According to a Daily Caller News Foundation report, Hunter Biden, the youngest son of President Joe Biden, is still involved with an international private equity firm linked to the Chinese Communist Party (CCP) despite reportedly cutting ties in 2019.
During the Obama administration, while current President Joe Biden served as vice president, Hunter Biden held a board position with foreign investment firm Bohai Harvest RST (BHR), which he reportedly resigned from in August 2019 claiming he never received any compensation for his work.
Hunter Biden’s 10% in BHR
To evade questions about business connections, the Biden family reported Hunter’s detachment from BHR. According to Breitbart News, in late 2019, presidential hopeful Joe Biden said that his family would resign from foreign business ventures if he were elected president.
“No one in my family will have an office in the White House, will sit in on meetings as if they are a cabinet member, will, in fact, have any business relationship with anyone that relates to a foreign corporation or a foreign country,” Biden told voters.
In a review of corporate records filed with China’s National Credit Information Publicity System by two firms specializing in market research and intelligence, they found that Hunter Biden still holds a 10% stake in BHR.
Through a family lawyer, Hunter Biden claimed that his stake in the firm is only worth $420,000, even though ethics watchdogs say the valuation could be in the millions of dollars.
What is that 10% really worth?
Steven Kaplan, a professor at the University of Chicago Booth School of Business, told FactCheck.org, “It is difficult to imagine, if not incomprehensible, that a ten percent stake in those economics is worth only $420K.”
“The distinction they appear to be making is they capitalized the management company with $4.2 [million] even if the fund manages $2 [billion],” Kaplan said.
“The value of that management company is likely far in excess of $4.2 [million] if they are managing $2 [billion],” he added.
Ethical questions surrounding Hunter Biden’s financial ties to the firm have persisted over the years.
As Breitbart News reported, in December 2013, Hunter flew with his father aboard Air Force One to Beijing, and a few days later, Hunter Biden signed a lucrative business deal with a subsidiary of the state-owned Bank of China.
BHR as a private equity fund
That deal was the first of many, and Hunter Biden later set up BHR as a private equity fund to invest Chinese money overseas. As soon as the company was financially established, it began investing in energy and defense projects.
BHR is on the U.S. blacklist of foreign companies having been singled out as complicit in the CCP’s violation of human rights and implicated in military technology theft. In 2015 the fund acquired a U.S. company with ties to military technology.
Hunter and his Uncle Jim Biden are currently under a federal investigation allegedly related to income received abroad, possibly linked to money laundering.