New York-based music label TVT Records is expected to file for bankruptcy later this week (ends 22feb08) after axing the majority of its staff.
The label, which was home to artists including the Ying Yang Twins, The Polyphonic Spree, Pitbull and Lil' Jon, terminated most of its employees on Tuesday (18Feb08) and is expected to apply for Chapter 11 bankruptcy protection, according to Allhiphop.com.
TVT was famously involved in a bitter contract dispute with Nine Inch Nails' Trent Reznor and was also embroiled in a legal battle with Ja Rule - over early recordings by Cash Money Click featuring the rapper.
While an initial ruling awarded TVT Records $132 million (GBP66 million) in damages, the figure was voided to zero on appeal.
Most recently TVT was at the centre of controversy when one of the label's top hip-hop stars, Pitbull, accused the company of not doing enough to promote his album The Boatlift - and urged his fans not to purchase the LP.
The company was founded by current president, Steve Gottlieb, who launched the label out of his New York City apartment in 1985. At its height TVT was considered one of the top independent record labels in the United States.
