Knight has been in a legal battle since he lost a $107 million judgment last year to Lydia Harris, who claimed she helped start the label empire but was subsequently frozen out.
Ex-husband Michael Harris, currently serving a 28-year sentence in San Quentin state prison, claims he put up $1.5 million from behind bars to start the label. He seeks half of the award as part of their divorce. Knight has denied Harris was an investor.
Michael Harris’ attorneys accused Knight of trying to evade his legal obligations by failing to show up for debtor examinations three times. He was absent from a March 23rd hearing.
“Enough is enough,” Harris attorney Steve Goldberg said. “It is time for a receiver and an order for contempt. There are rules of court that should be obeyed and Mr. Knight is making a mockery of it.”
Attorneys for Lydia Harris urged the judge to place Knight’s company in receivership and accused Knight of shifting his assets.
Los Angeles Superior Court Judge Ronald Sohigian enjoined Knight from transferring or hiding any assets. Knight’s assets were frozen in December after a judge in Monterey County said Knight and his lawyers failed to answer questions and provide information in the case.
Knight’s lawyer, Dermot Givens, asked Sohigian for a postponement because Knight was hiring a new team of lawyers, but Sohigian refused.
Givens also promised Knight would appear at the April 1st hearing and said he would not hide any assets.