Deutsche Bank Feared A Trump Bankruptcy While He Was in Office
A new report coming from Bloomberg indicates that in 2016, shortly after Trump won the presidential election, executives at Deutsche Bank were concerned that Trump would default on the $340 million in loans he had outstanding with their company.
In fact, executives from the company’s management board, including CEO John Cryan, considered extending the term of the loan until 2025, when Trump would be out of office if he won a second term, citing a possible public relations nightmare.
The bank reportedly feared having to go after the Trump Organization for assets and debt while Trump was the President of the United States, but they eventually decided against the loan extension.
Instead the bank made the decision that they would not loan any additional funds to the president’s company, in hope that the Trump Organization would be able to meet their obligations. The bulk of the loans are due in 2023 and 2024, and are tied to the Trump National Doral Miami resort, the Trump International Hotel, just blocks from the White House, and the Chicago Tower.
The president’s son, Eric Trump, disputes the accuracy of Bloomberg’s story, suggesting that it is “complete nonsense,” and that the Trump Organization is “one of the most under-leveraged real-estate companies in the country.”