SALE OF DEATH ROW RECORDS ON HOLD!!

LATEST: The sale of MARION 'SUGE' KNIGHT's Death Row Records has been put on hold - after the potential new owners failed to pay the remaining $22 million. Susan Berg's New York-incorporated Global Music Group Inc. purchased the failing firm at auction in June (08) - seeing off competition from music industry heavyweights Warner Music Group to pick up the company Knight founded in 1991. But in court documents filed in New York on Friday (22Aug08), it emerged Global Music Group Inc. has not paid the full amount for the company.

Global Music's bankruptcy lawyer Kathleen March insists the two companies continue to negotiate the sale, blaming the delay on recent press reports that they made the purchase unlawfully. Global Music bosses claim they will close the transaction within a few weeks with help from an unnamed publicly traded company to fund the $22 million it still owes for Death Row, reports the New York Post. Knight and Death Row filed for bankruptcy in April 2006, listing $137 million in debt and just $4.4 million in assets.