Dallas Austin Clears Up Rumors That He’s Broke
Yesterday, Drewreports.com broke the news that Rowdy Records owner, Super producer Dallas Austin, cleaned house and fired most of his staff including longtime employees David Gates, Dallas’ nephew Juan Farmer and his assistant Eli.
Dallas Austin, fresh off a trip to Hawaii, reached out to me yesterday to clear up rumors that the firings were the result of financial difficulties. Dallas wanted to make it clear that he never had financial backers who walked away leaving him holding the bag.
“I’ve been doing this since I was 16, 17 years old,” said Dallas, creator of the successful movie Drum Line starring Nick Cannon.
“I’ve owned publishing companies before anybody around here. I was like the first one to do it,” said Dallas. “I’ve owned studios before anybody around here. I’ve owned 100% of my songs. I’ve invested in films, Rowdy TV… As far as my companies are concerned, I’m my own investor. How could I be broke when you open up DUB magazine and I’m standing there with 9 cars! I’ve always been my own investor. I own all my companies by myself. I don’t have no partners.”
But an insider close to the Rowdy camp said that’s not true. “Dallas had financial backers for Monica’s first album and for Sammie’s album,” said the source who acknowledged she didn’t know who the financial backers were. She said Dallas made the right move by letting go of his nephew and Gates whom she called “cancers in Rowdy”. She said the two men used Rowdy Records’ cash “to eat off” and never did any work around the offices.
The source said the last straw for Dallas came last month when Gates and Farmer “ran up a bar tab of $30,000″ and expensed it back to the company for Dallas to pay for. The source said Farmer, in particular, used Rowdy offices as a meeting place for his own business ventures including his popular “Hollywood Hideout” nights at Club Noir.
Dallas acknowledged as much saying he had to let Farmer and Gates go in order to “restructure the company to bring in new people who know more [about the record business] than I do.”
Dallas said he understood that feelings were hurt but he didn’t just kick his loyal employees to the curb. “These people been around me a long time so I still take care of ‘em,” he said. It wasn’t just like ‘oh, just get out of here’ I made sure everybody was straight, gave them [severance] packages… I said [to Farmer] ‘go ahead man, do your [party promotions] thing, I’m wit’ you. Get to the next level.” He added, “Juan is a great guy to a lot of people. He has a loyal character.”
Dallas’ immediate plans include putting out new music by his artists Sy Scott and Sammie, and launching his Rowdy Clothing line, “I finished my Rowdy clothing line which is going out to over 400 stores,” he said. “So it was just time to clean house and make a new start. You watch what Rowdy Entertainment does this year!”
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27 Responses to “Dallas Austin Clears Up Rumors That He’s Broke”
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How can he say Farmer has a loyal character, after running up a 30K bar tab?
Please not another clothing line!!!!!
People kill me tellin others what they have.
You know…where I come from, people that go to these lengths to “clear up” some things said about them are the same people where the rumors are probably true! If he is as “moneyed” up and he claims to be, no comment was necessary! Owning 9 cars does not make you wealthy it makes you stupid! My people really scare me at times!
Well he doesn’t have to cry about it in the first pic. Didn’t his boys an ‘nem, leave him stranded over there with the Sheiks when he got caught with that “government-issued” paraphenalia?
^^ I agree cause even though I know who Dallas is you never really hear about him being this super producer like Puffy & the rest got all the lime light focused on them!! Don’t get me wrong I know Dallas has put out some hits & has done alot for music but it’s nothing wrong if you have to tell the world you have to claim bankruptcy!!(lol) & even if he’s not broke then why get rid of all your staff I’m sure everyone wasn’t at fault with doing anything wrong?? I don’t know it sounds fishy!!
He’s not the brightest crayon in the box… His a$$ has 9 cars & he has to fill up each tank. If he’s not broke now, he surely will be next week after gas prices kick his a$$
#4 said:
Owning 9 cars does not make you wealthy it makes you stupid!
_______________________________________________________
I betchu he has hidin’ 8 of them at somebody elses house.
