Trump Castle Hotel And Casino
This one was opened in 1985 and went bankrupt in the year 1992. This property was also located in Atlantic City, and Trump had the most difficulties in covering its operational cost. To recover from the situation, the Trump association sold a 50% stake to the bondholders. However, the casino is still operating under new owners and a new name- the Golden Nugget.
Due To His Indebtedness His Reliance On Income From Overseas And His Refusal To Authentically Distance Himself From His Hodgepodge Of Business Trump Represents A Profound National Security Threat
In a tour de force of hard won reporting, the New York Times has put numerical clothing on what weve known about President Donald Trump for decades that, at best, hes a haphazard businessman, human billboard and serial bankruptcy artist who gorges on debt he may have a hard time repaying.
The Times, in a news story published Sunday evening that disclosed years of the presidents tax returns, also put a lot of clothing on things we didnt know. Trump paid just $750 in federal income taxes in 2016, the year he was elected president, and the same amount …
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Remington: Oldest Us Gunmaker Files For Bankruptcy
The oldest gun manufacturer in the US, Remington Outdoor, has filed for bankruptcy in the wake of slumping sales.
The firm, founded more than 200 years ago, filed for bankruptcy protection to cut a deal with its creditors.
Remington’s chief financial officer said the company’s sales dropped significantly in the year before its bankruptcy, court papers show.
The filing comes amid fresh demands for greater gun control in the US.
A shooting at a Florida high school in February has revived the debate on gun control, and on Saturday hundreds of thousands of protesters took to the streets of US cities.
Some US retailers have raised the age limit for certain firearms purchases to 21 or stopped stocking semi-automatic weapons.
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They Will See How Great It Will Become 2009
When Donald Trump has been pressed on his casinos performance during his presidential campaign, he has repeatedly said he left Atlantic City at the right time.
Atlantic City is a disaster, and I did great in Atlantic City, he said during a Republican Party debate last September, according to a transcript. I knew when to get out. My timing was great. And I got a lot of credit for it.
That would suggest Mr. Trump willingly left sometime around 2006, the year that revenues peaked in Atlantic City and that Pennsylvania allowed its first casino to open, a development that marked the start of a rapid downward spiral in the city. The drop-off was exacerbated by the recession that began in 2008.
But in early 2009, as Trump casinos lurched toward bankruptcy for the fourth time, Mr. Trump was still trying to hang on. At loggerheads with board members who had been selected by bondholders after the 2004 bankruptcy, he offered to buy all or a part of the casino company bearing his name. He was rebuffed, and he quit the board soon after.
Testifying in bankruptcy court in Camden, N.J., Mr. Trump argued that the company could not use his name, since shortly before filing the bankruptcy it had stopped paying him the $166,000 a month he received under the services agreement. He testified that his brand was worth $3 billion. He also testified that he was personally negotiating the settlement of a lawsuit in Florida that would yield more than $100 million for the company.
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Bankruptcy Is Not Synonymous With Failure
Although a corporate bankruptcy filing often indicates that a business is in a perilous financial condition, it doesnt necessarily sound the death knell for that business. The provisions of Chapter 11 of the U.S. Bankruptcy Code allow businesses to find ways to reduce their debt and restructure their operations without having to be shut down and liquidated to satisfy debts instead of closing their doors, businesses can stay open, pay their employees, and take in revenue while developing a budget and a repayment plan for creditors .
Many of the United States largest and most prominent businesses have filed for Chapter 11 bankruptcy protection one or more times, including General Motors, Charter Communications, Delta Air Lines, Kmart, Macys, and the Texas Rangers baseball team.
The Real Sources Of Wealth
The former president’s businesses generally fall into five categories: hotels, golf courses , condos, residential and commercial real-estate rentals, and payments for the licensing of Trump’s name.
The New York Times articles unleashed a major new source of information, besides confirming that Donald Trump’s disclosed income numbers were actually revenue figures.
