99 problems to 100? Jay-Z subpoenaed to testify in fraud case

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"We are aware that the SEC is seeking information on Iconix's financial reporting", a spokesperson for Jay said in a statement.

JAY-Z may be forced to testify in a federal case even though the music mogul seems to be doing his best to stay silent. Jay-Z allegedly ignored both subpoenas.

The Securities and Exchange Commission said the repeat Grammy victor, whose real name is Shawn Carter, failed to respond to subpoena seeking his testimony, so officials have asked a federal judge in NY to take action.

A U.S. District Court judge in NY has instructed Jay-Z to appear on May 8 at 3 p.m.to show cause why an order shouldn't be issued for his testimony.

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The agency wants Jay-Z's testimony in looking at the brand management company's write down of the value of Rocawear by $169 million in March 2016 and an additional $34 million this year.

The rapper needs to say next week why he's dismissing a February subpoena in the Securities and Exchange Commission, U.S. District Judge Paul G. Gardephe claimed within a arrangement openly filed Thursday. If Carter does not comply with the subpoena, he may be held in contempt, according to the order. "Mr. Carter had no role in that reporting or Iconix's other actions as a public company", the representative said. "Mr. Carter is a private citizen and should not be involved in this matter".

The SEC insists he failed to appear despite the subpoenas and his lawyers have reportedly declined to offer his testimony in the future. Rocawear was one of his early business successes. That judge has now ordered the rapper to appear in Manhattan Federal Court to disclose details stemming from a suspicious $200 million acquisition by Iconix Brand Group in 2007. Shares for the company are down almost 7% in trade today after this news.

Demand for many of its brands also is waning, as retailers like Sears, Kohl's and Macy's struggle to keep up with changing consumers habits.