April 3, 2006 10:51

Death Row under threat of receivership

Suge Knight misses court hearing

Death Row under threat of receivership
Death Row Records is under threat of receivership after the label’s boss Marion ‘Suge’ Knight missed a court hearing over the weekend.

Knight was due in court in the US on Saturday (April 1) to answer questions about his assets.

Since losing a $107 million (£61.5 million) judgement in a legal battle last year, the label boss has already missed several hearings, BBC News reports.

As previously reported, Los Angeles County Superior Court Judge Ronald Sohigian said last month that he was prepared to take control of all of Knight’s assets – including Death Row.

The ruling came after it was determined that Knight had avoided paying a $107 million civil judgement won by former business partner Lydia Harris.

Sohigian had ruled that Knight failed to pay off the $107 million judgement which was awarded to Harris last March. She claimed that the rap boss had cheated her out of a 50 per cent stake in the label.

Harris’s former husband, Michael also claims that he is entitled to half of his ex-wife’s $107 million judgement.

When Michael Harris – currently serving a 28 year prison sentence – learnt that his wife was in settlement negotiations with Knight in June 2005, he filed for divorce.

The judge had said that Knight could avoid the order if he fully disclosed his assets in a debtor’s exam on April 1.

Steve Goldberg, Harris’ lawyer, has now said that a court-appointed “receiver” will now take control of all assets of Death Row Records, including its music library which contains the records of artists including Dr. Dre, Snoop Dogg and Tupac Shakur.

Harris’ lawyers have also asked that Knight be held in contempt and put in jail until he takes part in the hearing to disclose his assets.

Goldberg said: “He's had his last chance as far as we're concerned.”

The receivership is due to be finalised at a further hearing set for tomorrow (April 4), which will also address the contempt request.

Goldberg has revealed that he plans to ask the receiver to take ownership of the music library and then auction it off.

Knight’s lawyer Dermot Givens was also not present at the hearing, and when asked for a comment, he said: “We try our cases in the court and not in the press."

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