Published
Thu, Aug 6, 2015, 16:38
- The online retailer has paid major labels for the past quarter while leaving independents unpaid.
Beatport has paid "trapped" royalties to major labels while leaving independents out of pocket for the past quarter.
The revelation, confirmed by RA sources, comes days after Beatport contacted labels stating that it had "trapped certain earned label payments" for April through June 2015. The online retailer said payments were frozen while its parent company, SFX, continued a "going private" process from a publicly listed company to a private one. The company had added: "This process will be coming to an end in the next few weeks, at which time all payments will be able to be made."
SFX is in the process of a lengthy restructuring that includes its chairman and CEO Robert Sillerman buying the company.