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Trump Fined $355 MILLION and barred from Real Estate New York
27 Madison Avenue N.Y.C................................. Hahahaha.
And some poor mooks have started a "Go Fund Me" page to collect even more money to give to the supposed "billionaire" who inherited his fortune as well as a successful company he had been given. Now folks want to give him even more! Please alert Mensa.
Trump Fined $355 MILLION and barred from Real Estate New York
27 Madison Avenue N.Y.C................................. Hahahaha.
All he needs to do is win the POTUS and all of these verdicts will be reversed and NYC be forced to rescind any attacks against him.
I don't know who the Democrats strategists are right now trying to use these stupid tactics against Trump. All he has to do is appeal and win the POTUS.
And supporting Biden is dead on arrival. Better quickly get Biden off and select a new candidate to go up against Trump.
If Dems pick a new candidate that can beat Trump, all of these lawsuits will stand. But if Trump wins, these lawsuits will need to be cancelled or else he will take revenge against NYC. I don't know how they don't know these lawsuits can't stop him.
Trump is leading 44 to Biden 36 nationally right now in the polls.
but in any case trumps loans were NOT BASED ON BUYING THE PROPERTY . these were loans based on trumps supposed claims of net worth
as someone very in tune with the case said:
Trump’s loans were not approved through the same method as your house or commercial property where the bank’s appraisal is the most important factor. Paragraphs 563 and 564 of the lawsuit explain why:
563. Starting in 2011 the relationship with Deutsche Bank was revitalized when Mr. Trump and the Trump Organization initiated a relationship with bankers in the Private Wealth Management (“PWM”) division of Deutsche Bank, which enabled them to obtain more favorable terms than they could have received through the CRE division by having Mr. Trump personally guarantee the loans based on his net worth as reflected in his Statements of Financial Condition.
564. In essence, rather than obtain credit facilities through the wing of Deutsche Bank with an expertise in commercial real estate, Mr. Trump began to seek funds from a wing of Deutsche Bank focused on servicing ultrawealthy clients. Hence, Mr. Trump’s personal guaranty, and his representations regarding his finances that backed up that guaranty, featured prominently in Mr. Trump’s loan transactions through the PWM wing of Deutsche Bank
So the two things you should understand from that:
This wasn’t like any bank loan process you’re familiar with, so you can’t assume it works the same way.
The banks were approving loans based on all his holdings and the claims he made about them — not just on the property he wanted a loan for.
The banks were not doing their own appraisals on every asset and liability Trump had anywhere in the world, they were relying on other appraisals he provided, and the financial statements he provided. This is where many of the frauds occurred.
568. As a result of the personal guarantee, the annual Statement of Financial Condition was central to each of those loans. By personally guaranteeing the loans and providing evidence of his liquidity and net worth through his Statements, Mr. Trump obtained for his company a significant improvement in the interest rates on the loans.
569. The personal guaranty and other loan documents entailed a certification by Mr. Trump of his Statement of Financial Condition as a requirement before any funds would be lent. The regular submission of the Statements of Financial Condition also helped the Trump Organization and Mr. Trump avoid having the loans placed into default, because annual certifications of the accuracy of Mr. Trump’s Statements were required. All told, the interest rate savings from the issuance of the false and misleading Statements of Financial Condition totaled between $85 million and $150 million.
So that emphasizes it was not appraisals that got him his loans but the false financial statements he submitted, and this helped him get the loans, keep the loans, and secure huge interest rate discounts.
And later, within paragraph 577:
The terms of the loan included recourse through a personal guarantee by Mr. Trump of all principal and interest due on the loan and the operating expenses of the resort. The proposal also included a number of covenants including requirements that Mr. Trump maintain a minimum net worth of $3 billion and unencumbered liquidity of $50 million.
If the terms of a loan require a certain net worth and liquidity level, his claims about his net worth and liquidity level are obviously materially relevant.
Appraisals are clearly not the only thing that matters.
Read that bold part again and as many times as you need to understand it. Seriously.
That alone answers the question — appraisals were not the only thing that mattered and his fraudulent financial statements were highly relevant!
For those who might lock onto the word “proposal” and think that means the loan didn’t happen, it did, but the lawsuit is more than 200 pages, how many excerpts do you want?
Okay, we can do a few more…
735. The loans obtained through the use of the inflated Statements likewise required performance and confirmation year after year. Each of the Deutsche Bank loans, for example had terms extending past 2022 and each had continuing obligations to maintain a net worth of at least $2.5 billion and unencumbered liquidity of $50 million. Each of the loans required the annual submission of the Statement of Financial Condition to meet these covenants as well as a certification that the Statements were true and accurate and there had been no material changes to either Mr. Trump’s net worth or his liquidity.
