The headline of the publication's January issue read: 'ADDICTION NIGHTMARE - Katie DRUG SHOCKER! - The Real Reason She Can't Leave Tom.' But the story inside said her addiction was to a Scientology treatment favoured by her and her husband, Tom Cruise.
The report said that the so-called e-meter device 'gives subjects a temporary feeling of euphoria, followed by a crash and a craving for more.'
Holmes' lawyer called the cover a 'cheap trick on the public,' and termed the accusations 'untrue, unethical and unlawful.'
Star Magazine said it stood behind its story. 'The physical effect of the e-meter on its users is a matter of significant public concern and we plan to vigorously defend the suit,' it said in a statement.