Jay-Z’s Roc Nation School of Music in Brooklyn, NY is under investigation after students were hit with unexpected debt.
The city is investigating Roc Nation’s School of Music for predatory business practices.
According to the Gothamist, some low-income students were left with unexpected balances as high as $39,000!
The Gothamist report revealed that students were promised Hope scholarships that would pay their tuition and they would “graduate without debt.”
The school’s website claimed it would provide the students with a “debt-free education.”
But some students were left with unexpected balances ranging from $5,000 to $39,000.
Four students reported dropping out of the school due to the high balances they incurred.
One student who lived in a homeless shelter dropped out of the school after racking up $17,549 in student debt.
It seems Jay-Z and Roc Nation are having significant cash flow problems.
Vibe magazine reported that Jay-Z amended his lawsuit against attorney Tony Buzbee with claims that Roc Nation lost out on an unspecified $20 million “minimum fee guarantee” of an undisclosed contract.”
The lawsuit also claimed that Roc Nation was denied a $115 million loan and Jay-Z himself was rejected for a $55 million personal line of credit.
The agency investigating the school urged students to contact them.
“While we can’t discuss details of ongoing investigations, we urge students who feel they’ve been harmed by Roc Nation LIU’s conduct to reach out to us,” Michael Lanza, a spokesperson for the agency, said in a statement. “Consumers can call 311 or visit nyc.gov/Consumers to file a complaint with DCWP.”
The Hope Scholarship was promoted as an opportunity for students with the “highest need,” and was initially marketed on LIU’s website as providing a “debt-free education.”
