Michael Lohan is still on his daughter's side regarding the alleged theft situation at Venice jewelry store Komofie & Co.

The 24-year-old starlet is accused of stealing a $2500 necklace and is due back in court this Wednesday where she is expected to accept a misdemeanor plea deal. When asked about Lindsay's case, her dad tells our X17 videographer exclusively the store has "three different versions of the story, so it doesn't look good for them."

Lindsay has claimed all along that the necklace was on loan ... even tweeting, "I would never steal, in case people are wondering. I was not raised to lie, cheat or steal."

As for Michael's busy weekend, Papa Lohan went to dinner with Linds at Joan's On Third followed by a father/daughter trip to the market to pick up some groceries ... and we're told dad picked up the tab! Michael tells X17online the shopping excursion "cost me a small fortune."

Lindsay's mom, Dina, is expected to fly in from New York to spend time with her daughter this week in Venice. Let's hope everyone can get along!

Ms. Lohan recently appeared on Good Morning America to discuss Lilo's situation. Find out how much she was reportedly paid for that sit-down ... after the jump.