relationship of trust and confidence, Mrs. Paulson was shocked to learn, only after her husband declared on Page Six that he had filed for divorce, that he had literally spent years implementing a plan that deprived her of her fair share of assets acquired over the course of their long marriage,” the suit claims.
Jenny’s attorney Robert Cohen did not immediately respond to request for comment. Paulson’s attorney Bill Zabel did not immediately respond to request for comment.
Jenny’s filing comes after she turned down a multi-billion dollar settlement according to a Page Six report. But people close to Jenny say Paulson only offered her a monthly allowance rather than the typical lump sum that would be in her name.
Paulson — who famously made $20 billion shorting the US housing market before the 2008 crash — has been battling his wife over settlement proceedings since filing for divorce over six months ago.
Paulson is worth more than $4 billion and boasts an impressive $200 million real estate portfolio with properties across the US. The couple owns a $110 million Palm Beach oceanfront home, a 95-acre Aspen compound worth more than $50 million, and a Southampton estate worth more than $40 million.
In March, Paulson sold the 28,000 square foot Upper East Side townhome for $5 million — $20 million less than his asking price of $24.5 million.
But the fight over divvying up property hasn’t been simple.
“People would have been astounded by the generosity of Mr. Paulson’s offer, which would have given Ms. Paulson far more than what is required by law. Her greed has created an insurmountable obstacle to settlement,” Paulson’s attorney Bill Zabel previously said.
Zabel has also represented George Soros and Howard Stern in divorce settlements.
“I have been trying to meet in person with Jenny and her lawyers to discuss a settlement for the last eight months. She has rejected all offers of arbitration or mediation,” Paulson commented.
Cohen, of Cohen Clair Lans Greifer Thorpe & Rottenstreich, said they have been working to find resolution for over six months, “but [John] was offering her an allowance that he would control,” adding, “Husbands who have made a fortune in a marriage do not give their wives allowances.”