Uncle Nearest Whiskey Accused of Hiding $20 Million Loan Given By Jay-Z

(Photo: Uncle Nearest)

Rapper and entrepreneur Jay-Z is the latest investor entangled in the long-unfolding legal drama surrounding Uncle Nearest, the whiskey brand accused of defaulting on over $100 million in loans.

The allegations were made last Wednesday by Farm Credit Mid-America, the Kentucky-based lender that first filed a lawsuit against the whiskey maker in August 2025. The bank told a federal judge that Uncle Nearest founders Fawn and Keith Weaver attempted to “egregiously mischaracterize” the origins of a $20 million loan. Farm Credit was allegedly told that the loan came from Grant Sidney, a private investment firm wholly owned by Fawn Weaver — upon further inspection, it appears to have been made by MarcyPen, a venture capital firm founded by Jay-Z, Jay Brown, Larry Marcus, Robbie Robinson and D’Rita Robinson.

The filing claims that the Weavers hid the loan so that it wouldn’t be “snatched” by Farm Credit under its court-ordered receivership.

“Ms. Weaver’s own testimony shows that Grant Sidney — the largest shareholder of Uncle Nearest — whose sole stockholder is also the CEO of Uncle Nearest (Ms. Weaver) and exercises complete control of both entities, orchestrated and executed a scheme to perpetuate the violation of Uncle Nearest’s legal duty, or to commit a dishonest and unjust act in contravention of FCMA’s rights,” the bank said.

“Through that scheme, Grant Sidney and Ms. Weaver surreptitiously executed an agreement that obfuscated the facts and intentionally placed the proceeds of the loan outside the scope of FCMA’s first position security interests and liens, thereby injuring FCMA through conversion of its collateral.”

Formed in late 2024 through the merger of Jay-Z’s Marcy Venture Partners and Pendulum Holdings, MarcyPen has a varied portfolio with investments in Savage X Fenty, StockX and Adwoa Beauty. Months before its merger, MarcyPen’s predecessor announced a “significant investment” in ready-to-drink alcohol brand The Finnish Long Drink, which counts actor Miles Teller, DJ Kygo and professional golfer Rickie Fowler as partners.

MarcyPen says that Uncle Nearest has yet to make the required payments on its loan, per the filing. For its part, the whiskey maker has denied wrongdoing, asking that the bank’s allegations be “ignored, struck and dismissed.”

“No fraud by Grant Sidney has been alleged with the particularity required for a federal pleading. The assertion that Uncle Nearest engaged in fraudulent conduct relating to the MP-Tenn transaction is not correct,” the Weavers said in a filing.

The fallout between Uncle Nearest and Farm Credit went public in August. In the initial lawsuit, the bank claimed that the whiskey maker had failed to pay principal and interest payments multiple times as early as January 2024. Farm Credit alleges that proceeds from the loan were used to purchase a Martha’s Vineyard home worth more than $2 million, and that Uncle Nearest sold barrels of whiskey to pay off other parties, but not the plaintiff.

According to the bank, Uncle Nearest is insolvent and currently owes nearly $200 million.