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How Many Times Has President Trump Filed Bankruptcy

Us Bankruptcies 2020 Corporate Level

Donald Trump and Bankruptcy: Why has he Filed so Many Cases?

6. As of September 2020, 470 companies have gone bankrupt.

In light of the COVID-19 crisis that has negatively affected the economy, its not surprising to see more and more companies filing for bankruptcy. If we look at the historical data on corporate bankruptcies by year, the latest figure is bigger than the filings recorded during any comparable period since 2011.

7. Based on bankruptcy statistics, the consumer discretionary sector has the largest number of bankruptcies 93.

The bankruptcies 2020 report shows that most of the companies that filed for bankruptcy came from the consumer discretionary sector. The analysis is limited to public or private companies with public debts and assets or liabilities equal to $2 million or more at the time of bankruptcy filing. It also includes private companies having either assets or liabilities greater than or equal to $10 million at the time of filing.

8. The first three quarters of 2020 recorded the highest number of mega bankruptcies 52.

Historical bankruptcies data show that the number is greater than in any full year during the 20052019 period. The only exception is the year 2009 when mega bankruptcies reached 57. The analysis of mega bankruptcies covers companies with over $1 billion in assets at the time of filing.

How Often Has Donald Trump Declared Bankruptcy

Donald Trumps business record seems riddled with unfortunate events. Despite never having filed for personal bankruptcy, reports state that he filed for business bankruptcy at least four times. But, according to Trump, businesses file for bankruptcy often, and it was a financially intelligent move. He added that hundreds of companies have done the same thing he did.

Donald Trumps Business Failures Were Very Real

Many of Donald Trumps tweets arent worth paying attention to, but on Tuesday morning he posted a pair that demanded inspection. Like many other people, me included, the President had apparently been reading a story in the Times that punctured the mythology surrounding his business career. Based on Internal Revenue Service transcripts of Trumps tax returns from 1985 to 1994, the Timesreport said that Trumps core businesses racked up losses of more than a billion dollars in a ten-year period. During 1990 and 1991, the story said, Trumps losses were so large that they were more than double those of the nearest taxpayers in the I.R.S. information for those years.

Trump could simply have ignored the report or dismissed it as old news. But, with cable-news networks featuring it prominently, and the Daily News, one of Trumps home-town papers, running the front-page headline BIGGEST LOSER, he did what he usually does and counterattacked. This is what he wrote on Twitter:

These are significant sums, certainly. But, as the Times article points out, depreciation charges arent nearly large enough to create the massive losses that Trumps businesses incurred. Some fraction of Donald Trumps losses can be attributed to depreciation, Susanne Craig, one of the authors of the Times piece, wrote in a , responding to Trump. We found most of it was just bad business.

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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.

Trump Castle Associates 1992

Trump Lying About Bankruptcies? During CNN Debate, Real ...

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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The 3rd Windfall: The Presidency

A new revenue stream became obvious in The Times’ analysis of Trump’s tax documents: presidential visitors.

Trump’s “winter White House,” the Mar-a-Lago club in Palm Beach, Florida, pocketed an extra $5 million more off new members starting in 2015, and in 2017 the Billy Graham Evangelistic Association paid at least $397,602 to Trump’s hotel in Washington, DC.

Also, despite Trump saying he wouldn’t pursue new foreign deals as president, his first two years as president saw revenue from abroad reach $73 million.

My grandmother died in 2003, the same year Trump set a record by divesting his stake in the General Motors building for $1.4 billion. Trump had bought the building back in 1998 in partnership with Conseco, a financial-services firm. By the time they sold, Conseco was in bankruptcy, having “collapsed under the weight of its debt,” The Times reported.

”It’s a great building in a great location,” Trump said at the time. ”I did a great job in order to make it a great building.”

Trump put up just $11 million himself in the initial purchase of the building, The Times reported.

As for my grandmother, she never liked Trump. I remember asking her why, and she responded, “Because he’s a Democrat.”

Stocks Bonds Funds And Similar Holdings

Trump’s personal financial market investment portfolio is concentrated in the financial and commodities markets. The investment portfolio generates income and cash flow from a variety of mechanisms as dividends, capital gains, and compounded carried interest. He invested a minimum of $70 million in stocks.Though real estate is still his most preferred asset class, Trump became an active financial market investor in 2011 following disappointment from the depressed American real estate market and various investments in the Federal Reserve’s interest yields on CDs were next to nothing. Trump stated that he was not enthusiastic to be a stock market investor, but that prime real estate at good prices was hard to find at that time and that stocks and equity securities were cheap and generating good cash flow from dividends. He profited from 40 of the 45 stocks he purchased which he sold in 2014, making it almost a 90% success rate in capital appreciation in addition to millions in earned dividends. The biggest gainers in his stock portfolio were Bank of America Corporation, The Boeing Company and Facebook, Inc earning a windfall profit of $6.7 million, $3.96 million and $3.85 million, respectively.