That paragraph alone answers the question. But we’ll keep going…
“…Ivanka Trump sent a revised term sheet back…seeking to reduce Mr. Trump’s net worth covenant from $3 billion to $2 billion…”
“In an internal credit report…Deutsche Bank employees…sought the approval of a $125 million term commitment for the Doral property. This report noted “[t]he Facility will also be supported by a full and unconditional guarantee provided by DJT…”
584. The credit memo listed this guaranty as a source of repayment, and recommended approval of the loan. The memo stated that “[t]he Facility is being recommended for approval based on” a series of factors, the first of which was “Financial Strength of the Guarantor” and another of which was the nature of the personal guaranty. In connection with that recommendation, the credit memo evaluated assets reported on Mr. Trump’s Statement of Financial Condition…
…588. The loan agreement, signed by Mr. Trump, required that Mr. Trump’s June 30, 2011 Statement of Financial Condition have been provided to the bank as a precondition of lending.
There ya go! The bank clearly relied on Trump’s claims about his finances for their decision.
Not only did they rely on it, they explicitly state that it was the #1 factor!
3. His financial statements were insanely fraudulent.
This would be its own answer so I won’t even try to provide a comprehensive list but a few examples:
Claimed that a club he purchased for $5 million in 2012 was worth more than $62 million in 2013, an 1140% increase in one year!
Claimed he owned things he didn’t
Claimed his triplex apartment increased $100 million in one year, and more than 400% over five years – from $80 million to $327 million, using all sorts of fraud to get there, and using fraudulent accounting tricks to hide that he was doing that and simultaneously cover up another property’s losses.
267. The bulk of this fraudulently inflated value came from the misrepresentation in the years 2012 through 2016 that the apartment was 30,000 square feet, when in reality the apartment was only 10,996 square feet. That wildly overstated size was then multiplied by an unreasonable price per square foot.
and
“The increase in valuation of Mr. Trump’s Triplex between 2011 and 2012 therefore put the value at an amount that was higher than the highest price ever paid for an apartment in the city’s history to that point.” It was already an absurd valuation, but he just kept raising it in the following years, even though, “No apartment sold in New York City had ever approached that price…”
and then there’s this…
The Mar-a-Lago club was valued as high as $739 million based on the false premise that it was unrestricted property and could be developed and sold for residential use, even though Mr. Trump himself signed deeds donating his residential development rights and sharply restricting changes to the property – in reality, the club generated annual revenues of less than $25 million…
and
For his golf course in Aberdeen, Scotland, the valuation assumed 2,500 homes could be developed when the Trump Organization had obtained zoning approval to develop less than 1,500 cottages and apartments, many of which were expressly identified as being only for short-term rental. The $267 million value attributed to those 2,500 homes accounted for more than 80% of the total $327 million valuation for the Aberdeen property on the 2014 Statement.
Anyway, most of the 200+ pages is about the various ways he committed fraud, so the list goes on and on.
“Hochul said there was no way she would overrule Engoron’s decision because “we need a clear separation of powers.” She added that “that’s what was envisioned by our Founding Fathers.”
I’m very surprised she’d quote anything related to the “founding fathers.” Don’t democrats think the “founding fathers” are all white supremacists who supported slavery? Also, the “founding fathers” said, “No foreign entanglements” but the fact she and others like her continue to support sending US tax dollars to Ukraine while our infrastructure is literally collapsing just shows how Albany cherry picks from the constitution the founding fathers modeled.
This is tampering with the election. On a much bigger scale than FBI investigations into Hillary Clinton because she committed Federal crimes but in this case. The fines and judgement is so discretionary that it will cause huge ramifications if not tossed out later on. Because many businesses will view this as a shake down tactic if they don't agree with the government of NYC or NYS they will use these rulings as a way to shake people down to compliance.
How many people understate their financial picture to qualify for loans, CHAP housing, medicaid? So, this is a targeted and selected prosecution most likely pushed by Biden and Soros.
It will be appealed so Trump must win POTUS to make NY suffer their action.
Well one thing is for certain: if he wins, NY is screwed.
The dems know that Biden is running and they can't get him to not run. The states and cities that the Dems control are suing Trump to get him off the ballot there but it is such a stupid strategy. Those states will likely go to the Dems. It's the battleground states that will determine the election.
Regardless, NY is screwed because they pulled this stupid lawsuit along with other stupid ones. They need to get Biden off the ballot and pick a new candidate. If Newsom were to replace Biden, I don't think the country would care about Trump running.
You got Biden who is polling the lowest, even worst than Trump 2020. It took a big lie like Covid to cause mass hysteria for even battleground states to vote for Biden over Trump.
NY better be careful than become a pawn of Soros and the Dems trying to hurt Trump with a victimless charges and make the businesses flee the city. And these migrants will keep coming and destroy the NY if Trump wins he will block all funding that NY needs such as infrastructure and resources for migrants.
Eric Adams better not run for mayor again it will be personal suicide to be the mayor or a dead city. I don't know how stupid NYers don't realize the implications of this ruling on OTHER BUSINESSES like their employers.
Well one thing is for certain: if he wins, NY is screwed.
But, I thought NY being screwed was a given.
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