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.
Thursday’s Jan 6 Select Committee Hearing: What To Know
When are the hearings? The first one kicks off tonight at at 8 p.m. The final hearing, also slated for prime time, is expected to take place on June 23.
Where can you watch the hearings? The first hearing will air on WSJ.com as well as on many cable news networks.
What is the Jan. 6 select committee? The House voted last year, largely along party lines, to establish the committee to investigate the events of Jan. 6, 2021, when supporters of Mr. Trump stormed the Capitol, temporarily halting the certification of President Bidens Electoral College win.
Who is on the Jan. 6 committee? The panel is led by Chairman Bennie Thompson and Vice Chairman Liz Cheney . She and Rep. Adam Kinzinger of Illinois are the only two Republicans on the panel. Jamie Raskin and Adam Schiff , congressmen involved in the two impeachments of Mr. Trump, are also on the committee.
What do Republicans say about the Jan. 6 committee? Many are calling the committees proceedings a partisan witch hunt designed to distract voters from inflation, high gasoline prices and urban crime, among other issues. Mr. Trump has denied responsibility for the Jan. 6 attack. The House impeached him last year for inciting an insurrection, but he was acquitted in the Senate.
Donald J Trump Foundation
The Donald J. Trump Foundation was a U.S.-based private foundation established in 1988 for the initial purpose of giving away proceeds from the book Trump: The Art of the Deal by Trump and Tony Schwartz. The foundation’s funds mostly came from donors other than Trump, whose last personal contribution to the charity was in 2008. The top donors to the foundation from 2004 to 2014 were Vince and Linda McMahon of World Wrestling Entertainment, who donated $5 million to the foundation after Trump appeared at WrestleMania in 2007.
Per the foundation’s tax returns, its benefactors included healthcare and sports-related charities, as well as conservative groups. In 2009, for example, the foundation gave $926,750 to about 40 groups, with the biggest donations going to the Arnold Palmer Medical Center Foundation , the New York Presbyterian Hospital , the Police Athletic League , and the Clinton Foundation .
A 2018 suit by the New York State attorney general alleged that Trump had illegally used foundation funds to buy self-portraits, pay off his businesses’ legal obligations, and boost his presidential campaign. The judge ruled against the Donald J. Trump Foundation and ordered Trump to pay $2 million in damages. Trump agreed to give that money and the foundation’s remaining $1.8 million to 8 charities ranging from Army Emergency Relief to the United Negro College Fund to the US Holocaust Memorial Museum and to dissolve the foundation.
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About Cibik Law Law Firm
Our company is in the business of offering debt relief to our clients. Bankruptcy often includes shame, fear, and anxiety. We understand how you feel because we have helped so many in getting through what is a stressful time. We know how to confront the issues involved in individual and small business consumer bankruptcy, here in Philadelphia and surrounding areas.
Our most important desire to share our compassion and respect with you, our clients. Our lawyers are well-versed in providing bankruptcy services which include:
- Mortgage foreclosure assistance
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When you call us, we will make an appointment for a free consultation if you are considering bankruptcy. Our no-pressure environment will allow you to share with us your financial situation, your options, and come up with the right solution for you. Once we have met, we will guide you in the areas of:
- The types of bankruptcy
The New Jersey Generals
Service rendered: Football
Years in business: 2
What went wrong: Since Trump couldnât buy an NFL team of his own, he settled on the next best thingâthe short-lived United States Football League established to challenge the NFL. Realizing he had a million other projects on his plate, though, Trump quickly sold the team only to buy them back again in the very same year.
Things only got worse from there, according to Business Insider, âThe team folded one year later, in 1985, along with the entire USFL. People blamed Trump for the demise of not only the team, but the entire league. Allegedly, he was trying to pull the Generals into the NFL â and made poor investment decisions in the process.â
Talking about the ordeal now, Trump notes that he âdid something I rarely do with the USFL. I went into something that was not good.â As rare as every single endeavor on this list.
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Truth Social Buyer Warns Of Bankruptcy Risk Given Trump’s Past Failures
The company purchasing Donald Trump‘s media network, Truth Social, warned investors on Monday that there might be a bankruptcy risk given the former president’s history of failed business ventures.
A regulatory filing by Digital World Acquisition Corp. highlighted several examples of bankruptcy associated with Trump while noting that there is “no guarantee” Truth Social will be successful.
Digital World announced a merger with Trump Media and Technology Group , which owns Truth Social, in October. The social media network was launched in February after the former president was barred from mainstream social media platforms in the aftermath of the January 6, 2021, riot at the U.S. Capitol.
