Wednesday, October 28, 2020

Consultant charged for illicit lobbying of Trump administration to stop 1MDB money-laundering probe

-

Prosecutors have accused an American consultant of illicitly lobbying President Trump’s administration to stop a probe into a multi-billion dollar looting of a Malaysian state investment fund and to return a Chinese dissident who is in the U.S.

In a criminal complaint filed in a federal court in Honolulu last week, prosecutors allege that Nickie Lum Davis violated the Foreign Agents Registration Act, which mandates those recruited by foreign entities to lobby the U.S. government to register the work with the Justice Department, The Associated Press reported.

The complaint said that Davis lobbied on behalf of a fugitive Malaysian financier, who has been charged with conspiring to launder billions of dollars from the state investment fund.

The charge is the most recent involving the Malaysian wealth fund 1MDB which was intended to improve the nation’s economic development. Instead, U.S. prosecutors allege that allies of former Malaysian Prime Minister Najib Razak took at least $4.5 billion for personal use such as funding films and buying hotels, a yacht, art, jewelry and other items.

- Advertisement -

Davis’s attempts to prevent the U.S. from investigating the state investment fund were unsuccessful as the suspected ringleader Jho Low was charged in connection to the laundering in 2018. Low is still at large.

The criminal complaint said Davis worked with a fundraiser with close ties to Trump to lobby the Justice Department to stop looking into the wealth fund. Low allegedly offered $8 million for the lobbying and another $75 million if there was an agreement within 180 days, according to the AP.

Prosecutors said the Trump-connected fundraiser advised for the money not to come from Low, and the fugitive worked out a deal with a friend to provide the money. The fundraiser was not named in the complaint, but the AP noted his description aligned with Elliott Broidy, the former deputy chair of Trump’s inaugural committee.

The complaint also alleged that lobbying was conducted to try to set up a meeting between Trump and the former Malaysian prime minister, but ultimately did not work out.

- Advertisement -

Davis was also reportedly involved with trying to schedule meetings with the Justice Department to lobby for a dissident living in the U.S. to be extradited to China. The dissident is also unnamed, but the charging documents include a Wall Street Journal article with Guo Wengui mentioned in the headline, according to the AP.

In 2014, Guo fled China after an anti-corruption crackdown. Trump’s former chief strategist Steve Bannon was arrested while aboard Guo’s yacht last week off the coast of Connecticut.

MUST READ

Beam Suntory Inc. fined $19.6 million in foreign bribery case

Beam Suntory Inc. (Beam), a Chicago-based company that produces and sells distilled beverages, has agreed to pay a criminal monetary penalty of $19,572,885 to...

Julius Baer to deny two former CEOs their bonuses over money laundering scandal

Julius Baer will withhold millions of francs in bonuses from its former chief executives Boris Collardi and Bernhard Hodler, as a result of a...

Goldman Sachs executives to cover part payments of $3 billion fines in 1MDB scandal

Nine current or former Goldman Sachs executives, including CEO David Solomon, will have to pay back hundreds of millions of dollars in compensation over...

Goldman Sachs agrees $3 billion settlement with US DoJ over 1MDB corruption scandal

Goldman Sachs has agreed to pay nearly $3bn (£2.3bn) in the US to end a probe of its role in Malaysia's 1MDB corruption scandal. The...

Hong Kong fines Goldman Sachs $350 million over 1MDB scandal

Goldman Sachs ignored multiple red flags over the multibillion-dollar fundraisings it arranged for state fund 1Malaysia Development Berhad, Hong Kong’s financial regulator said on...

Subscribe For More

Get our daily notification on the latest financial crimes news around the World

Advertisement
Advertisement

Latest News

This Week

Actress Felicity Huffman complete full sentence for role in college admissions scam

Felicity Huffman has completed her full sentence for her involvement in the college admissions scandal. As of Sunday, she has finished her sentence, which included jail...

Beam Suntory Inc. fined $19.6 million in foreign bribery case

Beam Suntory Inc. (Beam), a Chicago-based company that produces and sells distilled beverages, has agreed to pay a criminal monetary penalty of $19,572,885 to...

Guatemala seeks arrest of ex-minister linked to a $16m cash discovery

Guatemalan prosecutors are seeking the arrest of the former communications minister for ex-President Jimmy Morales on money laundering charges after finding a connection to...

Goldman Sachs executives to cover part payments of $3 billion fines in 1MDB scandal

Nine current or former Goldman Sachs executives, including CEO David Solomon, will have to pay back hundreds of millions of dollars in compensation over...
Advertisement

Adblock Detected!

Our website is made possible by displaying online advertisements to our visitors. Please consider supporting us by whitelisting our website.

Enable Notifications    Ok No thanks