On a government form submitted in 2015, Trump reported holding an amount of physical gold, valued at between $100,001 to $250,000.

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Use Of Bankruptcy Laws

Trump has never filed for personal bankruptcy, but hotel and casino businesses of his have been declared bankrupt four times between 1991 and 2009 to re-negotiate debt with banks and owners of stock and bonds. Because the businesses used Chapter 11 bankruptcy, they were allowed to operate while negotiations proceeded. Trump was quoted by Newsweek in 2011 saying, “I do play with the bankruptcy laws â they’re very good for me” as a tool for trimming debt. These types of bankruptcies are common in the business world for restructuring to avoid having to close a business. In the case of Trump’s bankruptcies, three were tied directly to gaming industry, which as a whole had suffered during the time the bankruptcies were declared.

According to a report by Forbes in 2011, the four bankruptcies were the result of over-leveraged hotel and casino businesses in Atlantic City: Trump’s Taj Mahal , Trump Plaza Hotel , Trump Hotels and Casino Resorts , and Trump Entertainment Resorts . Trump said “I’ve used the laws of this country to pare debt…. We’ll have the company. We’ll throw it into a chapter. We’ll negotiate with the banks. We’ll make a fantastic deal. You know, it’s like on The Apprentice. It’s not personal. It’s just business.” He indicated that many “great entrepreneurs” do the same.

Fact Checking: Donald Trump Has Filed Bankruptcy Six Times

Trump Clobbered Over His Six Bankruptcies & Stiffing Workers

The Differences Between Bankruptcies: Chapters 7, 11, and 13

Recently, I met a prospective client with over $30,000.00 in medical debt. She lives with her one minor child and her annual household income around $40,000.00. She can pay her basic bills, but the massive medical debt is a different story. The collection phone calls are picking up and her stress level is beginning to affect her health. This same woman filed for Chapter 7 bankruptcy relief 6 years ago following a job loss, meaning that she would not be eligible for another Chapter 7 bankruptcy filing for 2 more years. She looks at me and says If our President can file bankruptcy whenever he gets into a pinch, why do I have to suffer for 2 more years? She recalled a news story saying that President Trump had filed bankruptcy at least four times prior to becoming our U.S. President.

Fact Checking: Has Donald Trump filed for bankruptcy relief 4 or 6 times?

Lets do some fact checking about how many times Donald Trump has filed for bankruptcy protection and why there is some debate over this number. During the 2016 presidential campaign, Hillary Clinton correctly pointed out that Donald Trump had filed bankruptcy 6 times. Here is a quick breakdown of the six Chapter 11 bankruptcy filings by companies owned by Donald Trump. All six of Donald Trumps bankruptcy filings were prior to him becoming our current U.S. President.

  • 1991: Trumps Taj Mahal
  • 1992: First of two Atlantic City casinos owned by Donald Trump.
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    He Holds His Partner Hostage

    Trumps bankruptcies led to the loss of hundreds of millions of dollars by his lenders. Other businesses that are underperforming Theyve written off losses often and given Trump more credit because its better than liquidation.

    A former chairman of New Jerseys casino commission, Trump was described as too big for failure Atlantic City: If his casinos had stopped operating, it could have devastated the local economy.

    Lenders and gaming officials came up with ways to keep Trump in the game while decreasing his control over these businesses. This was so that he wouldnt be able to take over again.

    Numerous Republican senators and members are now linked to Trump through the political equivalent of a bank relationship. In a bid to be the political leader, Trumps fellow Republicans gave their support.

    They were also winning when Trump was winning. If Trump loses, many of them will follow him. This could result in Republicans losing Senate elections in Arizona, Colorado and Iowa as well as North Carolina and giving Democrats control of the Senate.

    Democrats will also control the executive and legislative branches if Biden wins the White House in a sweeping defeat for Trump and his GOP allies.

