7/24/2017

ANTHONY SCARAMUCCI/CHINA/CONFLICT OF INTEREST: “Anthony Scaramucci’s appointment as White House communications director presents a sensitive situation for the planned sale of his investment company to a Chinese conglomerate—a deal that is now under government review.
Mr. Scaramucci first announced plans to sell a controlling stake in his hedge-fund investing firm, SkyBridge Capital, to Chinese giant HNA Group Co. in January in anticipation of joining the White House, he said. He didn’t get a job there at the time.
Meanwhile, the SkyBridge/HNA deal proceeded and, like many foreign deals, is facing a review by the Committee on Foreign Investment in the U.S.
Mr. Scaramucci’s appointment to a White House position last week gives the review new significance. The committee, which reviews deals for national security concerns, is made up of top officials in the administration of President Donald Trump, and is led by the Treasury.
The panel, known as CFIUS, can approve a deal or recommend the president block it, meaning a transaction that Mr. Scaramucci stands to profit from could ultimately be in the hands of his boss, Mr. Trump.
The deal is worth $250 million, according to a person familiar with the matter. Securities filings indicate that Mr. Scaramucci has a 25%-to-50% stake in the firm, which would mean that he could stand to earn between $62.5 million and $125 million from the deal.
White House officials didn’t respond to requests for comment.”

-Kate O’Keefe and Michael C. Bender, “Scaramucci’s White House Role Raises Questions for Planned Sale of His Investment Firm,” The Wall Street Journal online, July 24, 2017 07:28pm