The Guardian (USA)

It platformed an alleged fraudster. Can hiphop’s biggest radio show survive the fallout?

- Andrew Lawrence

DJ Envy is a poster child for hip-hop’s crossover into the mainstream. Over the past three decades, the 46-yearold Queens native went from hustling rap mixtapes to anchoring the Good Morning America of urban radio – The Breakfast Club, where heplays the role of schoolmarm on “the world’s most dangerous morning show”. The role of failed real estate tycoon, however, might well prove to be his swan song now that Envy’s own listeners accuse him of perpetrati­ng a fraud scheme they say bilked them out of millions.

In October, federal agents in New Jersey arrested a 45-year-old influencer friend of Envy’s and repeat Breakfast Club guest named Cesar Pina for his suspected role in a “Ponzi-like investment fraud scheme”, charging him with wire fraud. Prosecutor­s say Pina took money from dozens of individual backers to flip houses in New Jersey, promised up to 45% returns in five months, and skimmed those funds for himself and early initial investors.

At least 20 lawsuits filed around the same time as the federal indictment characteri­ze Pina as a conman and a slumlord: they claim he solicited funds for properties he didn’t own or even bother to fix up and suckered multiple people into investing in the same pieces of properties, and all while pocketing cash for his personal use or to make whole with old investors. Alleged victims even accuse him of attempting to pay them back in bling, including branded pieces made by his brother. Half of the lawsuits against Pina also named Envy (real name: Raashaun Casey), blaming the DJ for platformin­g Pina on The Breakfast Club and social media. Just last month, Pina and Envy were named in a $2m lawsuit accusing them of using the string of real-estate seminars they hosted together as “funnels to draw in victims”,and alleging violations of organized crime law and the New Jersey Consumer Fraud Act.

The conservati­ve estimate for Pina’s alleged fraud stops at $25m, but that barely covers the growing headcount of victims or Pina’s alleged side hustles: $200 for seminar tickets, private consultati­ons for $2,500. The final figure could be in the hundreds of millions, says Alexander Schachtel, a New Jersey attorney who represents many of the victims suing Pina and Envy.

“Envy and Pina said in recorded videos that they own 2,000 properties together worth over $100m,” Schachtel says. “If that’s true, why are they raising money from Joe Schmo the mechanic? It just doesn’t make sense.”

Pina, who’s out on a $1m bond and faces a maximum 20-year sentence plus a $250,000 fine if convicted, asserts his innocence. Envy has not been charged with a crime and even claims he lost $500,000 in a real estate deal with Pina. That the feds nonetheles­s noted Pina had partnered with “a celebrity disc jockey and radio personalit­y to conduct real estate seminars around the country” should worry Envy and his employers. At the very least, Envy is guilty of having Pina, an ex-con who supposedly mastered the real estate game while serving time for credit card fraud, on TheBreakfa­st Club multiple times over the past five or six years.“I created Cesar,” Envy boasted in a recently resurfaced audio clip. “Cesar wouldn’t have the lifeline or the life he has without a DJ Envy.”

“I thought they had some vetting process in place to make sure that this guy was legit,” says Stanley Acosta, a 31-year-old retail banker from Queens who invested $150,000 in Pina’s real estate venture after hearing him on The Breakfast Club, which Acosta listened to on his commute into work. “They promote other people on there constantly – doctors, lawyers, other businesses – and they’re all legit.”

Typically, a scandal of this scale would send heads rolling, if only to reinforce public trust in the show. After all, in a year that saw the digital audio industry rocked by an advertisin­g swindle that has depressed the podcasting market, it was this alleged fraud blasted out on radio waves that really grabbed listeners. But iHeartRadi­o hasn’t issued a statement, and New York’s Power 105.1 FM hasn’t yanked anyone from the Breakfast Club lineup. (Neither the parent company nor the station responded to the Guardian’s multiple attempts to reach them for comment.)

Apart from the DJ taking the mic in October to distance himself from Pina in a glib, two-minute digression – and all traces of Pina getting scrubbed from the show’s official YouTube page and social media account – the beat goes on as if the show doesn’t have a celebrity endorsemen­t crisis on its hands.

It’s enough to raise the question: how did The Breakfast Club let things get this out of hand?

‘The last guard of what hip-hop journalism used to be’

To even begin answering that, you’ve got to go back to the early years of The Breakfast Club (only related to the John Hughes film by name).

“It exists in this very long tradition of Black radio as a place where folks get informatio­n on news, pop culture, even dating and relationsh­ips,” says AD Carson, professor of hip-hop and the global south at the University of Virginia. “But they’re also gatekeeper­s. They have a really important place in the culture, in that last guard of what hip-hop journalism used to be.”

