How Paul Manafort tried to make money from projects believed to be linked to the Chinese regime

Polite in MarchI used Twitter for major news. Longtime political operator, lobbyist, wheeler dealer and (pardoned) felon Paul Manafort was negotiating to join Donald Trump’s 2024 presidential campaign. Considering all of Manafort’s plans over the years, this seemed like a strange move. Manafort’s recent business ventures, unknown to the public, raise more questions about him and his attempts to return to the Trump fold. According to the obtained documents Mother Jones—Two years ago, Manafort signed a $250 million deal to create a streaming service in China in a project he said had the blessing of the Chinese government and was affiliated with a Chinese telecommunications company approved by the Chinese government. I tried to coordinate. White House.

on friday morningwashington Post,The company, which obtained the same documents, reported Manafort’s involvement in the effort.

Manafort was Trump’s campaign manager throughout 2016. Trump dumped Manafort a few years ago after allegations arose that he embezzled $12.7 million in undisclosed cash payments from a pro-Russian political party in Ukraine. (His lawyers denied he received the money.) Two years later, as a result of special counsel Robert Mueller’s investigation into the Trump-Russia scandal, Manafort was found guilty and pleaded guilty to various financial crimes related to his consulting work in Ukraine. I did. , including conspiracy to commit bank fraud and defraud the United States. He was sentenced to more than seven years in federal prison and sent to Husegow. (He has been confined to his home during the Covid pandemic.) A bipartisan report from the Senate Intelligence Committee in 2020 declared Manafort a “serious counterintelligence threat,” saying he repeatedly passed on inside Trump campaign information to former lawmakers during the 2016 primary. It was stated that it had been delivered. A business associate who was a “Russian intelligence officer” and a “Kremlin agent.” In his final weeks in the White House, Trump pardoned Manafort.

In the years since Trump cleaned up his seat, Manafort has maintained a low public reputation. During that time, he personally worked to close huge deals in China. In May 2022, Manafort teamed up with Standard Huaxia Limited, a privately held company based in Hong Kong, to create a new streaming company in China named Doorways, according to emails and notes. Manafort and his associates planned to raise an initial $25 million for the project, which Manafort said he was seeking $250 million for.

A memo written by Manafort (according to the metadata) lists Doorways as a company that will distribute “multiple types of content encompassing the entire spectrum of culture-related intangible products, including music, television, film entertainment, news, and education” in China. explained. .” You can read the full document below.

The memo said, “The Chinese government has agreed to support and support the development of Doorways in various ways, with plans to list the company within 18 months of launch,” and that “Doorways will be the first (joint venture).” “It is,” he said. ) A Chinese-American company becomes involved in the ownership and operation of a major Internet vehicle in China.”

As Manafort said in the memo, the enterprise is historic and will circumvent China’s traditional hostility toward internet giants such as Google, WhatsApp and YouTube. “This deal was created, approved and supported at the highest level of the Chinese government.” He noted that Doorways was well-positioned because of its “principal’s history of involvement at the highest levels of Chinese leadership.” He did not confirm this principle. “China felt the time was ripe to open its doors to Western technology in (joint ventures) to meet the needs of its domestic consumer market,” he added.

Manafort seemed like this was a killer deal. “Doorways refers to a state-owned enterprise that, through a complex set of agreements, has exclusive and primary rights to distribute certain Western and domestic entertainment, music and educational content over the Internet,” he wrote. This suggests that the project was well organized at the highest levels of the Chinese regime.

Manafort claimed in the memo that there is already a deal in place with China Mobile, China’s largest wireless carrier. He noted that China Mobile has agreed to include Doorways in its service for $1 per month. This “guarantees immediate, large-scale market penetration from day one.” He added that the China Mobile deal is “confirmed and ready to be signed.” Manafort estimated that Doorways could generate $2.9 billion in revenue in its first year.

However, China Mobile has been criticized in the United States for its alleged links to the Chinese military. In January 2021, the Trump administration issued an executive order banning U.S. investments in Chinese companies believed to be linked to the People’s Liberation Army. Afterwards, China Mobile was delisted by the New York Stock Exchange. In March 2022, the Federal Department of Communications designated China Mobile’s U.S. subsidiary a national security threat.

