Jay-Z's Former Partner Damon Dash Accused of Hiding Assets to Evade $100K Judgment Amid $10M Personal Debt
Roc-A-Fella Records co-founder Damon Dash is reportedly hiding assets to avoid paying an almost $100,000 judgment, a Manhattan federal court lawsuit filed by Edwynna Brooks claims.
In October 2020, Dash lost a $300,000 copyright infringement case to Brooks, who alleges that the music mogul has been operating a sophisticated scheme using numerous corporate entities to hide his money to evade creditors.
According to New York Post, Brooks' most recent suit has her trying to snatch up the amount Dash is making her collect for a failed countersuit he started.
"Mr. Dash has about $10 million in personal debt," said Brooks' attorney, Chris Brown. "If we would have been made whole from the auction, this lawsuit would not be necessary."
Their lawsuit comes after an auction in which Dash's interest in Roc-A-Fella Records fetched only $1 million, and the winning bidder was the New York state government.
As a result, many creditors have been scrambling to recover their loans through any means possible.
The suit claims that Dash and his girlfriend, Rachel Horn, are effectively running a single business but are hiding behind two different entities.
"[They] attempt to use the entities in an elaborate liability shifting scheme to avoid judgment debtors on behalf of themselves and their entities," Brown said.
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After Brooks won her first judgment, Dash moved his assets from his company, Poppington LLC, to a new corporation he established called The Dash Group.
The suit alleges these transfers were made fraudulently to defeat Brooks' claims.
The lawsuit also claims that Dash previously worked for Kanye West, earning consulting fees of $83,333 per month as a member of Poppington. However, after the transfer of assets to The Dash Group, Dash changed his billing arrangement.
In her initial copyright suit, Brooks alleged that Dash was promoting and selling a movie based on her book series Mafietta, which tells the story of a black female organized crime boss.
Brooks claims all Poppington-related assets were transferred to The Dash Group to avoid covering her judgment.
"All of the assets of Poppington, which he used as his personal fund, all of that got transferred to The Dash Group — and Poppington is a defendant in all of these cases," Brown said.