The Breakfast Club was forged in the fires of New York City’s urban radio scene, soon carving out a niche nationally in a crowd dominated by the Family Feud host Steve Harvey and urban radio titan Tom Joyner. The insurgent production launched in 2010 as a junior varsity team: DJ Envy was an apprentice to the New York mixtape king DJ Clue, Angela Yee was a deputy to the DJ-comedian Cipha Sounds, and Charlamagn­e Tha God had been Wendy Williams’s sidekick. Any show anchored by those three was going to be an experiment– let alone a show trying to get rowdy first thing in the morning. But The Breakfast Club caught lightning in a bottle, quite explicitly redefining what it means to make “good radio” and pushing Power 105.1 out of the long shadow of Hot 97, the Big Apple stalwart with a Midas touch for minting future legends in the recording booth (Jay-Z) andin the radio booth (Williams).

The Breakfast Club copied the simulcasti­ng model that Howard Stern and Rush Limbaugh used to dominate the airwaves. But without its own TV deal, the show dumped clips on to YouTube that allowed audiences to watch back whatever interviews got cut off during their morning commute. “It goes back to JFK versus Nixon, radio versus visual. It’s to the point where now you can’t imagine The Breakfast Club without the visual element,” says Adrien Sebro, a media studies professor at the University of Texas. YouTube turned what would otherwise be terrible radio – Charlamagn­e insulting a female emcee’s looks to her face, the New Orleans rapper Birdman demanding “respek on my name”, Envy storming out of a Desus & Mero interview – into hugely viral moments. Nowadays, the show boasts more than 5.4 million YouTube subscriber­s (plus millions more who tune in via radio).

With sprawling influence came the power to elevate eggheads like Michael Eric Dyson and advance social causes like the Black Lives Matter movement, to pivot from mixing it up with Migos to grilling Joe Biden. The Breakfast Club became the place for politician­s to make their pitches to the Black community (and see their pandering efforts turned into memes). When it wasn’t Hillary Clinton bragging about the hot sauce bottle she carries in her purse, it was Biden telling The Breakfast Club crowd “you ain’t Black” if they didn’t vote for him.

The Breakfast Club was also early to engage followers directly on social media and even invites listeners to rail against the show in a segment called Slander the Breakfast Club. When it comes to policing itself, however, The Breakfast Club isn’t as quick to engage. And its buccaneeri­ng attitude can make it sound especially tone-deaf when wading into matters that run counter to “accepted” hip-hop culture, amplifying anti-trans rhetoric when its hosts – including Charlamagn­e, who’s been accused of sexual assault (he denies wrongdoing) – aren’t laughing at rape jokes. “The beauty of it is … no one is censoring any of this,” says Carson. “Like, nobody who’s really listening cares, and nobody who cares is really listening.”

By 2019, Envy’s tight associatio­n with Pina had become something of a running gag with Breakfast Club guests and listeners, who likewise couldn’t make heads or tails of this real estate venture. “Joe Budden told me it was a Ponzi scheme, and I was gonna go to jail,” Envy deadpanned in 2021, referencin­g his former labelmate turned hip-hop tastemaker, while telling an anecdote about calling up friends for advice about Pina’s real-estate pitch. Charlamagn­e and Yee were in the room for Pina’s Breakfast Club appearance­s and registered their skepticism, albeit jokingly – but the show still wasn’t checking itself.

Even before the Pina controvers­y, the production showed obvious signs of decline. Hot 97 has reclaimed its lead on New York’s Nielsen charts, and the online following for its rival show Ebro in the Morning is nearly as strong as The Breakfast Club’s. The Breakfast Club also has softened its confrontat­ional approach to political guests, making it easier for Eric Adams, Vivek Ramaswamy et al to exploit appearance­s for clout. Perhaps worse: this isn’t the first time Envy’s off-air dirt has tarnished the show. Long before the Ponzi scheme allegation­s, the selfstyled family man was outed for his extramarit­al affair with a leading lady from the reality TV series Love & Hip Hop. Envy and his wife went on a PR charm offensive just to make the tawdry headlines disappear. Breakfast Club followers still remember.

But by far the biggest blow was Yee signing off at the end of 2022 to helm her own midday program at Power 105.1. Yee was the adult in the room, the host you could most count on to ask pointed interview questions and otherwise take her role (relatively) seriously. Above all, she had a squeaky clean personal record; if she brought scandals to the show, it was via the Rumor Report segment. (The Breakfast Club is trying out celeb guests to fill her role, Daily Show-style, and they’ve advertised her job to plebes on LinkedIn.)

The departure of a major talent would be a blow to any hit show, particular­ly one in danger of losing its edge, and its audience too. “It’s like, not only was that person the lynchpin of it all,”

 ?? The Guardian/Getty Images ?? The hosts of The Breakfast Club: Charlamagn­e Tha God, Angela Yee and DJ Envy. Composite:
The Guardian/Getty Images The hosts of The Breakfast Club: Charlamagn­e Tha God, Angela Yee and DJ Envy. Composite:
 ?? Brandon Medford Enterprise­s ?? DJ Envy and Cesar Pina in October 2022. Photograph: Johnny Nunez/Getty Images for
Brandon Medford Enterprise­s DJ Envy and Cesar Pina in October 2022. Photograph: Johnny Nunez/Getty Images for

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