Bankruptcy Law Blog

Monday, March 21, 2016

Bankrupt Rapper 50 Cent Being Probed for Financial Misconduct

Curtis James Jackson III, aka, 50 Cent, the infamous rapper who achieved commercial success in the music industry after running afoul of the law back in the day, may be in trouble again.

Jackson burst onto the music scene back in 2003 with a hit rap song "In Da Club," went on to sell more than 22 millions CDs and acted in a few films. As he acquired wealth, he even bought a 21-bedroom mansion with a home movie theatre and 8-car garage in Connecticut, formerly owned by one-time boxing legend Mike Tyson.

Somewhere on the road to riches, it seems 50 Cent took a wrong turn, as he filed for bankruptcy last July. The circumstances surrounding the bankruptcy are also curios as Mr. Jackson filed for Chapter 13 protection after he lost a lawsuit regarding a sex-tape dispute in which the plaintiff was awarded $7 million. He is also involved in a multi-million dollar dispute with former business partners involving headphones.

Since his filing, it has been reported that 50 Cent posted pictures on social media sites showing him leading a lavish lifestyle by flashing piles of cash. Now, a Justice Department watchdog recently filed documents in U.S. Bankruptcy Court in Hartford, CT., saying the social media posts are "potential evidence of serious misconduct."

What is Chapter 13 Bankruptcy?

Chapter 13 is a type of bankruptcy that allows individuals who are struggling with debt to seek relief through the court. In this bankruptcy filing, an individual uses his or her income to pay some or all of what creditors are owed over time -- from three to five years, depending on the amount of individual's debt and income. In return, property can be retained by the person seeking relief. The court must approve the repayment plan and also determine that there is enough income to meet the payment obligations under the plan.

Financial Accountability

In the curious case of 50 Cent, the federal watchdog contends the perception of Jackson's lavish lifestyle requires financial accountability. This comes on the heels of the bankruptcy court judge ordering him to explain the social media posts in person. Since filing for bankruptcy in July, Mr. Jackson has posted photos that show piles of cash his couch and refrigerator. A Justice Department official reportedly said, the pictures are “openly contemptuous of the bankruptcy code and process.”

In short, the Justice Department has asked the judge to appoint an examiner to determine how much money 50 Cent has made since the bankruptcy filing and whether he has accurately reported his income. The facts of this case are rather curious, and it is uncertain what will become of 50 Cent's piles of cash. For the ordinary individual who is facing problems paying his or her debt, however, a bankruptcy attorney should be consulted to explore the options that may available.

Archived Posts


Bankruptcy Law News

Padgett and Robertson assist clients with Bankruptcy, Personal Bankruptcy, Consumer Bankruptcy, Chapter 7 Bankruptcy, Chapter 13 Bankruptcy and The New Bankruptcy Law in Mobile, Alabama and throughout southern Alabama. Alabama State Bar Association Regulations require the following: "No representation is made that the quality of the legal services to be performed is greater than the quality of legal services performed by other lawyers." 11 U.S.C. 528 of the U.S. Bankruptcy Code requires the following: "We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.”

© 2017 Padgett & Robertson
4317 Downtowner Loop N., Mobile, AL 36609
| Phone: 251-342-0264

Personal Bankruptcy | The New Bankruptcy Law | Testimonials | About Our Firm | Bankruptcy | Client Resources | Getting Started


Attorney Website Design by
Zola Creative