Luxe Listings Sydney star D'Leanne Lewis has accused celebrity stylist Kelly Smythe of selling her a Chanel handbag she later discovered was fake, triggering a refund battle that pushed Lewis to the edge of legal action before a resolution was reached.
Lewis, 53, the Principal of Laing+Simmons Double Bay, paid $4,000 for the bag in 2023. The dispute came to a head in April this year when the buckle fell off and Lewis took the bag to the Chanel store in Bondi Junction for repairs, according to a source with knowledge of the matter.
A Chanel staff member told Lewis the bag had an incorrect serial number, which Lewis understood to mean the item was not authentic or had been altered, the source said.
"The bag came in a Chanel box. It's wrapped like a Chanel box. It's got Chanel all over it," the source said, adding that Lewis had no reason to suspect the bag was fake because Smythe, 49, had a strong reputation as a stylist.
Refund Dispute
Lewis called Smythe after the Chanel store visit, and Smythe allegedly told her she would sort it out, according to the source. Lewis then asked for a full refund and initially received $1,000 described as a goodwill payment.
Smythe subsequently offered $3,500 in Coco Republic vouchers plus an ongoing 30 percent Coco Republic discount in place of the remaining $3,000 owed. Lewis declined the offer and had been weighing legal action in the small claims court.
Shortly before publication, Smythe provided documents showing she had transferred Lewis a further $3,400, with the payment reference listing it as a final refund from KS Style & Co. Smythe said the total refund came to $4,400 including GST, leaving nothing outstanding.
Lewis confirmed she had received the payment and would not proceed with legal action, but said the episode marked "the end of our friendship."
Earlier in the week, before the transfer was made, Lewis confirmed the account provided by the source and said she was disappointed. "This is someone I trusted. I never thought this would happen to me," she said.
Smythe's Position
Smythe maintains she was unaware of any authenticity issues and says she purchased the bag through Vestiaire Collective, a global luxury resale platform. When asked directly whether the bag was fake, she said it was too early to make that call because she did not physically have it in her possession and could not have it authenticated. She said she would arrange authentication once Lewis returned it.
A source says Lewis alleges Smythe told her the bag was brand new at the time of purchase, a claim supported by screenshots supplied to the Daily Mail showing Lewis making that allegation directly to Smythe.
Company in Liquidation
The dispute arrives as Smythe's company KS Style & Co has fallen into liquidation owing creditors up to $253,425. A director's report lodged with ASIC showed the company owed more than $84,000 to the ATO, almost $25,000 on an AMEX Platinum Business credit card, and $77,000 in secured debt tied to a 2023 Lexus NX350 F Sport.
Andrew Blundell of Cathro and Partners was appointed by the NSW Supreme Court on May 11 to wind up the company. Smythe said she had cooperated fully with the liquidator from the outset and that there were no outstanding employee entitlements.
Smythe founded KS Style & Co in December 2017 after gaining international recognition for her work in the 2000s. The Point Piper stylist began her career at Channel Seven and has since dressed high-profile clients including Sonia Kruger, Jennifer Hawkins, Rihanna, Miranda Kerr, and Chris Hemsworth.
Smythe also faced criminal charges last year related to the alleged misuse of pharmaceutical scripts. She was arrested in May 2025 for allegedly forging prescriptions, charged with two counts of using a false document to obtain property and two counts of obtaining or attempting to get a prohibited drug by false representation. Those charges were dropped in January this year on mental health grounds, on the condition that she receive psychiatric and psychological treatment and ongoing monitoring.
