Festival CEO Ryan Burke claims the rapper was paid 2.5 million US dollars to headline the October event but failed to fulfil her commitment or appear on a proposed rescheduled date.

However, Cardi B has disputed those claims, insisting she received only a one-million-dollar deposit and never received the outstanding payment needed to cover production costs.

The rapper says she is prepared to take legal action if organisers proceed with their threatened lawsuit.

Meanwhile, festival organisers say refunds are being processed for ticket holders.