A Senate Inquiry Reveals $157M in Fees Paid to Jared Kushner’s Private Equity Firm, with No Profits Returned to Investors
A U.S. Senate investigation has revealed that Affinity Partners, a private equity firm owned by Jared Kushner, former President Donald Trump’s son-in-law, has received $157 million in fees since 2021 without returning any profits to its investors. The findings, released by the Senate Finance Committee, have raised concerns about potential foreign influence-buying ahead of a possible Trump return to the White House.
Senate Finance Committee Investigation
The Senate Finance Committee, led by Democrats, launched an investigation following reports in The New York Times that Kushner pursued foreign property deals while his father-in-law was engaged in a presidential campaign. The investigation highlights that Affinity Partners, based in Miami, has failed to deliver profits to investors, including Saudi Arabia, despite the substantial management fees collected.
Ron Wyden, the committee’s Democratic chairman, recently sent a letter to Chad Mizelle, Affinity’s chief legal officer, questioning the lack of profit distribution. Wyden stated that Affinity’s financial behavior suggests potential conflicts of interest, especially given the significant involvement of foreign investors, including a notable $87 million from Saudi Arabia.
Potential Conflicts and National Security Risks
Wyden expressed concerns that Affinity’s investors might seek influence over the Trump family rather than genuine commercial returns. He noted that foreign governments might use investments in the firm to funnel money to Kushner and his wife, Ivanka Trump. The inquiry has fueled suspicions that Affinity may serve as a compensation scheme to circumvent the Foreign Agents Registration Act (FARA), which regulates foreign influence in U.S. politics.
In his correspondence, Wyden also flagged the involvement of a “mystery foreign investor” whose identity Affinity has declined to disclose, further elevating national security concerns. The committee emphasized the risks of private investment funds that rely exclusively on foreign politically exposed investors.
Affinity’s Response and Legal Defense
In response to the Senate inquiry, Mizelle labeled Wyden’s criticisms as politically motivated, asserting that Affinity has always complied with federal regulations. He argued that the firm’s delay in returning profits is typical in the private equity industry.
“Affinity Partners is an SEC-registered investment firm that has always acted appropriately, and any suggestion to the contrary is false,” the firm said in a statement to The New York Times. Kushner, the sole owner of Affinity Partners, has previously acknowledged the slow pace of investments, citing a lack of attractive opportunities. The firm has reportedly raised $3 billion, with $2 billion coming from the Saudi government’s public investment fund. Additional funding comes from the sovereign wealth funds of Qatar and the UAE, along with Taiwanese billionaire Terry Gou, owner of Foxconn.
Bipartisan Scrutiny
While Democrats have led the charge in investigating Affinity, the firm’s business dealings have also attracted scrutiny from Republicans. James Comer, the Republican chair of the House Oversight Committee, remarked last year that Kushner had crossed ethical lines in securing Saudi funding for his firm.
The Senate Finance Committee’s ongoing investigation seeks to determine whether Affinity Partners’ foreign investors pose undue risks to U.S. national security and if the firm’s operations violate FARA regulations.
This inquiry highlights growing concerns over the blurred lines between business and politics, particularly involving influential figures connected to the Trump family.