Ryan Leslie is accused of potentially not turning over royalties from his music catalog as part of his bankruptcy, despite reaching a settlement that gave up his rights to collect the money.
As The Blast first reported, Leslie’s music royalties have been assigned to Armin Augstein, who won a $1.18 million judgment against the producer in 2012 after Leslie promised the money for the return of his lost laptop … but then refused to pay.
Leslie filed for bankruptcy in 2013 and Augstein is his biggest creditor.
On July 19, the trustee in Leslie’s bankruptcy filed docs revealing she uncovered $14,000 deposited into a bank account for the music producer’s company.
The trustee says Leslie previously claimed the bank account was closed years ago. She reached out to Chase Bank and Kobalt Music Selection, who made the alleged royalty payment, for more information on the payment but they refused to turn over records.
She is demanding the court order Chase and Kobalt Music to turn over records regarding the payment — including account statements, canceled checks, deposit slips wire transfers, and all royalty payments they have made to him.
Ryan Leslie told the trustee he never received the payment and had no information about the alleged deposit.
Augstein filed docs shortly afterward, demanding the judge authorize the subpoena for records. He says the trustee should provide him with the bank statements and if any money is found … it should be paid to him.
He says the royalties should have been paid to the trustee but were not. Augstein believes there could be other sources of revenue from royalty payments deposited into his accounts that have not been turned over to the trustee.
Augstein accuses Leslie of refusing to hand over information about his royalty payments and relevant bank accounts, saying, “It seems clear that Leslie has not cooperated, and will not cooperate.”
A judge has yet to rule.