The numbers also show that companies owned by Trump were incredibly unprofitable for the period between 2000 and 2018. His real sources of income were a television show and some licensing deals.
Although certain enterprises such as Trump Tower have been profitable, Trump businesses overall lost $174.5 million from 2000â2018. During the same period of time, his net income from licensing and endorsement deals was $230 million, his net income from The Apprentice television show was $197.3 million, and his income from other investments in companies run by other people was $178.7 million.
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How Is Donald Trump Able To File For Bankruptcy So Many Times
Prior to the 2016 presidential election, when people discussed then-candidate Donald Trump, they often focused on his personal finances and how he had run his businesses. One of the common refrains had to do with his bankruptcies. According to pundits and critics, Trump had been unsuccessful in business, having to file bankruptcy several times in order to get by. Some people may have seen those stories and read the reports only to wonder how a person can declare bankruptcy so many times. For someone with the wealth of Donald Trump, how is it possible to keep declaring bankruptcy?
Donald Trump and personal bankrtupcyTo understand Donald Trump and bankruptcy, one must first understand the distinction between personal finances and business finances. Businesses are separate entities according to the law. In particular, corporations have their own legal personhood. They are specifically created so that people can avoid personal financial liability if things happen to go wrong. With this in mind, Donald Trump has actually never declared personal bankruptcy. In each instance, his bankruptcy has been a result of a business failure rather than a personal failure.
There have been many other business bankruptcies. Most of those have involved casinos. While Trump has tried hard in the casino business, he has had a number of failures there. On top of that, his Trump Plaza Hotel had to declare bankruptcy in order to seek ample protections.
Trump Contractors: ‘it Was The Beginning Of The End For Us’
Trump takes umbrage at the idea that he went bankrupt, always pointing out that he never filed personally and that he used the bankruptcy laws to get richer.
Connolly said taking his casinos into Chapter 11 was “reasonable and responsible” and the right decision for Trump and his bondholders.
“It looked like a fair deal and actually kept them going,” Connolly said.
But Mike D’Antonio, author of the book “Never Enough: Donald Trump and the Pursuit of Success,” said the bankruptcies shouldn’t come with bragging rights.
“Donald likes to say his bankruptcy filings were just a tool he’s been using for his businesses,” D’Antonio said. “He’s had a string of failures. And you’re not just talking about big investors. You’re also taking about bond holders, not big banks…people who invested their retirements.
“So, you can call it a legal tool that he’s using, but lots of people have been hurt along the way. Its been a badge of shame for him.”
Tom Winter is a New York-based correspondent covering crime, courts, terrorism and financial fraud on the East Coast for the NBC News Investigative Unit.
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Admirably Tough Or Downright Slimy Your Call
Donald Trump has ticked off a whole lot of different groups during his outspoken and unconventional run for the presidency. Few small business owners are among them.
Back during the primaries when he was an unlikely challenger to a slew of other more mainstream Republican candidates, Trump managed to attract the support of a whopping 41 percent of small business owners despite the crowded field. Even after a year of gaffes and controversy, more recentpolls suggest small business owners remain among Trump’s most stalwart supporters.
But there are some interesting and very vocal exceptions — the many small business owners Donald Trump has stiffed in his long career as a real estate tycoon.
Recently several media outlets have dug up a handful of business owners with worrying tales to tell of Trump’s bullying, unfairness, and failure to pay. And while their numbers aren’t huge, there are enough of them to suggest a pattern of behavior that raises questions about whether pre-politics Trump was much of a friend to small business in practice. Here are a few of their stories:
Trumped: The Donald Has Filed For Bankruptcy Multiple Times What’s His Strategy And What Can It Teach You
With a net worth in the billions of dollars, you would never have guessed it. But, lo and behold, Donald Trump has filed his businesses for bankruptcy four times since 1991. Was this a mistake? Did the billionaire Trump make a fatal error that caused his corporations to collapse? Just the opposite, in fact. Trump says that every bankruptcy filing was strategic. He even goes further to expand his strategy to the business community, in saying that every high-level business man should take advantageous of the laws, including the laws of bankruptcy. To understand Trump’s decisions, we fist must understand the full situation behind his actions.
