Essence Fest and its parent company are facing scrutiny after a new report alleges that organizers failed to make payments to the Ernest N. Morial Convention Center. In question, the authorities for the convention center claim that Essence Fest allegedly owes them $406,000 in payments for production and other costs.
In a report from NOLA.com, the Ernest N. Morial Convention Center is claiming that Sundial Media Group, the parent company for Essence Fest, owes them the aforementioned six-figure payment, and also owes another contractor. The outstanding debt, according to leaders at the center, is hampering efforts to secure state funding for the music and cultural festival.
The $406,000 is said to represent more than 60% of the operating costs of last summer’s three-day event, including workshops, panels, and the like. Last week, NOLA.com noted in its reporting that Sundial Media Group paid the convention $50,000.
Along with the Morial Convention Center, the outlet added that Sundial Media Group also owes over $1 million to a local production company, although that figure was delivered by a source and cannot be validated.
The annual Essence Fest is a big boon for tourism in New Orleans, bringing thousands of revelers to the famed city and drumming up loads of revenue for local businesses.
Mayor Helena Moreno has put forth a plan with local politicians in efforts to keep the connections with the festival as ongoing despite the reported financial mixups.
A Sundial Media Group is disputing the $1 million owed, but did not confirm with NOLA.com how much outstanding debt it might owe vendors.
—
Photo: Getty
