Fat Joe is facing fresh accusations from his former hype an who now claims the Hip-Hop star withheld money to pay off his massive tax bill.
Fat Joe served four months in federal prison back in 2013, for stiffing the government out of over $700,000 in taxable income from 2007 to 2010.
Terrance Dixon, also known as “TA,” filed a motion in federal court alleging that Fat Joe diverted thousands in daily allowances and performance pay owed to him during tours.
The filing, part of an effort to block Roc Nation’s dismissal from the case, claims the company helped orchestrate and conceal the alleged wage theft.
Dixon says he was promised between $3,000 and $5,000 per show, plus a daily per diem.
He claims he later learned he was supposed to receive up to $30,000 per show to appear on stage with Fat Joe
Instead, Dixon claims he received as little as $250 to $1,000 per appearance.
The complaint alleges Fat Joe kept the rest, including the per diem, to pay down his tax debt.
According to the filing, Dixon learned from a former Roc Nation manager and accountant that the company was aware of the per diem arrangement and knew he wasn’t being paid properly.
The broader lawsuit, filed under the Trafficking Victims Protection Reauthorization Act (TVPRA) and the Racketeer Influenced and Corrupt Organizations Act (RICO), names Fat Joe, Roc Nation, Pistol Pete, Rich Player and several affiliated companies as defendants.
Dixon accuses Roc Nation of playing a direct and active role in the alleged scheme.
The filing claims the company managed tour finances, structured payments to misclassify Dixon’s employment, and used affiliated LLCs and accountants to hide the true nature of his compensation.
The complaint also alleges Roc Nation helped conceal the underpayment through false tax filings, burner phones and non-disclosure agreements.
It further claims the company benefited financially from Dixon’s unpaid labor through tour revenue, publishing cuts and management fees.
“Roc Nation had actual or constructive knowledge of the exploitative conditions,” the filing states, adding that the company “actively participated in directing and ratifying the conduct of co-conspirators.”
In addition to the wage theft, Dixon claims Fat Joe forced him to have sex with over 4,000 women while members of The Terror Squad watched, that Fat Joe was in love with underaged girls and even allegedly plotted the assassination of 50 Cent during a fues, which has since ended amicably.
Fat Joe has vehemently denied Dixon’s claims and vowed to fight them.
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