While Trump’s businesses have filed for bankruptcy Trump himself has never filed for personal bankruptcy. From 1991 onward, four of his businesses have filed for Chapter 11 restructuring. For a more in depth look at Trumps bankruptcies, take a look at a review of his bankruptcies. On a high level, here is how the Chapter 11 filings turned out:
1. Trump Taj Mahal, 1991
Trump had initially financed the establishment by selling north of $1 billion of “junk” bonds, with a promised return of 14 percent interest. When the economy tanked, the Trumpt Taj Mahal was over $3 billion in dept. What Trump then did, to make amends with his lenders, was giving up half of his ownership state and selling his plane and yacht.
2. Plaza Hotel, 1992
3. Trump Hotels and Casino Resorts, 2004
What then, were the factors that enabled Trump to create his fortune?
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One Decade Of Business Dealings
A useful snapshot is Trump’s record during the 10 years before he won the presidency. From 2006â2016, The New York Times went through every business deal that the Trump Organization announced or that was reported.
The 60 deals reflected a highly uneven track record of business success: “One-third of them never got off the ground or soon petered out. Another third delivered a measure of what was promisedâbuildings were built, courses taught, a product introducedâbut they also encountered substantial problems, like lawsuits, government investigations, partnership woes, or market downturns…The remaining third, while sometimes encountering strife, generally met expectations,” according to The New York Times.
Any deeper examination of the former president’s business record would be incomplete without looking at his series of high-profile bankruptcies and other failures. Below is a list of some of the highlights, although it is by no means comprehensive.
Washington Minnesota & Hawaii V Donald J Trump
Trumps presidential election campaign was centered around many hot-button issues, but none were more prominent than the subject of immigration. One of the many statements made by the businessman-turned-politician was the need for the US to enforce harsh travel restrictions on several countries with a high Muslim population until representatives can figure out what is going on.
Although this was a highly controversial and polarizing statement, it was a hit among many of Trumps political supporters and aspiring cabinet members. Because of this, one of the first major actions taken by the new president in 2016 was Executive Order 13769, which restricted immigration, refuge, and travel to the US for citizens from Iran, Iraq, Libya, Somalia, Sudan, Syria, and Yemenfor 90 days. As legal records from University of Michigan Law School show, this move was met immediately with harsh litigation from several states and organizations.
Three days after the executive order was signed into law, a federal lawsuit was filed against President Trump with the states of Washingtonand Minnesotaas plaintiffs. Four days after this lawsuit, Hawaiiwas the plaintiff in another federal lawsuit against the president. Although many more lawsuits and other legal actions were filed in reaction to this executive order, these two cases involving these three states would have the most significant impact on what was referred to as the Muslim ban.
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Lawsuits Can Be Weaponized
The most obvious lesson that can be learned from Trumps legal history is that you can weaponize lawsuits for your own ends. The Deutsche Bank lawsuit from 2008 was clearly intended to negotiate a new loan repayment agreement, the TrumpNationlawsuit was most likely intended to intimidate the publisher and author into pulling their books, and the numerous lawsuits against Palm Beach County in the 90s were to let him bypass existing restrictions and do whatever he wanted with his property.
To be fair, Trump is far from the only person who has used litigation in this way. In fact, this practice is so widespread that its been given a name Strategic Lawsuits Against Public Participation .According to California lawyer Aaron Morris, this term refers to a lawsuit where the plaintiff does not care whether win the lawsuit and is only interested in getting the defendant to give up due to fear, intimidation, mounting legal costs or simple exhaustion.
Weaponized litigation has become a major problem that threatens the integrity of Americas legal system, but the good news is that many parts of the country offer anti-SLAPP legislation. This means that successfully identifying legal action taken against you as a SLAPP in these states can have the case thrown out and harshly punish the plaintiff for their abuse of the system.