Jay-Z ordered by SEC to appear in court. Here’s why

By SECFOXBusiness

Jay-Z subpoenaed by SEC to testify on sale of Roc to Iconix

FBN's Kristina Partsinevelos on the SEC asking Jay-Z to answer questions in court related to the sale of his Roc brand to Iconix.

Rapper and business mogul Jay-Z is set to appear in court in Lower Manhattan on Tuesday to testify in a case involving the sale of his former fashion brand to the Iconix Brand Group.

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The Securities and Exchange Commission sought a court order asking the rapper to appear in court regarding its investigation into potential violations of federal securities laws related to Iconix’s accounting practices and possible misrepresentation of brands.

Jay-Z sold his Rocawear apparel brand, which he co-founded in 1999, to Iconix for about $204 million in 2007. The rapper will be asked about the value of the Rocawear trademark following the sale, during which he stayed on to oversee marketing and product development, according to The Guardian.

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If Jay-Z doesn’t show up today, he could be held in civil discontent, which essentially results in jail time or a fine. He’s previously ignored two subpoena requests regarding Iconix.

It’s not the first time that Jay-Z, real name Shawn Carter, has had issues with the brand. In 2015, Iconix sued him for including lyrics about Rocawear in some of his songs.

And Iconix has issues of its own: The New York-based company has been struggling financially over the last several years, plummeting to less than $1 per share, from nearly $40 in 2015.

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