- Pharmaceutical giant Novartis is among the companies listed in paying Essential Consulting, a firm linked to President Donald Trump's lawyer Michael Cohen.
- Novartis paid nearly $400,000 in a contract with Essential that ran between February 2017 and February 2018.
- Novartis said in a statement that it had been contacted by lawyers who were part of Special Counsel Robert Mueller's investigation and "considers this matter closed."
Multinational pharmaceutical giant Novartis was among the corporations that made payments to Essential Consulting, a firm linked to Michael Cohen, President Donald Trump's lawyer.
Michael Avenatti, the lawyer representing the adult-film star Stormy Daniels, alleged that a Novartis unit had paid Essential nearly $400,000 in late 2017 and early 2018. Daniels, whose real name is Stephanie Clifford, said she was paid $130,000 by Cohen to stay quiet about her alleged affair with Trump.
Novartis told Business Insider in a statement that the agreement between the pharmaceutical company and Essential, which began in February 2017, "focused on US healthcare policy matters" and that the agreement expired in February 2018.
"If you take this at face value, these are extraordinarily serious allegations that are being made," Mitchell Epner, a former assistant US attorney for the District of New Jersey and now a lawyer at Rottenberg Lipman Rich, told Business Insider's Sonam Sheth and Allan Smith.
Current Novartis CEO Vas Narasimhan stepped into the role on February 1, and the contracts took place under former CEO Joe Jimenez. Narasimhan was among the European executives Trump had dinner with in January at Davos.
"The engagement of Essential Consultants predated Vas Narasimhan becoming Novartis CEO. Dr. Narasimhan had no involvement whatsoever with this arrangement," a Novartis spokeswoman said in a statement.
Novartis said it had been contacted by lawyers who were part of Special Counsel Robert Mueller's investigation into the 2016 presidential election and "considers this matter closed."
Novartis, whose headquarters are in Switzerland, has a big presence in the US. The company spent $8.7 million in 2017 lobbying the US government.
Here's the full statement from Novartis:
"In February 2017, Novartis entered into a one year agreement with Essential Consultants shortly after the election of President Trump focused on US healthcare policy matters. The terms were consistent with the market. The agreement expired in February 2018.
As already stated, the engagement of Essential Consultants predated Vas Narasimhan becoming Novartis CEO. Dr. Narasimhan had no involvement whatsoever with this arrangement.
Novartis was contacted in November 2017 by lawyers from the Special Counsel’s office regarding the company’s agreement with Essential Consultants. Novartis cooperated fully with the Special Counsel’s office and provided all the information requested. Novartis considers this matter closed as to itself and is not aware of any outstanding questions regarding the agreement."