News Scrap

New York state purchased a one-third share of Jay-Z’s Roc-A-Fella Records at a federal auction in Manhattan on Thursday, the NY Post reports. The move aims to recover $8.7 million owed in back taxes by the label’s co-founder, Damon Dash. An anonymous state representative placed the winning bid of $1 million, seeking to flip the stake for enough money to settle Dash’s debts without any upfront cost to taxpayers.

Roc-A-Fella Records, known for producing hits such as “Hard Knock Life” and “99 Problems,” was co-founded by Dash alongside Jay-Z and Kareem “Biggs” Burke. The state’s acquisition follows Dash’s years of legal and financial troubles, including unpaid child support and tax delinquency, once ranking him as the 27th-most tax-delinquent resident in New York. In addition to back taxes, New York City is seeking more than $193,000 in unpaid child support from Dash.

“The auction is over but the work is not complete,” said attorney Chris Brown, who represents two of Dash’s creditors. “Mr. Dash’s legacy is now New York state property. I will work with New York state and New York City as the next phase of ownership of the shares.”

The Roc-A-Fella auction faced delays earlier this year when Jay-Z intervened to protect ownership rights to his debut album, Reasonable Doubt. Jay-Z argued that full ownership of the album would revert to him in 2031, limiting any potential buyer’s control. However, New York City disputed Jay-Z’s claim, stating that such assertions could deter potential bidders and undermine efforts to satisfy Dash’s outstanding debts.

It remains unclear when or how the state plans to sell its newly acquired share of Roc-A-Fella. Two other anonymous bidders offered $250,000 and $223,000, respectively, but fell short of the winning bid.