Lady Gaga faces lawsuit for manipulating Japan charity funds

The 26-year-old singer has been slapped with a federal class action by the Michigan based law firm -- 1-800-LAW-FIRM.

The firm has accused the 'Poker Face' hitmaker of misappropriating charitable donations from the sale of 'We Pray for Japan' wristbands, which she designed for the tsunami and earthquake victims of the country, reported AceShowbiz.

The pop diva, who organised the charity event shortly after earthquake and tsunami hit the island nation, had made an online arrangement for the sale of the bracelets and had claimed that "all proceeds will go directly to Japan relief efforts".

The bracelets were charged USD 5, another USD 3.99 for shipping and handling and USD 0.60 for taxes. But the firm claimed that she jacked up the shipping costs.

"When we tried to communicate with the defendants in this lawsuit, all we got was, 'well, some of the money is being retained, but we don't really know how much'," said Firm partner Alyson Oliver, who has filed the suit.

"If the money were going to the right place rather than into the defendant's pocket, then I hope that our effort helps that," he added.