Arista Records is an American record label that is a wholly owned subsidiary of Sony BMG, and operates under the RCA Records Group
Into the 1980s, Arista continued its rocket ride of success. Over the years it acquired Northwestside Records, Deconstruction Records, First Avenue Records and Dedicated Records in the UK. In 1989, Arista entered into a joint-venture with Antonio "L.A." Reid and Babyface in the creation of LaFace Records. In 1993, Arista also entered into a joint-venture with Sean "P. Diddy" Combs to form Bad Boy Records. It distributed Heavenly Records and fully acquired LaFace Records in 1999.
This revelation caused a firestorm in the music industry, as recording artists (particularly slickly produced pop artists) were now under siege and subsequently forced to cut back on lip-synching to show that they were authentic. Milli Vanilli's Grammy, meanwhile, was subsequently revoked. Davis promptly dropped the duo from Arista and deleted their album and its masters from their catalogue, making Girl You Know It's True the largest-selling album to ever be taken out of print. A court ruling in the US allowed anyone who had bought the album to get a refund.
In response to the scandal, Arista's position was that the company was completely unaware of the fact that Rob and Fab hadn't themselves sung on their album, but the label still found itself scoffed at by industry setsiders, as the controversy left a lasting stain on the company for many years to come.
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