There are 50 million reasons for Pelosi to expand the probe - Hallo friendsDARMO NEWS TODAY, In the article you read this time with the title There are 50 million reasons for Pelosi to expand the probe, We have prepared this article for you to read and retrieve information therein. Hopefully the contents of postings Article culture, Article economy, Article health, Article healthy tips, Article news, Article politics, Article sports, We write this you can understand. Alright, good read.

Title : There are 50 million reasons for Pelosi to expand the probe
link : There are 50 million reasons for Pelosi to expand the probe

There are 50 million reasons for Pelosi to expand the probe

So much to talk about, so little time. The most intriguing new item is summed up in this tweet by David Fahrenhold.

The biggest mystery in @realdonaldtrump's financial disclosures: he owes more than ***$50 million*** to an LLC that exists mostly on paper. No employees, no office, no assets of its own.
That mystery lender, Chicago Unit Acquisition LLC,
just filed its annual report. This is it. pic.twitter.com/i87B1V8VV0

— David Fahrenthold (@Fahrenthold) November 18, 2019

I did a little research into that address, which is a huge bank building where many, many "on paper" corporations are registered. Deutsche Bank seems to favor this building. However, in 2012, the exact same address and suite was used by something called Bridgefield Mortgage Corp, a.k.a. ResMAE Mortgage Corps, which apparently was linked to Merrill Lynch. But time has passed, and CUA appears to be a different entity.

I'm honestly not sure what is going on here, but it smells like money laundering, or perhaps a scheme to hide money from the IRS. If Trump's taxes do come out, we will have to see how this $50 million figures into it. (I'm not among those who presume that the Supreme Court will rule fairly on that score, alas.)

Remember that Trump owes a lot of money that he seems ill-disposed to pay back, not least to the states in which he held his rallies.

Here is the Mother Jones investigation. I've linked to it in a previous post.

The disclosures state that this loan is connected to Trump’s hotel and tower in Chicago, and the forms reveal puzzling details about Chicago Unit Acquisition: It earns no revenue—suggesting that Trump was not paying interest or principal on the loan—and Trump assigns virtually no value to Chicago Unit Acquisition. Something doesn’t add up. Under basic accounting principles, a firm that is owed money and has no outstanding debt should be worth at least as much as it is owed. The loan has another odd feature: It is identified as a “springing” loan, a type of loan made to borrowers who are viewed as credit risks. Known sometimes as “bad boy” loans, these agreements allow the lender to impose harsh repayment terms if certain criteria aren’t met. These are not the type of loan terms that someone is likely to impose on himself.

I've known for years that something was seriously wrong with that building. If ever Trump stages a "terror" attack to rally the country around him, the attack will probably be on this troubled building. Allow me to repeat my earlier words...

Basically, Deutsche Bank put up the bulk of the money for that building, something on the order of $640 million. A hedge fund called Fortress Investment Group also put up some of the money, a bit more than $100 million. So Trump had to pay back a loan that was the better part of a billion bucks.

The building has not done well. I've talked about Trump Tower Chicago in a previous post (the bulk of which I reproduce below).

After the thing turned into a boondoggle, Trump realized that he could not pay Deutsche Bank. Naturally, Deutsche Bank sued. That lawsuit spurred Trump to mount an absolutely hilarious counter-suit for three billion dollars. Trump claimed that Deutsche Bank had engineered the 2007 economic crisis.

Here's the freaky part -- perhaps the freakiest part of Trump's whole freaky career: Trump and Deutsche Bank soon kissed and made up. I have no idea how. I have no idea why. But through some magical operation, Trump squared things with Deutsche Bank.

Lots of people suspect that Trump pulled off this trick with the help of someone with a Russian name.

But Fortress -- the other investor -- remained a problem. Somehow, Trump talked this Fortress group into accepting just $48 million on a loan that went north of $100 million.

How the hell did he do that? Magic. Can you use the same magic to get a car loan at half price? No.

Think about this situation carefully. The vast majority of the loaned money came from Deutsche Bank. Somehow, after suit and countersuit, Trump was able to satisfy those bankers. But when it came to Fortress, all of a sudden Trump screamed "I'm poor!" He could not make scheduled payments.

And so it was that poverty-stricken Donald talked Fortress into cutting his debt in half.

Here's the thing: When you negotiate a massive debt reduction of that sort, the reduction is considered income. And income is taxable.

But Donald Trump just ain't into paying taxes.

That fifty million in taxable income is a scandal in and of itself. In a sane world, that scandal should be enough to start impeachment proceedings. Ultimately, however, the real scandal is Deutsche Bank. What the hell happened there?

Here's the Business Insider summary...

Mother Jones' investigation found that Trump was able to clear his debt with Deutsche Bank and Fortress Investment Group over the next several years but that Fortress ultimately agreed to accept just $48 million back for the loan it had made to Trump, which by that time was worth around $100 million.

That means one of two things occurred:

• Fortress considered the loan repaid and forgave more than $50 million of debt from Trump, an action known as a discounted payoff. If that happened, the debt would be considered taxable income, and Trump would have had to pay as much as a 39% income tax on it.
• Trump bought the remaining debt using a corporation and "parked" the money there to avoid paying income taxes on it. This practice, known as debt parking, is legal as long as the borrower plans to repay the rest of the loan. It's illegal to engage in this indefinitely.

Alan Weisselberg. Trump's money manager, could explain this. Will Nancy Pelosi ask him to testify?

Thus Article There are 50 million reasons for Pelosi to expand the probe

That's an article There are 50 million reasons for Pelosi to expand the probe This time, hopefully can give benefits to all of you. well, see you in posting other articles.

You are now reading the article There are 50 million reasons for Pelosi to expand the probe with the link address https://darmonewst.blogspot.com/2019/11/there-are-50-million-reasons-for-pelosi.html

Tweet

Subscribe to receive free email updates: