Prakazrel “Pras” Michel, a founding member of the Fugees, has been charged in an international campaign finance conspiracy case. The U.S. Justice Department announced details Friday of a four-count indictment that accused Michel of conspiring with fugitive Malaysian businessman Low Taek Jho, aka “Jho Low,” to make and conceal foreign campaign contributions to an unidentified 2012 U.S. presidential candidate. Michel and Low were each charged with one count of conspiracy to defraud the U.S. government and for making foreign and conduit campaign contributions, the indictment said. Michel was additionally charged with one count of a scheme to conceal material facts and two counts of making a false entry in a record in connection with the conspiracy. The feds allege Low directed more than $21.6 million to be transferred from foreign entities to Michel’s accounts “for the purpose of funneling significant sums of money into the United States presidential election as purportedly legitimate contributions,” while concealing the true source of the funds. The indictment accuses 46-year-old Michel of paying $865,000 of the money received from Low “to about 20 straw donors, or conduits, so that the straw donors could make donations in their names to a presidential joint fundraising committee.” Prosecutors also allege Michel personally directed more than $1 million of the money received from Low to an independent expenditure committee involved in the 2012 election. The hip-hop star pleaded not guilty Friday in U.S. District Court in Washington, D.C. “Mr. Michel is innocent of these charges and looks forward to having the case heard by a jury,” his attorney Barry Pollack told The Associated Press. Low — who remains at large — was previously indicted in the Eastern District of New York for allegedly conspiring to launder billions of dollars and to violate the Foreign Corrupt Practices Act. That case is still pending. A spokesperson for Low, contacted Deadline through his attorneys, and issued the following statement: “Mr. Low is innocent — and he is presumed innocent under U.S. law. The allegations against Mr. Low have no basis in fact: Mr. Low has never made any campaign contributions directly or indirectly in the U.S. and he unequivocally denies any involvement in or knowledge of the alleged activities,” the statement said.<doc-sep>One of the founders of famed New Jersey rap group the Fugees was charged Friday with conspiring with a Malaysian billionaire to make and conceal foreign campaign contributions during the 2012 U.S. presidential election. Prakazrel “Pras” Michel and fugitive Malaysian financier Jho Low were charged with conspiracy to defraud the United States government and for making foreign and conduit campaign contributions, according to a release from the U.S. Department of Justice. The presidential candidate was referred to only as Candidate A in the indictment, but was identified in multiple reports as Barack Obama. The object of the conspiracy was for Low to “gain access to, and potential influence with, Candidate A, and his administration,” with the help of Michel, the federal indictment said. Michel also was charged with scheming to conceal material facts and two counts of making a false entry in a record in connection with the conspiracy. Michel, who was a member of the Fugees alongside Wyclef Jean and Lauryn Hill, and grew up in Irvington, appeared for his arraignment Friday before U.S. Magistrate Judge G. Michael Harvey in Washington D.C. Between June 2012 and November 2012, Low, who is still at large, directed the transfer of $21.6 million from “foreign entities and accounts” to Michel so he could funnel “significant" funds into the presidential election as legitimate contributions, Assistant Attorney General Brian Benczkowski said in the release. Michel tired to get Low into a high-profile fundraiser for Candidate A, and after he was unable to he successfully got Low’s father to attend, and the pair took photos with the candidate, according to the indictment. Michel tried to hide Low as the true source of the contributions by paying $865,000 of the money he received received from him to about 20 straw donors, or conduits, so they could make donations in their names to a presidential joint fundraising committee, Benczkowski said. Michel also directed $1 million of Low’s funds to an “independent expenditure committee” also involved in the 2012 presidential election, authorities said. By using the straw donors, he caused a presidential joint fundraising committee to submit false reports to the Federal Election Commission (FEC), the indictment stated. The $1 million that he gave to the independent expenditure committee also caused that group to submit false reports to the FEC. “Mr. Michel is extremely disappointed that so many years after the fact the government would bring charges related to 2012 campaign contributions,” said defense lawyer Barry Pollack. “Mr. Michel is innocent of these charges and looks forward to having the case heard by a jury.” Michel faces a separate civil forfeiture complaint accusing him in a scheme to try to get the department to drop an investigation into embezzlement from a Malaysian investment fund. Michel has denied wrongdoing in that case. The embezzlement from the fund, known as 1MDB, became a political scandal in Malaysia. Looted money paid for jewelry and luxury art and helped finance “The Wolf of Wall Street” and other Hollywood productions films. The Justice Department last year announced charges against Low and two former Goldman Sachs bankers in a money laundering and bribery scheme that pilfered money from the fund, created to spur economic development projects in that country. Low was indicted previously, along with former banker Ng Chong Hwa, also known as “Roger Ng,” in the Eastern District of New York for conspiring to launder billions of dollars and to violate the Foreign Corrupt Practices Act, the release stated. That case remains pending. This story contains material from the Associated Press. Chris Sheldon may be reached at csheldon@njadvancemedia.com. Follow him on Twitter @chrisrsheldon Find NJ.com on Facebook. Have a tip? Tell us. nj.com/tips Get the latest updates right in your inbox. Subscribe to NJ.com’s newsletters.