Red Granite Pictures
Red Granite Pictures was an American film finance, development, production, and distribution company founded in 2010 by Riza Aziz, a financier with a background in banking, and Joey McFarland.[1][2] The company produced notable films including The Wolf of Wall Street (2013), Dumb and Dumber To (2014), and Daddy's Home (2015).[3] Its operations came under scrutiny in connection with the 1Malaysia Development Berhad (1MDB) scandal, where U.S. Department of Justice investigations alleged that approximately $238 million in misappropriated funds from the Malaysian sovereign wealth fund were channeled through intermediaries to Red Granite for film financing.[3] In 2017, the DOJ filed civil forfeiture complaints targeting Red Granite's assets, including rights to several films, as part of efforts to recover over $540 million in corrupt proceeds.[3] Red Granite settled these claims by agreeing to pay $60 million to the U.S. government in 2018, resolving its involvement without admitting liability. Post-settlement, the company's activities diminished significantly, marking the end of its prominent role in Hollywood.[4]Founding and Early Development
Establishment in 2010
Red Granite Pictures was co-founded in 2010 by Riza Aziz and Joey McFarland as an American film finance, development, production, and distribution company.[5][6] Riza Aziz, a Malaysian businessman and stepson of Malaysian Prime Minister Najib Razak, served as chairman, while McFarland, previously involved in talent agency investments, acted as a key producing partner.[5][7] The company was formally incorporated in September 2010.[8] Headquartered in Beverly Hills, California, Red Granite focused on financing ambitious Hollywood projects with potential for global appeal from its inception.[1] Although established in 2010, the company publicly announced its executive team and initial slate at the Cannes Film Festival in May 2011.[9] Early efforts centered on securing funding and partnerships to support feature film production, setting the stage for high-profile releases in subsequent years.[1]
Key Founders and Leadership
Red Granite Pictures was co-founded in 2010 by Malaysian film producer Riza Aziz and American producer Joey McFarland, who served as the company's principal executives during its early years.[6] Aziz, the nephew of former Malaysian Prime Minister Najib Razak, held a background in finance with a Bachelor of Science degree and assumed the role of chairman, overseeing strategic decisions and production financing.[1] McFarland, prior to the founding, had experience as an investor in a talent brokerage firm and focused on development and production partnerships.[5] In September 2012, the company appointed Randy Hermann as chief financial officer, leveraging his two decades of experience in entertainment finance from prior roles at firms like Revolution Studios and Relativity Media.[10] Hermann managed fiscal operations, including funding inflows and project budgets, amid the company's expansion into high-profile Hollywood films. No other senior executives were publicly highlighted in leadership announcements during the firm's active period from 2010 to approximately 2018.[11]Operations and Productions
Film Production Strategy
Red Granite Pictures adopted a selective approach to film production, prioritizing projects that had stalled at major studios but retained commercial viability. Co-founder Joey McFarland described their "sweet spot" as "movies that have died in the studios—movies that are just great product that everyone was hot on but for some reason or another just didn’t make it to the greenlight stage."[12] This opportunistic strategy allowed the company to acquire high-profile scripts and packages, such as The Wolf of Wall Street (fully financed at $100 million) and Dumb and Dumber To (budgeted at $40 million), often involving established directors like Martin Scorsese or star-driven comedies and dramas.[12][13] The focus extended to ambitious, large-scale endeavors, including plans for prestige films like a gritty biopic on George Washington directed by Scorsese and starring Leonardo DiCaprio, emphasizing visceral storytelling to attract top talent.[13] Financing operated on a one-off basis per project, drawing from a pool of undisclosed investors primarily in the Middle East and Asia, without maintaining a standing fund to minimize overhead and enable flexible deal-making.[12] This model facilitated rapid greenlighting of films independently of studio committees, as evidenced by their ability to fully fund The Wolf of Wall Street without initial distribution commitments.[12] Production emphasized development time and quality control, leading to fewer output films than initially planned—typically 1-2 major releases annually—while building internal infrastructure in early years.[14][15] For distribution, Red Granite leveraged partnerships with major studios, such as Paramount for domestic rights to The Wolf of Wall Street while retaining international sales through its in-house arm, Red Granite International, before shifting focus exclusively to production in 2017.[12][16] This hybrid approach balanced risk by combining independent financing with established networks, aiming to rival Hollywood incumbents through audacious, event-level projects rather than volume production.[13]Notable Films and Releases
