‘Wolf of Wall Street’ producer to settle 1MDB lawsuit, agrees to pay $60 million
Los Angeles-based movie studio Red Granite Pictures agreed to pay $60 million to the US government in order to resolve allegations that it profited from a massive Malaysian corruption scandal involving government fund 1Malaysia Development Berhad, or 1MDB.
US prosecutors had claimed three films were financed by Red Granite using money misappropriated from 1MDB, a state fund founded in 2009 by Malaysian Prime Minister Najib Razak. The most notable of those movies is The Wolf on Wall Street, starring Leonardo DiCaprio.
According to a filing in a California court on March 7, the company also settled claims against its rights and interests in two other films, Daddy’s Home and Dumb and Dumber To. Under the agreement, Red Granite does not admit to any wrongdoing.
“We are glad to finally put this matter behind us and look forward to refocusing all of our attention back on our film business,” Red Granite said in a statement on the filing.
Riza Aziz, the CEO of Red Granite, is the stepson of Malaysia’s prime minister Najib Razak, who is – according to US authorities – also involved in the 1MDB scandal but hasn’t been held responsible yet in any way.
Aziz is also a close friend of Jho Low, a Malaysian deal maker who is seen to have played the key role in the 1MDB fraud case which a US report described as “kleptocracy at its worst.” Low is on the run and said to stay most of the time in Shanghai. Authorities just recently seized his super luxury yacht allegedly purchased with embezzled 1MDB funds.
Prosecutors alleged that Aziz used more than $100 million taken from 1MDB to finance The Wolf of Wall Street and the other two movies. He claimed that he never “knowingly used stolen funds” for his film projects.
However, he was also accused of using stolen funds to buy luxury real estate, including a $35 million condominium in New York, a $41.8 million London townhouse, and a $17.5 million mansion in Beverly Hills. The government is also seeking to seize those properties.
Leonardo DiCaprio meanwhile distanced himself from 1MDB-related figures and also returned gifts he received from them. The actor is not accused of any wrongdoing.
Los Angeles-based movie studio Red Granite Pictures agreed to pay $60 million to the US government in order to resolve allegations that it profited from a massive Malaysian corruption scandal involving government fund 1Malaysia Development Berhad, or 1MDB. US prosecutors had claimed three films were financed by Red Granite using money misappropriated from 1MDB, a state fund founded in 2009 by Malaysian Prime Minister Najib Razak. The most notable of those movies is The Wolf on Wall Street, starring Leonardo DiCaprio. According to a filing in a California court on March 7, the company also settled claims against its rights...
Los Angeles-based movie studio Red Granite Pictures agreed to pay $60 million to the US government in order to resolve allegations that it profited from a massive Malaysian corruption scandal involving government fund 1Malaysia Development Berhad, or 1MDB.
US prosecutors had claimed three films were financed by Red Granite using money misappropriated from 1MDB, a state fund founded in 2009 by Malaysian Prime Minister Najib Razak. The most notable of those movies is The Wolf on Wall Street, starring Leonardo DiCaprio.
According to a filing in a California court on March 7, the company also settled claims against its rights and interests in two other films, Daddy’s Home and Dumb and Dumber To. Under the agreement, Red Granite does not admit to any wrongdoing.
“We are glad to finally put this matter behind us and look forward to refocusing all of our attention back on our film business,” Red Granite said in a statement on the filing.
Riza Aziz, the CEO of Red Granite, is the stepson of Malaysia’s prime minister Najib Razak, who is – according to US authorities – also involved in the 1MDB scandal but hasn’t been held responsible yet in any way.
Aziz is also a close friend of Jho Low, a Malaysian deal maker who is seen to have played the key role in the 1MDB fraud case which a US report described as “kleptocracy at its worst.” Low is on the run and said to stay most of the time in Shanghai. Authorities just recently seized his super luxury yacht allegedly purchased with embezzled 1MDB funds.
Prosecutors alleged that Aziz used more than $100 million taken from 1MDB to finance The Wolf of Wall Street and the other two movies. He claimed that he never “knowingly used stolen funds” for his film projects.
However, he was also accused of using stolen funds to buy luxury real estate, including a $35 million condominium in New York, a $41.8 million London townhouse, and a $17.5 million mansion in Beverly Hills. The government is also seeking to seize those properties.
Leonardo DiCaprio meanwhile distanced himself from 1MDB-related figures and also returned gifts he received from them. The actor is not accused of any wrongdoing.
