Young Thug found himself in more legal trouble after selling some of his records for as much as $16 million, while also owing a huge loan to music giant AEG.
Young thug accused of owing AEG $16M
Global sports and live music entertainment company AEG is suing Young Thug after the rapper breached their 2017 contract by selling his publishing business to Kobalt Music in 2021. According to AllHipHop, Thugger allegedly violated previous agreements when he sold the rights to more than 400 compositions that year. AEG claims the assets were supposed to be collateral for an unpaid $5.25 million loan they made to Thug and his label YSL in 2017 in exchange for exclusive global rights to promote his live performances.
This amount, including interest, is repayable in addition to a share of the proceeds from concerts staged by third-party promoters. By 2019, AEG claimed that Young Thug and YSL defaulted on their loans, leaving an outstanding balance of $5 million. The company claims Thug and his label misrepresented their financial ability to pay the funds. Come 2021, Thug has made $16 million from the sale of shares in 400 titles.
AEG seeks to recover the original loan balance as well as any revenue incidental to the transfer of rights to the local Atlanta directory.
Thug threw away much of his catalog before his arrest in the YSL RICO case in 2022, which likely helped him pay for the hefty legal bills he faced while spending nearly three years in prison and much of that time on trial. On Halloween last month, Thug pleaded guilty to charges of participating in a criminal street ring, violating Georgia’s controlled substance laws and multiple gun crimes. He was sentenced to 40 years in prison, with five years served, but the sentence was commuted to 15 years, with 20 years suspended. The rhyme was released the same day.
