Damon Dash is suing his ex-wife Rachel Roy for fraud. According to Dash, Roy has been hiding cash that he feels he rightfully deserves. The lawsuit states that Roy and her business partners “manipulated, diverted, misappropriated, transferred, concealed and embezzled funds.” Dash believes his stake in the company has been undervalued and that it has been making millions, so he wants his fair share.
Damon was still married to Roy when her company was formed in 2008. However, Dash claims a $175,000 payment was withheld in 2014 and another $200,000 payment was held up in 2015. He also claims he had a verbal agreement with Roy that she would pay him $1M to buy back his interest in the company, but he claims she reneged on the deal. Dash is suing Roy and her companies as well as a number of accountants and lawyers.