Sean "Diddy" Combs has been arrested in a Manhattan hotel and taken into custody late Monday in the US after a grand jury indicted him, his lawyer has confirmed.
The indictment is sealed and the charges were not announced but Marc Agnifilo, a lawyer for Combs, said he believed he was being charged with racketeering and sex trafficking, the New York Times reported.
"We are disappointed with the decision to pursue what we believe is an unjust prosecution of Mr Combs by the US Attorney's Office," Marc Agnifilo, a lawyer for Combs, said in a statement.
He said the musician had been cooperating with the investigation, and relocated to New York last week in anticipation of being charged. His team maintained his innocence and said he has "nothing to hide".
The US attorney for the Southern District of New York posted on Twitter/X that "we expect to move to unseal the indictment in the morning and will have more to say at that time".
Earlier this year the 54-year-old rapper's homes in Los Angeles and Miami, Florida, were raided as part of a federal investigation into human trafficking.
Weeks ago, Combs was ordered to pay USD$100 million (NZD$162m) to a Michigan inmate who accused the rapper of drugging and sexually assaulting him at a party almost 30 years ago.
Derrick Lee Smith, who was sentenced to prison for 75 years on sexual misconduct and kidnapping charges, filed complaints against Combs in June and August. He was given a temporary restraining order against Combs, who has several other sexual assault cases still pending.
Combs, founder of the landmark label Bad Boy Records, is one of the most influential producers and executives in hip-hop and a hugely successful performer, as well as the impresario of his own Sean John clothing line.
The rapper's legal woes have mounted since accusations made by his ex-girlfriend Cassandra "Cassie" Ventura in November last year. A lawsuit was launched by Ventura and was settled by Combs for an undisclosed sum. Combs apologised after footage came to light that showed him attacking Ventura in a hotel hallway in 2016.
She had accused him of rape and sexual trafficking over a decade. Combs' team clarified that the settlement was not an admission of wrongdoing.
Since then, Combs has been hit with 10 lawsuits, nine directly accusing him of sexual assault.
"Sean 'Diddy' Combs is a music icon, self-made entrepreneur, loving family man, and proven philanthropist who has spent the last 30 years building an empire, adoring his children, and working to uplift the Black community. He is an imperfect person but is not criminal," Agnifilo told CNN following Monday's arrest.
"To his credit, Mr Combs has been nothing but cooperative with this investigation and he voluntarily relocated to New York last week in anticipation of these charges. Please reserve your judgment until you have all the facts. These are the acts of an innocent man with nothing to hide, and he looks forward to clearing his name in court."