Almighty Jay, a rapper and the former YBN collective member who recently created a buzz by openly admitting that he had finessed his old record label Atlantic Records for $500,000. This has generated interest in finding explanations for his actions and their ethical objectives.
According to Jay, this was a scam where he had registered his home as a recording studio, and Atlantic Records seems not to be aware of that. In 2020 alone, it had provided a $500,000 budget specifically for studio-related recording costs during his time with the label. Instead of applying that to professional studios, Jay used that budget to pay himself by doing what is suspected to be self-dealing, recorded at his own house, which he registered as a studio LLC.
Basically, the record company thought that money was going into a professional studio when it was all going directly into Jay’s pocket while he recorded music at home for free.
Almighty Jay admits he used to scam his label for a free $500,000 without them knowing 👀 pic.twitter.com/1E135CoRiX
— Daily Loud (@DailyLoud) August 19, 2024
It is a move that has not only allowed Jay to pocket the cash but comes with a rather shrewd understanding of business and—the most important thing—loopholes within the industry. While some have applauded his ingenuity and others have questioned the ethics behind the move, it certainly puts a light on the often murky financial dealings in the music game.
The nature of the potential fallout is yet unknown, specifically regarding Jay’s relationship with Atlantic Records and his future in music.
