couple of things make sure that there isn't something freaky going on from adsense side, you never know he could be telling the truth but the chances are very unlikely second if its a friend from a long time then you need to ask for explanation...maybe he needs the money and couldnt ask you because of afraid of refusal. in the end money is money it brings out the worst in everyone
alexdale: you are correct, he never thought I would question his word, which I didn't for a long time but after a while I just needed to find out for sure.
SEOdir.net: what I did was moving all my stuff to a new place blocking HIM out. And told him to stay away. Logo: nah, he has a very well paid job, if he kept the money it was of greed. But that doesn't matter, I was paying for everything, bandwidth, servers etc first I get my money back and then we split the profit. He just took it all and told me Adsense blocked the account and the money was "gone". But it will be his own loss in the long run.
Nice partner you've got there. Unfortunately, even taking him to small claims court probably wouldn't do you any good. (Unless you have your business deals in ink). If you wanted to get back at him, you could take back whatever it is that you have contributed to your website.
He cheated you, why dont you take any action. Slap him. You can have your own account Right! But beware if he know your Web site he may click fraud on you....