More Alleged Skeletons Fall from Revolver’s Closet as Manager Alfredo Diaz Leaves

Revolver, at the corner of Santa Monica Boulevard at Larrabee.
Revolver, at the corner of Santa Monica Boulevard at Larrabee.

Faced with new allegations that he has stolen money from Revolver Video Bar, Alfredo Diaz has given up his position as managing partner of Loaded Gun LLC, the company that owns the West Hollywood gay bar. Chris Miller, who like Diaz owns 44.5 percent of Revolver, is now president of Loaded Gun and is managing Revolver. The move was confirmed to WEHOville by Robert Barta, Miller’s lawyer.

Diaz’s decision brings to an end a heated battle between him and Miller, who is co-president of Flower Films, Drew Barrymore’s production company. Miller sued Diaz in April alleging he misappropriated money from the bar. That case originally was set to go to trial on Nov. 10.

However on Tuesday, Miller and Kenneth Linzer and Ofir Lang, who own 9.7 percent and one percent of Loaded Gun respectively, petitioned the U.S. Bankruptcy Court to immediately remove Diaz as manager and allow them to change the locks on the bar’s doors and change passwords on its various accounts so Diaz would not have access to them.

revolver, mike stommel, alfredo diaz
Mike Stommel, left, and Alfredo Diaz

In the petition, Miller describes a scheme in which he alleges that Diaz and his husband, Mike Stommel, contacted Viking Funding Group in New York in July to arrange a $65,000 loan for Revolver and then diverted the money to themselves. Diaz likely was having personal financial difficulties at the time, given that on Oct. 22 he filed for personal bankruptcy, listing debts of between $1 million and $10 million and assets of $500,000 to $1 million.

Viking had an existing relationship with Revolver, having advanced the bar money on two previous occasions to pay its bills until revenue from credit card charges by customers was cleared by the card processors. That revenue went to Viking to repay its loan to Revolver.

Miller alleged that Stommel, a publicist who represents Christopher Street West, organizer of the annual L.A. Pride Festival, represented himself to Viking as Miller, whose agreement was required for Revolver to receive another loan from Viking. His petition says that Diaz and “presumably Stommel” provided Viking with a cell phone number that they said belonged to Miller but that actually belonged to Stommel. Miller said the two also created a fake email address for Miller to use in the transaction.

Miller said Diaz asked Viking to use $23,000 of the new loan to pay off the remaining balance on a previous Viking loan to Revolver. “Diaz, presumably with the participation and knowledge of Stommel, then converted Revolver’s $42,000 from the loan to their personal use and their personal benefit,” Miller alleged. He said Diaz did that by asking Viking to transfer the $42,000 into an account at AmericaWest Bank, which he and Stommel said belonged to Revolver. Revolver, however, only has an account at Chase. Miller alleges Diaz steered more money his way by ending the practice of directing credit card payments to Viking. The result, he said, is there have been no payments on the $65,000 loan, a debt that grew as interest charges accumulated. “The credit card payments belonging to Revolver are apparently being stolen, presumably by Diaz,” Miller’s petition alleges.  Neither Diaz nor Stommel has responded to requests from WEHOville for comment on Miller’s allegations.

Miller said that Revolver now is delinquent on $350,000 in sales taxes that Diaz failed to pay the state and that Diaz failed to pay worker’s compensation insurance premiums, leaving the bar’s workers without the coverage required by law for possible injuries at work.


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Rocky LaFleur
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Rocky LaFleur

Bring back the Blue Parrot!

Michael
Guest
Michael

It’s a rich tapestry…Revolver hasn’t been relevant since the 80’s and this sordid tale doesn’t make it any more so now…maybe they could squeeze a reality series out of it, but it’s time as a club / bar is done.

luca d
Guest
luca d

i need a shower after reading about this disgrace. all involved, ALL, are gross and phony.

kayaytche
Guest
kayaytche

Where’s the SBE/Cooley connection? I’m missing that from this article.

Larrabee Grouch
Guest
Larrabee Grouch

typical LA story… they are such a flashy couple living like one percenters but really horribly in debt. their poor kids.

Jeff
Guest
Jeff

Sad to see MIke get involved in this. I

Ray
Guest

David Cooley pays his taxes…Alfredo Diaz left an alleged 500k more in unpaid taxes at his other shuddered business Eat Well. That’s 850k, stolen from the California taxpayers…

Adam R
Guest
Adam R

Now that Chris Miller has control of the bar it will be interesting to see what he does with it. You have to ask yourself if Revolver is in such shambles why all the fighting for control? Anyone with half a business brain would have cut losses and walked away from this months ago. The legal system can be used in a variety of ways to gain a business advantage. I suspect that this was a case of who can make who look worse and who has more money to spend on a fight. This type of mudslinging BS is… Read more »

Ray
Guest

No real news here other then now Mike Stommel implicated by Chris Miller….

Todd Bianco
Guest

That’s a lot of back sales taxes (nearly $4 million of taxable sales). I’m surprised the SBE has let it go on this long. How Loaded Gun has avoided its own bankruptcy would be an interesting query. Maybe David Cooley is waiting for the bankruptcy sale to pick up the assets for a bargain price. I wonder if there will be any sort of criminal prosecution after all this alleged fraud and theft has been exposed.