TMZ report that, following a lengthy and detailed statement posted last month, Kath has decided to file a defamation lawsuit. Kath (whose real name is Claudio Palmieri) denied everything in a response to Glass' letter, and called her account "pure fiction".
In a new statement to TMZ, Kath adds: "Alice and I had a long ongoing relationship both personal and professional. When she suddenly left Crystal Castles to handle her mental health issues and substance abuse issues I fully supported her. I will continue to support her quest to wellness but I can't support extortion, false claims, and accusations put forth after the band attained new success without her. False allegations take away voice from true victims and that's what saddens me most about all of this."
Crystal Castles shows across North America have been cancelled or pulled following the allegations. Kath says that this has meant Crystal Castles have lost $300,000 in profits.
Glass has not yet commented on this latest development.
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