Freud’s view was that children progress through stages of psychosexual development. The progression is supposedly linear; 1 to 2, 2 to 3, etc. At each stage, children are “fixated” on something that gives them pleasure—hence oral, anal, and phallic stages.
A failure to progress past a given state in childhood causes a person to have problematic sexual urges (among other things) in adulthood. Which brings me to Michael Jackson.
Setting aside the specifics of Freud’s perspective, I think he is right about the effects of halted psychosexual development. Jackson is a great example of someone whose psychosexual development was stunted in childhood, perhaps by fame or his abusive father. As one would expect based on Freud's view, Jackson's sexual behavior was weirdly pedophilic. I don’t know if his “sleepovers” with children were a pretext for the worst forms of molestation, but, at the very least, it allowed him to be close to children in a way that hinted at sexuality.
He was a famous pop star, so he could have had "sleepovers" with whomever he wanted. He wanted sleepovers with children.
I think Jackson’s interest in children also reflected a desire to be as blameless and as irresponsible as a child. In conversation, he would affect a weirdly childish voice. He was as unmanly as it is possible to be. I think his surgeries were an attempt to look younger. The point seems to have been “Don’t blame me, I’m just a child!”