Red Granite Pictures' flagship production was The Wolf of Wall Street (2013), directed by Martin Scorsese and starring Leonardo DiCaprio as stockbroker Jordan Belfort, chronicling his fraudulent schemes and excesses on Wall Street, which grossed over $390 million worldwide.[17][14] The film received five Academy Award nominations, including for Best Picture and Best Director, and contributed significantly to the company's slate totaling more than $835 million in global box office revenue.[5][1] Other notable releases included Daddy's Home (2015), a comedy directed by Sean Anders and co-produced with Paramount Pictures and Gary Sanchez Productions, featuring Will Ferrell as a stepfather competing with his wife's ex-husband played by Mark Wahlberg, which achieved major commercial success as part of Red Granite's output.[18][5] The company also financed Dumb and Dumber To (2014), the sequel to the 1994 comedy starring Jim Carrey and Jeff Daniels, directed by the Farrelly brothers, released by Warner Bros. and emphasizing the duo's dim-witted adventures.[19][5] Earlier films encompassed Friends with Kids (2012), Red Granite's debut release written and directed by Jennifer Westfeldt, exploring relationships among friends navigating parenthood.[19] Out of the Furnace (2013), directed by Scott Cooper and starring Christian Bale, depicted a steelworker's quest for his missing brother amid crime in rural Pennsylvania.[19] Horns (2014), a supernatural thriller directed by Alexandre Aja based on Joe Hill's novel and starring Daniel Radcliffe, involved a man sprouting horns that compel truth-telling in his murder investigation.[19] These productions highlighted Red Granite's strategy of backing mid-budget films with established talent across genres.[20]Financial Backing
Sources of Funding
Red Granite Pictures was established in 2010 with initial financing from private investors, including Abu Dhabi-based businessman Mohamed Ahmed Badawy Al-Husseiny, who served as a principal backer for its film projects.[13] The company publicly stated that its funds derived from legitimate personal investments sourced from individuals in Asia and the Middle East, emphasizing that no government money was involved and that all transactions were proper.[21] U.S. Department of Justice allegations, however, traced substantial portions of Red Granite's funding to misappropriated assets from Malaysia's 1Malaysia Development Berhad (1MDB) sovereign wealth fund, part of a broader scheme involving over $4.5 billion in diverted funds between 2009 and 2015.[3] These funds were allegedly laundered through shell companies and intermediaries, including Malaysian financier Jho Low, who provided direct infusions such as a $9 million cash advance for The Wolf of Wall Street.[22] Investigators identified at least $155 million in 1MDB proceeds channeled to Red Granite entities, including $238 million transferred via an intermediary to Red Granite Capital—a firm wholly owned by co-founder Riza Aziz—for film production and related acquisitions.[21] Additional 1MDB-linked funds were used to finance projects like Daddy's Home.[23] Even purported private investors like Al-Husseiny were later implicated, with DOJ claims that he received $66 million in 1MDB funds, underscoring the interconnected nature of the financing.[24] Red Granite cooperated with probes but denied wrongdoing, ultimately settling civil forfeiture claims in 2018 by paying $60 million to the U.S. government—structured in installments without an admission of liability—to resolve assertions that its operations benefited from the illicit transfers.[4][5]Investment in Hollywood Projects
Red Granite Pictures allocated its capital to financing and co-producing a slate of Hollywood feature films, focusing on mid-to-high-budget projects across genres like drama, comedy, and thriller from 2013 to 2017. The company's strategy emphasized partnerships with prominent directors and actors to leverage commercial potential, with investments often structured through its affiliate Red Granite Capital to support production costs, distribution, and international sales.[6][25] The flagship investment was in Martin Scorsese's The Wolf of Wall Street (2013), starring Leonardo DiCaprio, for which Red Granite provided more than $100 million in financing to cover a production budget estimated at $100 million.[26][25] This project marked the company's entry into major studio-level productions and generated over $392 million in worldwide box office revenue.[25] Subsequent investments included:- Out of the Furnace (2013), a crime drama directed by Scott Cooper featuring Christian Bale and Woody Harrelson, where Red Granite served as a key financier.[6]
- Horns (2014), a supernatural thriller directed by Alexandre Aja and starring Daniel Radcliffe.[6]
- Dumb and Dumber To (2014), the comedy sequel directed by the Farrelly brothers, with Red Granite holding production interests later targeted for forfeiture by U.S. authorities.[3]
- Daddy's Home (2015), a family comedy directed by Sean Anders starring Will Ferrell and Mark Wahlberg, which earned over $240 million globally and whose rights were also subject to U.S. government forfeiture claims.[3][25]
- Papillon (2017), a remake of the 1973 prison escape film directed by Mikael Håfström, featuring Charlie Hunnam and Rami Malek.[4]