Suge Knight Insists Bankruptcy At Hearing
Posted on May 6, 2006 by Jamie Slaughter
Death Row Records president, Suge Knight, faced the questions of various creditors at an official federal bankruptcy hearing. The questions focused on his assets and debts that are proclaimed to total more than $100 million.
Suge admitted that since 1996 - due to his prison sentence and the recent case which saw initial funders of the label receive $107 million, he has been left broke. Not being able to orchestrate the label was detremental to the success of the label, he claimed.
Knight's debts stand at a massive $137.4 million which include $11.3 million in federal income tax, $437,000 in state income tax, $9,300 to Nextel, $1,100 to Cingular Wireless and $15,000 on his Orchard Bank credit card, according to a 22-page filing.
The bankruptcy claim has prevented Death Row records from falling into the courts authority and has also halted the $107 million settlement fee.