Lori Loughlin and Mossimo Giannulli ‘Never Really Recovered’ From College Admissions Scandal

Makeup-free in a casual white tank top, black Adidas athletic bottoms and pink sneakers, Lori Loughlin flashed a smile as she headed out to run errands in Los Angeles Oct. 5. In her right hand, she clutched a water bottle and her car keys. Her left hand was empty — making it plain to see she wasn’t wearing her wedding ring.

The outing marked the first time Lori was seen in public since the Hallmark star’s rep announced on Oct. 2 that the actress and her husband of nearly 28 years, fashion designer Mossimo Giannulli, had split. “They are living apart and taking a break from their marriage,” an insider close to the actress confirms to Star. Though Lori’s rep told Page Six there are no legal proceedings underway, a second source tells Star the pair “have been living apart for the past several months. Lori is currently in L.A. while Mossimo has taken off to Idaho,” where they own another home. The When Calls the Heart star “is still trying to wrap her head around it all,” says the source. “She wants to keep this clean and civilized, for the sake of their daughters,” influencer Olivia Jade, 26, and designer Isabella Rose, 27. “The last thing they need is another scandal blowing up their lives.”

Destroyed By Cheating

The first one was a doozy. In many ways, the drama that went down more than six years ago marked the beginning of the end for Lori, 61, and Mossimo, 62, says the source. “Their college admissions scandal took a real toll on Lori and Mossimo as a couple as well as individually. It was utterly humiliating and crushed their spirits to a point that they’ve never really recovered.”

In 2019, Hollywood was stunned when the beauty best known as wholesome Aunt Becky on TV’s Full House and her style-savvy husband, who’d made millions from his now-defunct Target clothing line, were indicted on federal fraud charges. In an investigation dubbed Operation Varsity Blues, the FBI uncovered that they and dozens of other wealthy parents, including Desperate Housewives star Felicity Huffman, 62, were involved in a nationwide college admissions cheating scheme led by shady admissions consultant William “Rick” Singer. According to prosecutors, the couple paid bribes totaling $500,000 to falsely designate their daughters as recruits for the crew team — despite neither having ever participated in the sport — to facilitate their acceptance to the University of Southern California. They even staged photos of the girls working out on rowing machines to enhance their fake athletic profiles.

For more than a year, the pair insisted they were innocent. But in 2020, Lori and Mossimo finally pleaded guilty, earning themselves prison time — two months for her, five months for him — as well as a combined 350 hours of community service and $400,000 in fines. (Felicity spent 11 days in prison and was fined $30,000.) But the real cost was far higher as they hit rock bottom. “They blew through millions on lawyers, lost friends and plummeted in popularity” within their beloved community in L.A.’s tony Bel Air neighborhood, says the source, leading them to resign in disgrace from the Bel-Air Country Club. “The dinner parties all came to a halt. Mossimo was sneered at when he showed his face at the club. Lori wasn’t getting invited to any coffee mornings or cocktail parties — put it that way. And their daughters suffered,” adds the source, noting both left USC in shame while Olivia, then a rising beauty influencer with millions of followers on social media, lost lucrative brand deals. “And all that hellish stress bled into the marriage,” says the source.

Olivia later confessed on Red Table Talk that she was “too embarrassed” to remain at USC since she “shouldn’t have been there in the first place.” More backlash followed when a video in which she admitted, “I hate school,” resurfaced, highlighting a sad irony to her mother’s ambition on her behalf. “The girls were in a very muddled state when the scandal broke, and it took them a while to get grounded again. They acted out, made some bad choices and blew off a lot of steam. It was a coping mechanism,” says the source. “They’re now in a better place. Still, their parents’ separation has been a blow. They’ve very sad about it.”

Blame Game

Before her sentencing, Lori told the court she “went along with a plan to give my daughters an unfair advantage in the college admissions process. I ignored my intuition and allowed myself to be swayed from my moral compass. I thought I was acting out of love for my children. But in reality, it only undermined and diminished my daughters’ abilities and accomplishments.”

The judge acknowledged Lori’s remorse. But he also sharply criticized her “avarice,” saying she wasn’t content with her already “charmed life” and instead pursued “whatever prestige and instant gratification that comes from being able to show off the admissions of your daughters to a preferred university.” Privately, Mossimo — as guilty as he was, too — agreed, says the source. “He knew her obsession with status. Lori wanted everything: The perfect mansion in the perfect part of town, designer clothes, assistants by her side, you name it. Naturally, it was essential to her that the kids went to the best college possible,” adds the source. “They put on a united front, but Mossimo definitely blamed Lori.”

Moving On Already?

Hours before her split news was made public, Lori was photographed embracing James Tupper, 60, her costar in the 2023 TV movies A Christmas Blessing and Fall Into Winter, after a cozy dinner together at the Bird Streets Club in West Hollywood Oct. 1. “Lori and James have worked together and are old friends,” Lori’s rep later said, dismissing rumors it was a date. The source says Tupper, who shares a son with late actress Anne Heche, “has become a confidant who’s encouraging her to stay busy and focus on protecting herself.”

Mossimo, too, has been linked to someone new. On Oct. 2, he was photographed with fashion stylist Hannah Harrison outside his G/FORE Supply store in Beverly Hills. Though the 32-year-old attempted to hide behind a car outside the store at one point, sparking speculation Lori was dumped for a woman nearly half her age, Hannah insisted their relationship is strictly professional. “We were not there together,” she told US Weekly. “We are not dating. We are good friends.” A source close to Lori and Mossimo tells Star there was no third party involved in their split.

As Lori and Mossimo figure out their next moves, comments she made last year in her first big interview since the admissions scandal could indicate how she’ll handle things if divorce comes next. “Just keep moving forward. Everyone has good times and bad times. That’s life. I think you just have to pick yourself up,” she told First for Women magazine of her philosophy. “Nobody said life was going to be a breeze. There’s beauty in life, but there’s also hardship in life.”