In Monday’s filing, Digital World outlined the bankruptcies of several Trump ventures, including Trump Taj Mahal, Trump Plaza and Trump Castle in Atlantic City, as well as the failures of Trump University, Trump Vodka, Trump Steaks and GoTrump.com.
“A number of companies that had license agreements with President Trump have failed. There can be no assurances that TMTG will not also fail,” the filing states. “While all of the foregoing were in different businesses than TMTG, there can be no guarantee that TMTG’s performance will exceed the performance of those entities.”
Newsweek reached out to TMTG for comment.
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.
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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 Trumps 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 Trumps bullying, unfairness, and failure to pay. And while their numbers arent 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:
Donald Trump Bankruptcy: Personal Vs Corporate Bankruptcy
Bankruptcy is a tool that allows debtors relief from their debt when they cannot pay it back. Through bankruptcy, a debtor can get a “financial fresh start.”
However, there are six different types of bankruptcy under the Bankruptcy Code : Chapters 7, 9, 11, 12, 13, and 15. These chapters mainly differ in terms of who the debtor is. For example, farmers and fisherman can file for debt relief under Chapter 12 bankruptcy. Municipalities can file for Chapter 9 bankruptcy.
When it comes to the issue of Donald Trump’s bankruptcy, we are only concerned with Chapters 7 and 11.
That’s because a Chapter 7 filing is indicative of poor financial management skills on behalf of the debtor — a red flag for voters evaluating a presidential candidate. But a Chapter 11 filing doesn’t necessarily indicate poor management. In fact, it can be seen as a tool that improves a company’s value for investors.
Here’s the difference:
- Chapter 7 bankruptcy: Allows an individual to be freed of most debt in exchange for a ruined lined of credit for 10 years.
- Chapter 11 bankruptcy: Allows a corporation to stay in business while it restructures its business and attempts to reduce its debt.
When Trump tweeted, “I never went bankrupt,” he was being truthful. The real estate magnate has kept good order of his personal finances.
You see, all four of Donald Trump’s bankruptcies were the Chapter 11 type. Each resulted from over-leveraged casino and hotel properties in Atlantic City.
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Trumped: The Donald Has Filed For Bankruptcy Multiple Times Whats 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 Trumps decisions, we fist must understand the full situation behind his actions.
While Trumps 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?
Trump Castle Associates 1992
In less than a year he was back in bankruptcy court for his other Atlantic City casinos. This bankruptcy included the Trump Plaza Hotel in New York, the Trump Plaza Hotel and Casino in Atlantic City as well as the Trump Castle Casino Resort. He gave up half his interest in the New York Plaza to Citibank, but retained his stake in the casinos.
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Trump Ice Natural Spring Water
Trump Ice was a bottled water brand. The winner of The Apprentice Season 2, Kelly Perdew, served as executive vice president of the organization.
The company’s website no longer exists, and the product can no longer be found in national grocery chains or stores but some can still be found on eBay and other auction sites.
The company was used as a gimmick in the show’s first season when contestants marketed and sold the product.
The Backstory On Donald Trump’s Four Bankruptcies
GOP frontrunner Donald Trump, preparing for his second debate on Wednesday, has never declared bankruptcy. His businesses have, though — four times. Find out what went wrong.
NEW YORK — Donald Trump has never declared bankruptcy, but his businesses have — four times.
The real estate mogul, television star and Republican presidential frontrunner filed for corporate bankruptcy in 1991, 1992, 2004 and 2009. Three of the cases were related to his casino and hotel properties in Atlantic City, N.J.
And even though more than six years have passed since Trump had his last run-in with Chapter 11, it remains a touchy subject. Trump was quick to clarify at the Republican presidential debate hosted by Fox News in August that he had never filed for personal bankruptcy. Instead, he cast his moves as part of his solid business acumen.
“Out of hundreds of deals — hundreds — on four occasions, I’ve taken advantage of the laws of this country, like other people,” he said. “The difference is, when somebody else uses those laws, nobody writes about it. When I use it, it’s like, ‘Oh, Trump, Trump, Trump.’ The fact is, I built a net worth of more than $10 billion. I have a great, great company. I employ thousands of people. And I’m very proud of the job I did.”
Overall, the Donald is no stranger to business maneuvers that, depending on whom you ask, can appear either particularly savvy or ripe for criticism. His history with bankruptcy is no exception– take a look at the four cases below:
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