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Home / Business / Trump said that reports that he failed to repay the $287 million in debt related to the hotel’s failure, which shows that he is a “smart man”

Trump said that reports that he failed to repay the $287 million in debt related to the hotel’s failure, which shows that he is a “smart man”



According to a new report, President Donald Trump has $287 million in debt forgiven by lenders due to failure to repay loans related to his Chicago hotel and other projects.

Trump’s federal income tax return obtained by The News Times shows that most of the debt is related to the Trump International Hotel and Tower-“full of another disappointing place in their portfolio.”

According to a report in The Times, the lender gave Trump years of extra time to repay his debts. Deutsche Bank even borrowed US$99 million from him (more than previously known) to repay his US$99 million in debt. To another department of the bank. But Trump still failed to repay the debt, and the lender eventually forgiven most of his debt.

According to the report, the New York Attorney General’s Office is currently investigating debt relief as part of a larger investigation of Trump’s company. The U.S. Internal Revenue Service (IRS) treats cancelled debts as income, but Trump, who has not paid federal income taxes for many years, does not seem to pay taxes on the fund.

Trump Organization chief legal officer Alan Garten (Alan Garten) denied any wrongdoing.

He told the media: “These are fair deals that were voluntarily conducted between mature transaction parties many years ago after the 2008 global financial crisis and the resulting real estate market collapse.”

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But Trump publicly insisted that he had reached a “major agreement” with lenders to avoid having to make up for the hotel’s losses.

He tweeted: “I can make appropriate transactions with many lenders on a large and very beautiful tower.” “Doesn’t that make me a smart person, not a bad person?”

According to The Times, when Trump began building the tower in 2001, he arranged for his two limited liability companies to borrow more than $700 million for the project. Most of the funding comes from Deutsche Bank, which is one of the few lenders willing to do business with Trump after a series of bankruptcies and defaults.

According to media reports, after Trump stated that his daughter Ivanka would be responsible for the project, the bank agreed to lend the LLC US$640 million. Trump personally guaranteed a $40 million loan.

Another hedge fund called the Fortress Investment Group agreed to lend Trump an additional $130 million. Once the first loan is repaid, he will repay it. The report said that if Trump defaults on the terms of the agreement, lenders can seize the building.

Deutsche later sold part of the loan to overseas banks, and Fortress sold part of the loan to other stocks and hedge funds, including Dune Capital Management, which was then run by Treasury Secretary Steven Mnuchin.

Trump is expected to earn income from the property when the loan expires in 2008, but when the delay reaches the repayment time, the residential part of the project is still under construction. According to reports, Trump cited the 2008 financial crisis and demanded payment for another six months.

When Trump attended a ceremony to commemorate the hotel’s upcoming opening in 2008, at least 150 units remained unsold, leaving the Trump Organization owed hundreds of millions of dollars.

At that time, Trump owed 334 million U.S. dollars to Deutsche Bank and 130 million U.S. dollars to Fort Fortress to request another extension, but was rejected. According to reports, Trump sent a letter to Germany, insisting that the financial crisis had contributed to “force majeure” and “giving him more time to repay the loan.”

A few days later, Trump filed a lawsuit against two lenders and the company that bought part of the debt. He accused Deutsche Bank of taking “predatory loan practices” and demanded that the bank pay him US$3 billion in compensation. According to reports, the bank responded with its own lawsuit, accusing Trump of being a “customary loser” and demanding “immediate repayment of loans currently in arrears.”

The lenders ultimately chose not to file a lawsuit and notified the court that they reached an undisclosed settlement in 2010. Trump’s tax returns show that he forgave about $270 million in debt. The act of generosity is “few American companies or individuals can expect, especially those who have not filed for bankruptcy protection.”

Fortress finally settled for $48 million. According to the report, Deutsche Bank allowed Trump to sell construction space for another two years to repay the loan. The Trump Organization eventually raised enough funds to repay approximately $235 million.

But according to reports, when Jared Kushner’s private wealth manager Rosemary Vrablic agreed to lend him $99 million, Trump still owed the bank 9900 Ten thousand U.S. dollars. These funds are secured by personal guarantees to repay outstanding debts. The Trump Organization repaid part of the loan because it received hundreds of millions of dollars in additional loans to fund Trump’s Doral Golf Resort and his Washington hotel.

According to the “Times” report, Trump’s tax return shows that he has personally provided Deutsche Bank with a loan guarantee of US$421 million. Trump’s investment allows him to declare losses, which helps him avoid paying federal income taxes.

Although Trump’s rise to the White House helped his business win millions of dollars in business from supporters, it was not enough to help them overcome huge losses. According to reports, his golf course alone has lost hundreds of millions of dollars.

According to data from The Real Deal, most of the retail space in the Chicago Tower has never been occupied, and profits have fallen from $16.3 million in 2014 to $1.8 million in 2018.

According to the “Times” report, after the coronavirus pandemic, the hotel suffered even greater losses. The Trump Organization asked Deutsche Bank and other lenders to provide more financial assistance. The bank expressed its willingness to allow the company to suspend interest payments on its debt, but the Trump Organization “considered that the bank’s proposal was not generous enough, and therefore rejected it.”

The debt will mature in 2023 and 2024.




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