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T.I. Accused of Trying to Defraud Ex-Employees of Failed Restaurant

T.I. is being accused of fraudulently transferring $40,000 to himself and his business partners, instead of paying off the settlement he owes to his former restaurant employees, and now they have hit his now-shuttered company with a federal lawsuit.

According to court documents obtained by The Blast, the same ex-employees who settled with T.I. and his partner earlier this year went to bankruptcy court to file a brand new lawsuit against the rapper and his partners.

Back in February, T.I. and his partners reached a settlement to pay $78,000 to a group of ex-employees – including Avery Lee, Kyle Vargas, Khori Vargas, and Shawn Yarborough – to end their lawsuit accusing the rapper of screwing them out of overtime pay.

The new lawsuit claims T.I. settled a separate lawsuit with a business partner and was paid $40,000. The ex-employees say he and his partners hid this payment from their creditors and kept the asset for their own personal use.

The ex-employees claim T.I. has only paid a portion of what was owed to them, so they believe the $40,000 should have gone to them.

T.I. has yet to respond to the new lawsuit.

Scales 925 opened in 2015 but closed the following year, following several issues including being sued for eviction.

The ex-employees claimed in their original lawsuit that T.I. and his partners used money from the restaurant for their own personal gain and paid themselves an unreasonably high salary while the business was losing money.

The restaurant filed for Chapter 7 bankruptcy in May.