The huge deal is linked to the previously known $3.5 million payment Baturina paid Hunter's real-estate company to gain market access to the American business market according to the Daily Mail, who reported Monday from documents obtained by an anti-corruption organization known as the Kazakhstani Initiative on Asset Recovery.
This real estate transaction, worth $40 million, was arranged to form part of an unrestricted real estate fund that would be redirected into long-term investments Hunter has identified as profit-making in the United States. Investment vehicles like these are very common for sophisticated investors as well as knowledgeable fund managers. Because of the complexity of fund transactions, the fund is typically subject to strict public disclosures by oversight agencies of the government.
Hunter's plan for acquisitions included the acquisition of seven office buildings across Texas, Colorado, Alabama, New Mexico, and Oklahoma with $52 million in cash and leverage of $160 million as according to the Daily Mail. His real estate trust, Rosemont Realty, had reported that it had raised $69.7 million to fund 2.15 million square feet of offices.
Hunter's company put the sum of $15 million of its own funds into the fund. It is unclear how Hunter's company gathered the amount needed to invest in the complicated scheme.
The $40 million put into the fund is believed to have come from a Swiss company called Inteco Management AG, which is a construction and plastics company.
“Rosemont Realty has entered into property acquisition contracts for $212,580,000,” Hunter's prospectus said in the screenshots provided to Kazakhstani Initiative on Asset Recovery through Baturina's brother Kenes who is a well-connected Kazakh businessman and Hunter’s partner.
2015 was the time Rakishev appeared with Hunter and Vice President Joe Biden at Cafe Milano in Washington, DC, one of the 17 times Joe Biden has been involved in the Biden family business:
“The Managing Partnership will receive a total investment of $69,700,000 from the partners” according to a Russian version of the prospectus. “The Managing General Partner will invest at least $15,000,000 of share capital on the same terms as all partners in the Investment Partnership.”
The latest report of a Biden family business venture at the period when Joe Biden was vice president is a source of doubt as to whether or whether Hunter sold influence or influence on his fellow members of the White House in order to gain such a substantial amount of infusion cash. These complex investment schemes are usually managed by experienced fund managers, and also by investors who are at ease with fund managers' expertise and the past results.
Two years following the real estate transaction’s completion, in 2014 Baturina was at home in London in United Kingdom with her late husband Yuri Luzhkov, a one-time mayor of Moscow, and was accused of corruption in real estate, Breitbart News reported:
“Baturina along with her husband emigrated to Great Britain in 2011 after Luzhkov was fired from his public service by the former Russian president Dmitry Medvedev as part of an investigation into corruption within the public sector. The former mayor, in particular, had been suspected of using his position to authorize around 20 property developments that were connected to Baturina's interests in business according to the Homeland Security Committee.”
Hunter received a $3.5 million wire transfer in 2014 by Baturina, according to a 2020 report of Senate Republicans who disclosed that her connection to Hunter had been “a financial relationship,” but no explanation of the transfer to Hunter was offered.
His real estate investment was taking place at the same time Hunter was at the helm of Burisma and was reported to be earning an average of $80,000 per month when Joe Biden was vice president. The business was cut down to half following Joe Biden’s leaving office.