BlackRock dismisses fund manager after lending $ 75 million to film studio who cast his DAUGHTER in film
BlackRock fires fund manager for conflict of interest after lending $ 75 MILLION investor money to an indie film studio who has cast his DAUGHTER in one of their films
- BlackRock Multi-Sector Income Trust manager Randy Robertson ‘lent $ 75 million of the fund to indiron film studio Aviron Pictures in 2017’
- Aviron later cast Robertson’s actress daughter Rebecca in the film After
- The $ 75 million loan has been described by the Wall Street Journal as a “failed bet,” with the BlackRock fund performing poorly for investors
- BlackRock has now fired Robertson due to a conflict of interest and has initiated legal proceedings against Aviron Pictures
BlackRock Multi-Sector Income Trust fired one of its fund managers for conflicts of interest after allegedly lending no less than $ 75 million to an indie film studio who cast his daughter in one of their films.
Randy Robertson was released by BlackRock earlier this week in the light of the claims, causing the fund to “take strong steps to recover value for shareholders” and “increase the level of supervision and due diligence regarding this type of transaction.” improve’.
According to The Wall Street JournalRobertson lent the $ 75 million amount to Aviron Pictures in 2017. Two years later, the film studio released the romantic drama After, starring the actress daughter of the fund manager, Rebecca Lee Robertson.
At the time of the loan, BlackRock Multi-Sector Income Trust had $ 750 million in assets, so it seemed “an unusually aggressive bet” to lead 10% of that amount to Aviron, a “small, private film company.”
The Wall Street Journal reports that “investors should always be on their guard when a fund puts more than a few percentage points of its assets into an obscure investment.”
Aviron is owned by William Sadleir, a former special assistant to President Ronald Reagan and a deputy state secretary who later entered the indie film industry.
Randy Robertson (left) was fired by BlackRock because of a conflict of interest after he allegedly lent $ 75 million in investor money to movie studio Aviron, later cast his daughter in one of their films. Robertson is pictured on the left with Aviron’s owner, William Sadleir
Rebecca Lee Robertson, the daughter of Randy Robertson, attends the premiere of her film After, produced by Aviron Pictures
He claims that Robertson brought his actress daughter to a first BlackRock / Aviron business meeting in 2015.
Sadleir says Aviron “then arranged for Rebecca Lee to meet Robertson casting agents and managers.”
“Every time there was a possibility to put her in a movie, we considered her,” he said.
A few years later, Sadleir says that Robertson agreed to release $ 10 million to finance the romantic drama after hearing that Aviron had finally cast his daughter into a movie.
BlackRock Multi-Sector Income Trust had $ 750 million in assets when it invested $ 75 million in Aviron Pictures
Aviron is a “small, private film company” by William Sadleir
“I can’t tell you that he made the decision just because his daughter was in the movie, but I can tell you that BlackRock approved that funding after he rejected the ability to finance several earlier films,” Sadleir said.
After, released last year, has a 17% rating on Rotten Tomatoes and was breaded by Variety as “an innocent teenage pulp soap.”
The Wall Street Journal describes BlackRock’s $ 75 million investment in Aviron as “failed bet.”
After, released last year, has a 17% rating on Rotten Tomatoes and was breaded by Variety as’ an innocent teen pulp soap
The fund was said to be ‘better than more than 99% of its colleagues in the past year’ because of the money that had been lent to the film studio.
BlackRock has initiated legal proceedings against Aviron and its owner, William Sadleir.
Robertson, who has been working with BlackRock since 2009, has not commented.
Rebecca Lee Robertson is shown in another film. She did not respond to The Wall Street Journal’s request for comment