×
You will be redirected back to your article in seconds

Judge Approves Financial Overseer for Red Granite Pictures

A federal judge has agreed to the appointment of an independent financial overseer at Red Granite Pictures, as the company seeks to work with the U.S. Attorney’s office to resolve its piece of a massive corruption case.

The government alleges that Red Granite used funds that were embezzled from Malaysia to produce at least three films: “The Wolf of Wall Street,” “Daddy’s Home,” and “Dumb and Dumber To.” The U.S. is seeking to seize Red Granite’s portion of the proceeds from those films as part of a much broader effort to recoup funds allegedly stolen from 1 Malaysia Development Berhad (1MDB).

In a court filing, U.S. prosecutors and Red Granite agreed to the appointment of an “independent operational fiduciary,” who will be able to examine the company’s books and oversee transactions for a period of at least 30 days. Among the official’s responsibilities will be “maximizing Red Granite’s value as a going concern” as well as to “preserve and protect Red Granite’s assets pending a settlement among the Parties or further order of the Court.”

The government has claimed that $4.5 billion in total was stolen from the Malaysian development fund, and used to buy luxury real estate, fine art and a yacht. Last month, the government moved to take possession of three artworks that had been given as gifts to Leonardo DiCaprio.

Red Granite, whose CEO Riza Aziz is the stepson of the Malaysian prime minister, has maintained that it did not knowingly take stolen funds.

Judge Dale Fischer, who had rejected the appointment agreement when it was first proposed, signed off on the plan on Friday. The overseer will be paid by Red Granite, and is expected to be appointed within the next week.

More Biz

  • Here’s How Much Money 10 Artists

    Here’s How Much Money 10 Artists Are Owed by PledgeMusic

    For eight years, PledgeMusic was a success story: A direct-to-fan platform where artists worked directly with their audiences to fund their albums, tours and all stripes of merchandise, with fans able to purchase everything from custom guitar picks to private concerts. Yet last June, Variety broke the news that the company is struggling to pay [...]

  • Korea's CJ CGV Switches Turkey CEOs

    Korea's CJ CGV Switches Turkey CEOs as It Battles With Local Industry

    Yeun Seung-ro has been appointed as CEO of CGV Mars Entertainment, the Korean-owned company that operates Turkey’s largest cinema chain. He replaces Kwak Dong Won, another veteran of the CJ-CGV group. The change of personnel may reflect two ongoing battles within the Turkish film industry. CJ-CGV, which bought Mars for some $650 million in 2016. [...]

  • China Video Streaming Giant iQIYI Loses

    Chinese Video Giant iQIYI Loses $1.3 Billion in 2018

    Chinese video streaming firm iQIYI lost over $1.3 billion in 2018, as revenues and subscriber numbers ballooned. The deepening losses reflected ever higher spending on original content production. Announcing its first full-year financials since a March IPO that launched it onto the NASDAQ, iQIYI said that it lost $1.3 billion (RMB9.1 billion) last compared with [...]

  • Lisa Borders Time's Up

    Time's Up CEO Resigned After Son Was Accused of Sexual Assault

    Time’s Up has announced in a statement posted to Instagram that its former president and CEO Lisa Borders, who resigned Feb. 18, did so after her son was accused of sexual assault in a “private forum.” “Within 24 hours, Lisa made the decision to resign as President and CEO of Time’s Up and we agreed [...]

  • Louis Tomlinson Signs With Arista (EXCLUSIVE)

    Louis Tomlinson Signs With Arista (EXCLUSIVE)

    One Direction’s Louis Tomlinson has signed with Arista, sources tell Variety. While the singer was formerly linked with Epic Records in 2017, he is signed directly to Simon Cowell’s Syco label and will move within the Sony Music family to Arista. Tomlinson teased a new single on Feb. 2, posting on Twitter, “Just heard the [...]

  • Jussie Smollett

    Jussie Smollett's Bail Set at $100,000, Must Surrender Passport

    UPDATED: A Chicago judge set a $100,000 bond for Jussie Smollett on Thursday, as the “Empire” actor made his first court appearance. Smollett faces one felony count of filing a false police report. Police allege that Smollett staged a Jan. 29 attack, telling detectives that he was accosted by two men who used racial and [...]

More From Our Brands

Access exclusive content