    What You Need To Know About The 45th President Of The United States

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    Donald Trump is a wealthy businessman, entertainer, real estate developer and president-elect of the United States whose political aspirations made him one of the most polarizing and controversial figures of the 2016 election. Trump ended up winning the election against all odds, defeating Democrat Hillary Clinton, and took office on Jan. 20, 2017.

    Trump’s candidacy for the White House began amid the largest field of presidential hopefuls in 100 years and was quickly dismissed as a lark. But he won primary after primary and quickly became the most unlikely presidential front-runner in modern political history, vexing the pundit class and his opponents alike.

    He ran for reelection in 2020 against Democrat Joe Biden. After losing both the popular and electoral votes, Trump refused to accept the results of the election and mounted several campaigns in court and in the media to promote his claims. He joins the list of one-term presidents, the most recent of whom was fellow Republican George H.W. Bush.

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    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.

    ‘keep The Donald Afloat’

    Trump Tax Return Revealed Tonight 3/14/17

    ” could have simply taken everything he had right then, but they wanted his cooperation,” said Lynn LoPucki, a bankruptcy expert and professor at UCLA Law School. “There’s that old saying, ‘If you owe your banks a little, you’re at their mercy. If you owe the banks a lot, the banks are at your mercy. They saw the best way for him to repay the money was to keep the Donald afloat.”

    The Donald struck a deal with the banks to hand over half his ownership, and half of the equity, in the casino in exchange for a lower interest rate and more time to pay off his debt. He sold off his beloved Trump Princess yacht and the Trump Shuttle airplane to make his payments, and his creditors put him on a budget, putting a cap on his personal spending.

    “The first one was a really big hit for him. They had him personally, and he ended up taking substantial losses in that bankruptcy. He also had the humiliation of having some bankers deciding how much money he could spend — the numbers are just astonishing — the amount of his monthly budget,” LoPucki said.

    John Pottow, a bankruptcy expert and law professor at the University of Michigan, said banks would often agree to lose millions in reorganizations like Trump’s to prevent the massive losses they would incur if they foreclosed on the property.

    “Banks will take considerable haircuts,” Pottow said. “It’s sort of like you have a sick patient so you cut off a couple toes to stop the gangrene. Now he’s missing a few toes, but he’s still alive.”

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    Politicians Who Have Filed For Bankruptcy

    Jeff Rose, CFP® | September 03, 2021

    Debt and the prospect of bankruptcy is a thought that crosses the mind of nearly all Americans at some point.

    But rarely do we think political leaders have the money woes of the common man. Think again!

    Some of the countrys most famous politicians found themselves mishandling their finances and ended up filing different kinds of bankruptcy.

    Bankrupt Politicians

    Many politicians from the 18th century to the new millennium have filed for bankruptcy. Heres a look at some of the most notable cases.1. Thomas Jefferson

    One of the nations Founding Fathers and its 3rd president had financial troubles. Thomas Jefferson did not manage his money well. He incurred debt building his plantation home, Monticello, and furnishing it with books, fine wines, artwork, silver, and furniture bought on credit. Even after his death, his estate was riddled with so much debt that it had to be sold off in order to pay creditors.

    2. Benedict Arnold

    The Revolutionary War was not good to Benedict Arnold in many ways. Aside from being branded a traitor to his country, Arnold went bankrupt after the revolution, which caused him tremendous worry about his reputation.

    3. Abraham Lincoln

    4. William McKinley

    5. George McGovern

    Despite Holding Huge Assets Trump Needs Money More Than His Presidential Predecessors Ever Did But He Faces Multiple Barriers Of His Own Making

    Find your bookmarks in your Independent Premium section, under my profile

    Find your bookmarks in your Independent Premium section, under my profile

    As Trump knows only too well, lawyers are expensive

    What next for Donald Trump? World leaders dont, as a rule, go hungry upon leaving office. There are positions on corporate boards to take up, lucrative speaking engagements to be booked, handsome advances for books even if they dont sell quite as well as expected . The consulting opportunities are endless, as Tony Blair has proved. Theyre not always terribly savoury but that usually merits only passing attention.

    Trump, however, is in the difficult position of needing the money more than any of his predecessors did, despite holding huge assets. He also faces barriers of his own making the insurrection he fomented the most obstructive of all to at least some of the perks former presidents typically enjoy. Many of the people who welcomed George W Bush and cut him a cheque when he wasnt painting wont want to associate with Trump.

    His legal problems, meanwhile, are just beginning and legal experts consider the idea of Trump preemptively pardoning himself a non-starter. Besides, this would only cover federal, and not state, offences.

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