@ MOCHAMOMMY
He is a dumb a** for owning 9 vehicles don’t he know where now in a recession Hell, I’m still waiting on my Rebate d**n check!!
“d**n Rebate check”
Goodness, I wish this story was about a producer we gave a da-n about. Dallas Austin????
Sometimes you have to clean house to start fresh, and those close ‘family/friends’ can be a tough load to carry. But I have a hard time believing at 16/17 he had a surplus of cash flow to fund everything…there is always someone behind someone and he didn’t get to where he is all on his own. It doesn’t make you a punk to admit you had help and then give credit and thanks where due. “I am my own investor” –you should have made better decisions than buying 9 cars and get yourself a partner.
The fashion industry is sooo saturated with celebrity clothing lines that all look the same to me. It would touch my heart to see someone step out of the arena and take on another venture for capital. Hell, open up a grocery store, a learning center, sell 8 of those cars a find that 7 year old that wants to do hoodrat stuff with his friend and pay for some therapy sessions, open a counseling center for professional athletes, a bookstore, something to invest back into the community besides another pair of $200 jeans with bedazzles.
lol at # 8
@mizdellas, check on it
https://sa2.www4.irs.gov/irfof/IRServlet?app=IRACTC
#9 I know thats right shi*!!!!(lmao)
I KNOW 2 PEOPLE THAT WILL JOIN HIS NEW CAMP.
HUMMM….LET’S JUST SAY HE’S NOT THE FIRST TO CLEAN HOUSE THIS YEAR!
9 CARS …. and ANOTHER Whack Azz Clothing Line
No Mention of his children’s education .. IRA .. CD’S .. Mutual Funds … What the French Toast !!!!!
MizzDallas, I’m with u!!! LOL I’m checkin my account every ten mins & this dumb ass nigga is talkin bout ownin 9 cars?!?! And he’s proud of that f*ckery? Hell I’m tryin to make half a tank of gas in my one car last til thurs & he’s fillin up 9… LOL
Isn’t he the guy who put Joss Stone and Christina Aguilera on blast saying they f***ed for tracks?
Yep Mia … he is suspect all the way around …
The 1st pix looked as if he was on that white lady, anyhow he was pretty big in the early mid 90’s with TLC, Monica, Donnell Jones, and some other artist that he produced. Did he own D.A.R.P. studios/productions, or was a co-owner? Everything they touch was a hit.
@ Kymystry ~ What a dog.
I used to love me some Donnell Jones! “Where I Wanna Be” still gets regular play.
Dallas seems really cool. I like the cat. If you got the money to buy 9 cars, have at it. I aint gone knock what he decides to spend HIS earned money on.
I think so many black people who come from having little money to rich–dont really know how to answer ‘being rumored broke.’ The first thing is usually what you have or how much something costs. That’s y fools wear their bling. Sure, you can have 9 cars and be broke too, but i’m just sayin…I dont think he’s hurtin.
He’s not approaching this from a personal perspective. This is business. DARP and CYPTRON publishing I do remember those two for sure, from waaaaayyyyy back in the day. Companies restructure all the time. That’s all he’s doing. Restructuring.
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SHOW ME THE MONEY!!!!! Even though he spun a great response he still neglected to answer the question. He is broke but just hopes that his clothing line and the release of a cd or two will help him climb back up to the top. Good luck. But a word of advice next time when you want to set the record straight actually set it straight.
Didn’t know who he was until I read this.
I don’t think he needed to go into that much detail about what he has….but I can say that he is NOT lying! He lives about 1.5 miles from me in a FLY a-s-s house that has an infinity pool with a gated garage FULL of cars that you can see through at night plus his drive way it lit up… He stays in the MtParan area (New Northside)… CRAZY mansions in that area!! His is gated, but the majority of them you can literally ring the door bell..lol I gues my people still can’t believe they got money and live in a decent area..lol Just kidding!
the first thing a broke azz person gonna tell you is what they got. he telling you, he got this and that and 9 cars, but you aint got nothing that isnt got temporary on it. not one thing he mentioned was going to grow over time….sad….