Malaysia’s Jho Low paid a rapper to lobby Donald Trump to drop 1MDB investigation, US court hears

Grammy-winning rapper Pras Michel of hip-hop group the Fugees is accused of illegally lobbying Trump on the fugitive Malaysian financier’s behalf
Part the secretive lobbying effort involved trying to set up a golf game between Trump and Malaysia’s then-PM Najib Razak, a government witness said

Malaysia

Bloomberg

Published: 9:18am, 5 Apr 2023

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Former top Republican fundraiser Elliott Broidy gave federal jurors in the US an inside account of how he and Grammy-winning rapper Pras Michel reaped payouts from a Malaysian tycoon to lobby President Donald Trump’s administration to help end a federal investigation into the 1MDB scandal.

At Michel’s criminal trial in Washington, Broidy testified on Tuesday about how the musician assembled a team in 2017 to get the US Justice Department to drop its civil investigation of Jho Low, who’s accused of embezzling billions of dollars from Malaysian development fund 1MDB. Using Low’s money, Michel paid Broidy to use his connections in the Trump administration in “hopes of helping to resolve the 1MDB matter,” the former fundraiser said.

Broidy, who is a crucial government witness, confirmed he, Michel and others agreed to use influence on behalf of Low, a foreign national. Broidy pleaded guilty in October 2020 to conspiring to violate the Foreign Agents Registration Act and was pardoned by Trump weeks later.

Pras Michel, former member of the Fugees, exits federal court in Washington on Monday. He is accused of illegally lobbying on Low’s behalf and acting as an unregistered agent of China. Photo: Bloomberg

On cross examination, Broidy confirmed he didn’t discuss the requirement to register as a foreign agent with Michel or Low and didn’t receive legal advice about FARA until he was being investigated.

Michel, a member of the hip-hop group the Fugees, is accused of illegally lobbying on Low’s behalf and acting as an unregistered agent of China in pushing Trump’s administration to extradite Chinese billionaire Guo Wengui, a vocal critic of Beijing. Michel is also accused of funnelling Low’s illegal donations into the 2012 campaign of President Barack Obama.

Broidy, a Los Angeles money manager, was one of three top fundraisers for Trump in 2016 when he joined Low’s plot to cash in on his connections. Low paid US$8 million to Broidy and promised as much as US$75 million more if he succeeded in persuading the Justice Department to walk away from its civil forfeiture case against 1MDB. Broidy paid a portion to Nickie Lum Davis, a Hawaii businesswoman, who also pleaded guilty to the scheme.

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During his testimony, Broidy said Davis, who was friends with Michel, came to him with the 1MDB “business opportunity”. Broidy described Davis as the “intermediary” between him, Michel and Low. He said the group met with Low in Bangkok to discuss the 1MDB matter and financial compensation.

As part of his secretive lobbying effort, Broidy said he unsuccessfully tried to set up a golf game between Trump and the Malaysian prime minister, Najib Razak. When Broidy struggled to lock down a date, he said he came under pressure from Davis. “I believed Mr. Low was pressuring Mr. Michel, who was pressuring Nickie, who was pressuring me,” Broidy said.

The backchannel efforts failed. Low was indicted in 2018 on charges of conspiring to launder billions of dollars embezzled from 1MDB. Low is a fugitive believed to be in China.

Elliott Broidy pictured in 2008. The former Republican fundraiser testified that he was paid by Pras Michel, using Jho Low’s money, to use his connections in the Trump administration in “hopes of helping to resolve the 1MDB matter”. Photo: AP

Meanwhile, Broidy was trying to use his connections to tap into another business opportunity – the extradition of Guo. “Nickie said they might throw us a bone,” Broidy testified. The group met with Chinese vice-minister Sun Lijun, but Broidy said he was unsuccessful in arranging meetings for the vice-minister with US officials. Broidy said he turned to casino magnate Steve Wynn for help because of his ties to Trump.

Broidy and Wynn were on a boat when Wynn called Trump on speaker phone and asked the president about Guo’s potential extradition status, Broidy said. He heard Trump say “they were working on it”, he told the jury. Last year, Wynn persuaded a US judge to dismiss a Justice Department lawsuit seeking to force him to register as a foreign agent acting for China.

1MDB scandal: Kuwait sentences alleged Malaysian mastermind Jho Low in absentia

Michel’s defence lawyers have denied the government’s allegations, explaining that their client forged international relationships, like the one with Low, to win investments for entertainment projects that promote black capitalism. They argued that Michel was acting in “America’s best interests” when he advocated for Guo’s return in exchange for American hostages and that he was unaware of requirements to register as a foreign agent.

On cross examination, Michel’s lawyer, David Kenner, also questioned Broidy about his plea agreement and pardon as well as meetings he had with Michel, whom the fundraiser described as quiet.

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