In the memo, Manafort pointed out that the investment was needed to “finish the last mile for launch.” He wrote that the minimum required is $3 million to $5 million, and that Doorways is “currently finalizing” a $25 million investment “with a commitment” for an additional $250 million.

Manafort’s memo does not specify which Chinese officials or agencies were involved in the project. In an email to potential investors brought in by Manafort, Michael McCutcheon, a vice president at Standard Huaxia, said the Doorways project was linked to a “television series about corruption” that would be a “partnership with the central government.” ”

In an interview withmother Jones,McCutcheon said the Doorways project has been in the works since 2018 and hasn’t yet come to fruition, but “we’re still working on it.” He confirmed that his company was working with senior Chinese officials. “We are very close to success,” he added. He said Manafort’s involvement was limited to “presenting the party in the United States – lining up investors.” (One businessman Manafort contacted with Standard Huaxia was very interested, but he has since died, McCutcheon said.) According to McCutcheon, Manafort “had no involvement whatsoever in our relationship in China.” When asked how Manafort was connected to the Doorways venture, McCutcheon said, “I don’t know.” He also said he did not know whether Manafort was successful in attracting investors.

by email washington Post,Manafort said he had “nothing to do with China” and “nothing to do with China, including Chinese companies, governments or individuals.” “I have been asked to introduce potential American partners to American studios and ventures,” he admitted.

It is noteworthy that a former Trump adviser who was in contact with Trump’s associates during the 2020 presidential election and may have become a Trump associate again, attempted to pocket large sums of money through transactions related to the Chinese regime. While pursuing this China venture, Manafort had a book scheduled to be published in August 2022. It was both an explanation of his suffering and a celebration of Trump. On those pages, he welcomed Trump’s rhetorical attacks on the “swamp” and his so-called “America First” stance, which often involves bashing China. Manafort mocked the elites. He criticized the China-related business activities of Joe Biden’s son Hunter. He wrote nothing about his moves to increase his wealth through collaboration with the Chinese government.

Here’s the Manafort document:

Doorways – China’s new streaming company

1. Business – Doorways will distribute multiple types of content covering the full spectrum of culturally relevant intangible products, including music, television, film entertainment, news and education.
2. The Chinese government has agreed to approve and support Doorways’ development in various ways, with plans to list the company within 18 months of launch.
3. Doorways will be the first Chinese-American JV company to participate in the ownership and operation of a major Internet vehicle in China.
4. In the past, China has protected itself from Google, WhatsApp, and YouTube. This deal was written, approved and supported at the highest levels of the Chinese government.
5. The basis for the unique location of the doorway
   1. Participation history of China’s top leaders and principals
   2. China felt it was time to introduce Western technology through JVs to meet domestic consumer market requirements.
6. China sees entertainment, music and education as key to its future for educating its population.
7. Doorways, through complex agreements with the National Security Group, the Motion Picture and Television Broadcasting Group, and other entities at levels above the SOE, has exclusive and primary access to distribute certain Western and domestic entertainment, music, and educational content over the Internet. All rights reserved.
8. We contract with China Mobile for a bundle of subscribers who pay Doorways for the first year but pay USD1 DOLLAR per month per phone billed as part of the monthly subscription fee for China Mobile’s new phones. – Immediate massive market penetration is guaranteed from day one.
9. Doorways’ total revenue in its first year of launch was USD 2.9 billion and EBITA was USD 1.9 billion.
10. You are now ready to launch the app. Fully tested
11. Entertainment Ready to Launch
12. The China Mobile contract is complete and ready to sign.
13. Doorways will be profitable for China Mobile in its first month of operation, allowing it to hit the market within 60 days of closing financing.
14. Capital is needed to finalize the last mile to launch.
15. The minimum amount required to launch is USD 3-5M.
16. Doorways is currently closing a SUD25 million investment and has committed to invest a further SUD250 million within the next 45 days.
17. Having USD3-5M in hand quickly will allow you to negotiate better deals with NY investment banks and start the launch process.
18. This capital will have a stake of approximately 3%, based on a valuation of $250 million.
19. Get financials and forecasts to support all your assumptions.