Sleazy Celeb

Paris Hilton has reached a settlement in a $10 million defamation lawsuit between her and diamond heiress-actress Zeta Graff. In the suit, Graff claimed that Hilton spread "vicious lies" about her to the media in 2005. Both sides reached an "amicable resolution," but the details were kept confidential, according to a statement released by Graff's attorney, Bruce Broillet. "Both parties are glad that the matter could be resolved without the time and expense of a trial," Broillet said in the statement. In the suit, Graff claimed that Hilton spread the lies about her to the New York Post. The Post reported that Graff, who once dated Hilton's then-fiancee, Greek shipping heir Paris Latsis, went "berserk" at a nightclub, tried to strangle Hilton and attempted to steal her diamond necklace. Graff denied the report and claimed that Hilton said, "I'm going to destroy you" after trying to oust her from the club, according to the suit. Hilton denied that she was behind the report. Hilton's former publicist, Rob Shuter, said in a deposition that Hilton asked him to help plant the story and that he gave the paper comments, dictated by Hilton, that he attributed to himself, Hilton and anonymous sources. See more