Holmes' Late In-law Investigated
KATIE HOLMES is tangled up in a family scandal after U.S. authorities launched an investigation into allegations her late brother-in-law embezzled cash through his Ohio funeral home.
Joseph Jeffrey Fretti, the estranged husband of Holmes' eldest sister Tamera, died after suffering a heart attack at his mother's home in Sarasota, Florida on 12 April (09).
Tamera had filed for divorce on 13 February (09), but was reportedly left distraught by his death.
But Fretti's passing continues to make headlines after officials discovered $180,000 (£120,000) missing from the records of J. Jeffrey Fretti Funeral Home, the firm he ran for 18 years.
Fretti took the sum from an estimated 45 patrons to put in a "pre-need funds" - advanced payments for clients' services - as required by law.
But instead of using the money for customers' burials, Fretti is alleged to have deposited the sum into a business expenses account.
An executor for the estate hopes to repay those who were ripped off after selling the company - but he has warned customers they may not be fully compensated as Fretti also owed the bank $495,000 (£330,000).