Yes 50 Cent Filed for Chapter 11 Bankruptcy, But That Doesn’t Mean He’s Broke

It seemed as if people were happy to see 50 Cent go broke, I’m not sure what one man’s financials downgrade means for anyone else but all over Twitter and Instagram between the memes and tweets, you would have thought all these people were going to get a check because 50 Cent is “going broke.”

Except that he’s not though.

Today 50 Cent has filed for chapter 11 bankruptcy, Wall Street Journal reports. Don’t get it twisted though, it differs from Chapter 7 which stands for filing for liquidation.

As per court documents filed in the U.S. Bankruptcy in Hartford Connecticut, Fiddy claims his “debts are primarily consumer debts.” He has reported assets and liabilities both ranging from $10-$50 million. In other words, he owes approximately the same amount of money he has on his name.

Does anyone else find that a little strange? Especially when Forbes just placed his value at $150 million and The New York Times recently published a glowing profile of the rapper, praising his “exceptional business instincts.”

Let’s talk about why this is strange though, first and foremost the timing, I mean come on, it’s no coincidence that less than a week after losing sex tape case against Lastonia Leviston, Rick Ross’ baby mother, for which a judge ordered him to pay her $5 million – now all of a sudden he has no money.

This is clearly so he doesn’t have to pay the full court fees associated with the case not to mention the punitive damages, If he’s broke then he has no money to pay anyone right? How convenient Fif, how convenient.

Why not just pay it though?

Well this is 50 Cent we’re dealing with, deep down inside he’s still that grimy nigga from Southside Jamaica Queens who refuses to take an L from his enemies in any way. In 50 Cent’s mind, he’s thinking; paying Lastoni $5 million is a win for Rick Ross and he can’t accept that.

Then There’s The SMS Audio Lawsuit

Many forgot that last year 50 Cent lost a $17 million dollar lawsuit against Sleek Audio which ironically he’s a partner in. The suit alleged that 50 stole extremely valuable trade secrets and technology to launch a competing line of headphones through a newly formed company (that he majority owned) called SMS Audio.

You can read the full story on celebrity net worth.

You add that up with the $5+ million he has to pay for his latest suit, that’s more than 20 million that I’m sure 50 doesn’t want to pay.

Filing for bankruptcy is a smart move, smarter than paying the $20+ million.

Strategically these are some of the benefits

1. Filing for bankruptcy immediately prevents Lavonia Leviston from being able to disrupt his current business operations or place liens on his assets to collect Friday’s $5 million judgment.
2. Filing for bankruptcy would force both Leviston and Sleek Audio to the negotiating table to renegotiate the $22.5 million worth of outstanding judgments.
3. Filing for bankruptcy would prevent the jury in the sex tape case from being able to award Ms. Leviston further punitive damages.

50 Cent himself told us all while he was on the “Power” tv series promo, in an interview with Breakfast Club. He says he’s not that wealthy, he doesn’t make that much money annually, but his companies are highly valued. That’s a good move, it protects him in situations like the one he’s in right now, limited liability bruh.

“Power” is the highest rated show on Starz history, boasting 1 million viewers, that’s going to go for another 4 seasons at least. Then there’s Effen Vodka which has already made $4 million (according to DJ Envy who’s one of the promoters of the beverage) in it’s 5 months of existence, then there’s SMS Audio which was a profitable company before it’s recent lawsuit.

Oh let’s not forget the $200 million Lionsgate deal for 10 films, and I believe he’s only 2 films in so far.

I could dive deeper into 50 Cent’s pocket, but there’s no need to, I think you get the picture now.