<doc-sep>Prosecutors alleged in a civil forfeiture complaint last year that Michel and a former Justice Department official helped move money to fund a lobbying effort aimed at ending the investigation, and they indicated that Republican fundraiser Elliott Broidy also was involved. Officials did not name Broidy in the filing but described conduct by an unidentified “Individual No. 1” that matches information contained in previously published reports about Broidy, and people familiar with the matter confirmed it is him. Broidy has not been charged.<doc-sep>One of the founding members of the hip-hop group the Fugees and a fugitive Malaysian financier have been charged with conspiring to violate federal campaign finance law by funneling millions of dollars worth of foreign money into the 2012 presidential election, the Justice Department said Friday. A four-count indictment accuses the financier, Low Taek Jho, of transferring more than $21 million from overseas to the rapper Prakazrel Michel, known as Pras, from June 2012 through that November. Prosecutors contend that Mr. Michel then gave $865,000 of that money to a network of straw donors who used it to make campaign contributions to a candidate identified as Candidate A. While the indictment unsealed on Friday does not specifically name the candidate in question — who is accused of no wrongdoing — it clearly refers to former President Barack Obama. The indictment includes allusions to Candidate A having a presidential administration and hosting an event at the White House that Mr. Low either “attended or arranged for his associates to attend.” A spokesman for Mr. Obama did not respond to a message seeking comment on Friday. The indictment adds to a list of legal troubles for Mr. Low, also known as Jho Low. He has been wanted by law enforcement in the United States and Malaysia for his alleged role in the theft of $4.5 billion from a Malaysian sovereign wealth fund. That case contributed to the electoral defeat and eventual indictment of the country’s former prime minister, Najib Razak.<doc-sep>
WASHINGTON — One of the founding members of the 1990s hip-hop group the Fugees has been charged in a campaign finance conspiracy that took place during the 2012 presidential election, the Justice Department said Friday. A four-count indictment accuses Prakazrel "Pras" Michel of conspiring with fugitive Malaysian financer Low Taek Jho, usually known as Jho Low, to make and conceal foreign campaign contributions. He is alleged to have used straw donors to give campaign contributions to a U.S. presidential candidate, who is identified in the indictment only as Candidate A. Low has gained attention in the last several years after U.S. officials accused him of masterminding a money laundering and bribery scheme that pilfered billions from the Malaysian state investment fund known as 1MDB. He's been charged separately by both U.S. and Malaysian officials in connection with that alleged fraud but remains at large. Prosecutors allege that from June to November 2012, Low directed more than $21.6 million to be moved from foreign entities to Michel's accounts in order to funnel money into the 2012 presidential election. They say Michel then paid about 20 straw donors and conduits so they could make the donations in their names and conceal where the money actually came from, according to the indictment. More than $1 million was also sent to an independent expenditure committee, prosecutors said. "Mr. Michel is extremely disappointed that so many years after the fact the government would bring charges related to 2012 campaign contributions," said defense lawyer Barry Pollack. "Mr. Michel is innocent of these charges and looks forward to having the case heard by a jury." Representatives for Low said in a statement that he is innocent and the allegations against him "have no basis in fact." "Mr. Low has never made any campaign contributions directly or indirectly in the U.S. and he unequivocally denies any involvement in or knowledge of the alleged activities," the statement said. Fred Wertheimer of Democracy 21, a nonprofit campaign finance watchdog group, said that his organization and another one filed a complaint against Michel to both the Federal Election Commission and the Justice Department. "It's pretty unusual to get the government to bring criminal campaign finance cases," he said. "On the other hand, we thought this was a clear case where enforcement was called for." Michel faces a separate civil forfeiture complaint accusing him in a scheme to try to get the department to drop an investigation into embezzlement from a Malaysian investment fund. Michel has denied wrongdoing in that case. The embezzlement from the fund, known as 1MDB , became a political scandal in Malaysia. Looted money paid for jewelry and luxury art and helped finance "The Wolf of Wall Street" and other Hollywood productions films. The Justice Department last year announced charges against Jho Low and two former Goldman Sachs bankers in a money laundering and bribery scheme that pilfered money from the fund, created to spur economic development projects in that country. One of those bankers, Roger Ng, was extradited from Malaysia earlier this month to face charges in New York.