According to The New York Times, President Donald Trump’s $421 million in personal guaranteed debt, which will soon come due, is a serious problem for the president because one of the best options for staving off the cliff — refinancing — is likely off the table for him due to his business failures.
“Mr. Trump might have difficulty repaying or refinancing the loans without liquidating assets,” reported Russ Buettner and Susanne Craig. “His main source of income in recent decades — a total of more than $427 million from entertainment and licensing deals that were fueled by his fame — has all but dried up. That cash enabled a buying spree of failing golf courses, and propped up those businesses as their losses mounted. In recent years, Mr. Trump has burned through most of the cash, stocks and bonds at his disposal and has recently explored the sale of some of his holdings, including the Trump International Hotel in Washington.”
The president’s profligate spending has left Trump in a hole — and because his business loans are personally guaranteed, he will be responsible for the bill.
“In a dire situation, Mr. Trump could try to sell some assets or properties to cover a loan coming due. But loans are usually based on the profitability of the business borrowing the money,” continued the report. “Tax records for the businesses on which he borrowed the bulk of the money suggest that refinancing may present a challenge. Doral and his Washington hotel, with more than $300 million in debts coming due, have posted regular losses. And in addition to the debt he owes, Mr. Trump has pumped a net of $261.8 million cash into the businesses to help keep them afloat.”
A recent New York Times investigation that obtained the president’s long-concealed tax returns revealed that the president has relied on those very same business losses to avoid paying income taxes for years. That practice has been the subject of a years-long audit by the IRS.
If the president wins re-election, however, he might have other options. Richard Carnell, a former Treasury Department official, warns that the president could use his regulatory power as president to threaten or punish Deutsche Bank, his primary lender: “The Donald Trump approach to law is all legal levers would be fair game in pressuring or punishing a bank.”
AND — when Trump loses the election on Nov. 3, prosecutors likely will be standing in line to arrest, indict, and convict him . . . and if we are lucky, his worthless children will go down with him.
If President Donald Trump loses the upcoming presidential election, he could be faced with an avalanche of legal problems since he will no longer have the Presidential Privilege Against Prosecution.
By losing the election, Trump would be considered a private citizen which would make him more vulnerable to a string of investigations—both individually and through his businesses— due to ongoing speculation of fraud and possible tax evasion. The New York Times’ latest bombshell report on Trump’s long-concealed tax returns has also raised more questions about the his finances and the amount of debt he possibly owes.
In addition to the financial woes, Trump is also facing multiple defamation lawsuits from women who have accused him of sexual assault. However, the possible legal woes extend even further. Trump could also face severe consequences if it is determined that he misused the presidency for personal gain and business profits.
Harry Sandick, a former federal prosecutor for the U.S. attorney’s office in Manhattan, weighed in on the possibility of Trump facing criminal charges without the prosecutorial protections of the presidency after leaving office.
“In every regard, his leaving office makes it easier for prosecutors and plaintiffs in civil cases to pursue their cases against him,” Sandick said. “For example, he is claiming a higher protection from subpoenas in the criminal cases and also in the congressional subpoena cases, [and that] is based largely on the fact that he is President.”
Based on the national polls projecting the outcome of the election, Democratic presidential nominee Joe Biden appears to be the favorable candidate with the highest chance of winning. Although Trump has long insisted the polls are “fake,” his behavior during his rallies proves his level of desperation has soared to new heights in recent days.
In fact, Trump has even alluded to the possibility of leaving the country if he loses the election. During his rally in Macon, Ga., on Friday night, he mulled over the possibility of losing to Biden.
“Could you imagine if I lose?” Trump said. “I’m not going to feel so good. Maybe I’ll have to leave the country, I don’t know.”
According to the latest NPR/PBS NewsHour/Marist poll, Biden has a double digit lead of 54% to 43% among likely voters. It has also been reported that more than 20 million Americans have already cast their vote for the November election.