WASHINGTON — President-elect Donald Trump pledged to step away from his family-owned international real estate development, property management and licensing business before taking office Jan. 20. With less than two weeks until his inauguration, he hasn’t stepped very far.
WASHINGTON — President-elect Donald Trump pledged to step away from his family-owned international real estate development, property management and licensing business before taking office Jan. 20. With less than two weeks until his inauguration, he hasn’t stepped very far.
Trump has canceled a handful of international deals and dissolved a few shell companies created for prospective investments. Still, he continues to own or control some 500 companies that make up the Trump Organization, creating a tangle of potential conflicts of interest without precedent in modern U.S. history.
The president-elect is expected to give an update on his effort to distance himself from his business at a Wednesday news conference. He told The Associated Press on Friday that he would be announcing a “very simple solution.”
Ethics experts have called for Trump to sell off his assets and place his investments in a blind trust, which means something his family would not control. That’s what previous presidents have done.
Trump has given no indication he will go that far. He has said he will not be involved in day-to-day company operations and will leave that duty to his adult sons, Eric and Donald Trump Jr. The president-elect has not addressed the ethical minefield of whether he would retain a financial interest in his Trump Organization.
A look at what’s known about what Trump has and hasn’t tried to resolve his business entanglement before his swearing-in:
FOREIGN INVESTMENTS
Trump has abandoned planned business ventures in Azerbaijan, Brazil, Georgia, India and Argentina. The Associated Press found he has dissolved shell companies tied to a possible business venture in Saudi Arabia.
It’s unclear whether those moves are signs that Trump is dismantling the web of companies that make up his business. Trump Organization general counsel Alan Garten has insisted none of the closures is related to Trump’s election. He calls them “normal housecleaning.”
The Trump Organization still has an expanding reach across the globe: The Trump International Golf Club in Dubai, in the United Arab Emirates, is set to open next month.
Trump has said there will be “no new deals” while he’s in office. But Eric Trump, an executive vice president at the Trump Organization, told Argentinian newspapers last week that the company was open to another business venture in the country.
“We would like to find something,” Eric Trump told Clarin, as he toured a Trump building construction site. “We’ll find a project.”
The younger Trump did rule out expansion in Russia, at least any time soon.
“Is there a possibility sometime in the next 20, 30 years we end up in Russia? Absolutely. Is it right for us right now? Probably not,” Eric Trump said, in a video interview with La Nacion posted on the newspaper’s website.
DOMESTIC BUSINESSES
Of Trump’s U.S. portfolio, no venture has become more emblematic of the potential conflicts of interest facing Trump than his hotel at the Old Post Office in the nation’s capital. The federal government, which he soon will oversee, holds the lease on the building he turned into a sparkling luxury hotel that opened shortly before Election Day.
The terms of Trump’s contract with the government expressly prohibit elected officials from having a financial interest in the property. Democratic senators said the General Services Administration told them that the moment Trump takes office, he would violate the terms of his contract
Neither GSA nor Trump transition officials responded to inquiries about what steps, if any, Trump has taken with regard to that contract provision.
Trump is still listed as a producer for the reality TV show, “Celebrity Apprentice.” He has said he will not spend time working on the show. Financial disclosures he filed during the campaign show his company, Trump Productions, earned about $5.9 million from “The Apprentice” shows in 2015.
Trump has a considerable amount of business debt that could put creditors in the position of having leverage over an enterprise with close ties to the U.S. president and his family. Last May, Trump reported on his financial disclosure that he had at least $315 million in debt related to his companies. The disclosed debt, mostly mortgages for his properties, is held by banks, including Deutsche Bank and investors who bought chunks of the debt from the original creditors.
CHARITIES
Last month, Trump announced that he would shutter his charity, the Donald J. Trump Foundation, to avoid conflicts of interest.
The decision came after the foundation admitted in a tax filing that in 2015 and an unspecified number of previous years it violated IRS prohibitions against self-dealing, broadly defined as using charity money or assets to benefit Trump, his family, his companies or substantial contributors to the foundation.
The New York attorney general’s office has said the foundation cannot dissolve until it completes its investigation into whether Trump used the foundation for personal gain. The attorney general’s office has not said whether the investigation will be wrapped up by Trump inauguration.