The new bombshell book about Whitney Houston claims the legendary singer was once the victim of an extortion plot.
Ian Halperin, best-selling author of Whitney and Bobbi Kristina: The Deadly Price of Fame, says it happened at the height of Houston's fame in 1992.
READ: Was Evidence Tampered With in Whitney Houston's Death?
He told INSIDE EDITION's Les Trent, "The night before the premiere of The Bodyguard, a Chicago lawyer on behalf of someone tried to get $250,000 from Whitney and threatened to expose her true sexuality. There were a lot of rumors of Whitney being a lesbian."
"Did Whitney pay off this so-called blackmail?" asked Trent.
Halperin replied, "The sum was undisclosed, but they definitely paid it off because they feared it would destroy Whitney's career."
Halperin says Houston's family was extremely unhappy about her relationship with the woman who reportedly worked for her.
"Her father, John Houston, admitted to me they were doing everything in their power to control it and make sure it didn't leak out to the media," said Halperin.
Trent asked, "What proof do you have that Whitney Houston was a lesbian and had a lesbian lover?"
He responded, "I spoke to numerous people in the record business who admitted to me that they were worried if Whitney's true sexuality came out, her career would be doomed."
Ian Halperin says Bobbi Kristina, who clings to life after being found in her bathtub submerged in water, never really stood a chance for a happy life.
"We saw all the signs. Whitney Houston was addicted to drugs, Bobbi Kristina grew up in a very turbulent environment that wasn't healthy for any kid," Halperin added.
Halperin says Bobbi Kristina once had to be institutionalized after attacking her mother.
READ: Oprah In Tears Over Bobbi Kristina
He said, "Bobbi Kristina attempted to stab Whitney. It was a lot of emotional turbulence in that household, and drugs were taking a toll on both parties."
Les Trent said, "You're writing about a superstar who has died, her daughter, who is in perhaps an irreversible coma - she really can't defend herself."
"The book is extremely fair to balance. The world is better off with the truth. Unfortunately sometimes the truth hurts," he said.
Halperin says after Whitney's death, Bobbi Kristina made many bad choices and surrounded herself with hangers-on who he says never really had her best interest at heart.
Halperin told INSIDE EDITION, "If she would have been around better people, and if the enablers wouldn't have been around, I don't think she'd be lying there today in this state."
Watch Below: 'Not a Great Deal of Hope' For Bobbi Kristina