Silver lining: Money, money, money

‘Wolf of Wall Street’ embezzlement probe may boost film profits


Reuters July 22, 2016
The Wolf of Wall Street was released on January 17, 2014. PHOTO: FILE

NEW YORK: Leonardo DiCaprio might have bought the movie rights for what would be The Wolf of Wall Street back in 2007, but it wasn’t until a little-known Hollywood production company came along six years later, that the story of the high-rolling fraudsters got off the ground.

On Wednesday, the Malaysian co-founder of the company – called Red Granite Pictures – was accused in a US civil lawsuit of using $100 million that was diverted from Malaysian state development fund 1MDB in a money-laundering scheme, to finance the film.

Directed by Martin Scorsese and starring DiCaprio as the real-life convicted stockbroker Jordan Belfort, The Wolf of Wall Street went on to make $400 million at the worldwide box office, get five Oscar nominations and win a Golden Globe for the popular actor. The lawsuits aim to seize the proceeds from the 2013 film.

Now back in the spotlight, the rollicking tale of drugs, sex and money laundering should make millions of dollars more, industry analysts said. “A film like Wolf of Wall Street, with DiCaprio and Scorsese, is an evergreen property and it could easily make another $100 million in the near future,” said Exhibitor Relations senior box office analyst Jeff Bock.

The renewed attention on the film won’t hurt either. “All the talk just helps remind people about the movie,” Bock added. Paul Dergarabedian, senior media analyst for global media measurement company comScore, said it was the kind of movie that does well for years.

In a statement, Red Granite said that to its knowledge, none of the funding it received four years ago was illegitimate and that co-founder Riza Aziz and the company did nothing wrong. Aziz is the stepson of Malaysian Prime Minister Najib Razak, who oversaw the 1MDB fund.

The court papers mention a “Hollywood Actor 1” and a source familiar with the matter said that referred to DiCaprio. It said he became associated with a Malaysian man named Jho Low, who distributed more than $10 million to the production company using 1MDB money and later, received a “special thanks” in the film credits.

The court papers also said that in July 2012, Low went gambling in Las Vegas with DiCaprio, a former 1MDB executive and several others, after Low’s account had been infused with $11 million from accounts used to launder 1MDB funds. A DiCaprio publicist did not return requests for comment. The movie’s distributor, Paramount Pictures, did not return calls for comment, nor did Scorsese.

Riza and the Los Angeles-based Red Granite Pictures were little known in Hollywood before putting up the bulk of the cash for The Wolf of Wall Street. According to boxofficemojo.com, the film had a production budget of about $100 million.

Red Granite had previously financed the 2011 indie film Friends with Kids. It has since helped produce or finance a handful of other movies, including the comedies Dumb and Dumber To and Daddy’s Home. The company’s website says its slate of films has brought in more than $825 million at the worldwide box office since it was founded back in 2010.

Published in The Express Tribune, July 23rd, 2016.

Like Life & Style on Facebook, follow @ETLifeandStyle on Twitter for the latest in fashion, gossip and entertainment.

COMMENTS

Replying to X

Comments are moderated and generally will be posted if they are on-topic and not abusive.

For more information, please see our Comments FAQ

E-Publications

Most Read