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Top 10 People Who Got Fvcked By The SFXE Bankruptcy

Posted By: Eric Robberts On:


So unless you’ve been living under a rock, you must have heard that the giant SFX entertainment as filed bankruptcy last Monday. If you don’t know who SFXE are, they are the ones behind some of the biggest music festivals in the world including; Tomorrowland, Electric Zoo, Stereosonic and Mysteryland. As is tradition for big news like this in the EDM world, it was posted a bit everywhere, if you want to know all the juicy details, I invite you to read the article in the NY TIMES.

However, what we found the most interesting and I guess, terrible about this story, is how many (and how much) people lost money because of this bankruptcy. Found out the list of the 10 people who got screwed the most by this bankruptcy.

1. Alda Events, Netherlands

Amount owed: $23.4 Million

Holding companies for Allan Hardenberg and David Lewis sold SFX a 50% share in their Dutch dance company in 2014. Read the SEC Filing on the transaction here.

2. Totem OneLove Group

Amount owed: $11 million

SFX still owes the Australian EDM conglomerate for its purchase of the Stereosonic EDM festival in Melbourne.

3. Mike Bindra and Laura Depalma

Amount owed: $10 million

SFX owes the pair money for its 2014 purchase of Made Events and the Electric Zoo Festival in New York. SFX still owes a final payment of $5 million each, which had been to be paid in full no later than 2018, according to the company’s contract.

4. Paolo Moreno

Amount owed: $7 million

Less than  a week ago, former Disco Donnie manager Paola Moreno, his brother Gabriel and artist manager Lawrence Finkel settled a lawsuit regarding Sillerman‘s alleged theft of the idea for SFX. The men said they help put together seven of the eight original deals that created SFX, but were never paid with the company equity they were promised. SFX settled the suit two weeks before it went to trial. Steven N. Feldman of Hueston Hennigan LLP told Billboard that the plaintiffs are “very satisfied with the settlement.” They’re probably less satisfied seeing their settlement gobbled up in a bankruptcy.

5. Lucas King and Jeff Callahan

Amount owed: $5.8 million

In 2014, King and Callahan sold their Chicago-based promoter company to Sillerman and is still owed millions of dollars. It was King and Callahan that triggered an SFX default last month after SFX missed a $3 million earnout payment. Read the SEC filing on the transaction here.

6. VistaJet

Amount owned: $1 million

Remember that picture of Sillerman exiting a private jet and flipping the camera off before grabbing his junk and making an angry face? Vista Jet baby! SFX owes the private jet charter service over a million bucks.

7. American Express

Amount owed: $450,000

Someone please take away Sillerman’s Amex!

8. Joe Rascoff

Amount owed: $360,000

The former Live Entertainment chairman stepped down last January and is owed a six-figure severance, despite remaining on the board of directors.

9. Front Gate Ticketing

Amount owed: $300,000

Hope this wasn’t upfront money!

10. CrowdRX

Amount owed: $269,603

The medical triage team that provided onsite services for SFX events like TomorrowWorld, Mysteryland, Electric Zoo and Sensation is owed over a quarter million dollars in unpaid bills.


 

So turns out SFX owed quite a bit of money. Our favorite internet troll, Deadmau5, even offered to buy bankrupt SFX for 14 millions$.

CC: TheHypebot


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