Donald Trump is set to become a private citizen in a few days, but his presidency may have put his business in a crisis.
“In the span of four days, President Trump’s family business has lost its online store, the buzz from Mr. Trump’s promotional tweets about its luxury resorts and bragging rights as host to one of the world’s most prestigious golf tournaments. The mob attack on Congress last week by Mr. Trump’s supporters has spurred a reckoning for the Trump Organization by businesses and institutions, at a scale far greater than his previous polarizing actions,” The New York Times reported Monday.
“And the Trump brand, premised on gold-plated luxury and a super-affluent clientele, may not fully recover from the fallout of his supporters violently storming and vandalizing the U.S. Capitol, hospitality analysts say and some people close to the business acknowledge. Other companies linked with the Trumps, including Deutsche Bank, the president’s largest lender, and Signature Bank, are also seeking distance from him and his business,” the newspaper noted.
Trump’s crisis is especially profound with his banking situation.
“Deutsche Bank, which has been Mr. Trump’s primary lender for two decades, has decided not to do business with Mr. Trump or his company in the future, according to a person familiar with the bank’s thinking. Mr. Trump currently owes Deutsche Bank more than $300 million, which is due in the next few years,” the newspaper reported. “The bank has concluded that, short of forgiving the debt, it has no way to extricate itself from the Trump relationship before the loans come due.”
According to the report, another bank is liquidating Trump’s accounts.
“Another longtime financial partner of the Trumps, Signature Bank, also is cutting ties. The bank — which helped Mr. Trump finance his Florida golf course and where Ivanka Trump, the president’s daughter, was once a board member — issued a statement calling on Mr. Trump to resign as president ‘in the best interests of our nation and the American people.’ Susan Turkell, a spokeswoman for the bank, said Signature had decided that it ‘will not do business in the future with any members of Congress who voted to disregard the Electoral College.’ Ms. Turkell said that in the wake of the riots the bank began closing Mr. Trump’s two personal accounts, which had about $5.3 million,” the Times reported.
JUST POSTED: Blowback re President Trump's role in Capitol riots now engulfed his family company. Not just PGA Tournament. Banks cutting off business, including one that is liquidating accounts with millions in Trump family money. @SteveEder @benprotess https://t.co/mku97KZuOQ
— Eric Lipton (@EricLiptonNYT) January 12, 2021