Donald Trump Atlantic City History Defended by New Jersey Governor Chris Christie

Donald Trump Atlantic City History Defended by New Jersey Governor Chris Christie

Donald Trump spent more than 20 years in the Atlantic City casino business, employing a huge number of local residents and millions that are generating tax revenue for the state. Dating right back to the early 1980s when he first entered the resort industry, Trump operated and owned three casinos on the Boardwalk in what was then considered the gambling mecca associated with the East Coast.

In 1990, Donald Trump went all-in on Atlantic City, but today his business dealings are increasingly being criticized by some who hold the billionaire partially responsible for the gambling destination’s dismal present financial state. (Image: Charles Rex Arbogast/AP)

Fast-forward to 2016, and the Republican frontrunner for the presidential general election is now dealing with backlash, maybe not only for the ultimate fate of his Atlantic City casinos, but additionally for what role he possibly played in the region’s current and downturn that is ongoing.

A former 2016 GOP candidate who has since endorsed Trump, defended the billionaire on Tuesday, New Jersey Governor Chris Christie.

‘He is a person that is honorable and I don’t believe he’s ever been an office-holder in Atlantic City,’ Christie told reporters. ‘ I do not remember Donald being mayor,’ he added, an obvious dig at current AC Mayor Don Guardian, for whom the Governor has no love destroyed.

Trump Taj Mahal Junk Bonds

Critique of Trump’s Atlantic City record primarily deals with exactly how he funded construction associated with Trump Taj Mahal. In 1987, Resorts Overseas was at the process of building the casino resort when its owner James Crosby died during the age of 58, due to complications of severe emphysema.

Crosby’s heirs didn’t feel adequately skilled to understand project to completion, and in the end sold the stake that is controlling of to Trump for $79 million. He promised local officials that the construction is finished through standard bank loans, as well as the Casino Control Commission approved the project. However, the banks got feet that are cold and Trump eventually raised capital through junk bonds with high interest rates.

The interest regarding the project that is mammoth to Trump defaulting on payments simply 15 months later and filing for Chapter 11 bankruptcy security.

Trump was repeatedly forced to protect his time in Atlantic City. During the first Republican debate in early August, he said his usage of bankruptcy laws is something many businesspersons do at some point, and that sticking the bill to the junk bondholders was not a deal that is big.

‘These lenders aren’t children,’ Trump said on August 6. ‘These are total killers. These are not the good, sweet little people.’

Moving Forward

While Trump had the ‘good feeling’ (by his own account) to leave Atlantic City eight years ago, the town itself has struggled ever since. Decreasing gaming revenues and property values has produced a shortfall in taxes being paid to the town, but Christie believes spending that is outlandish the part of local government has not been reigned in properly.

The governor in their second term has threatened to veto any Atlantic City relief bill which comes to his desk that doesn’t also hand over fiscal responsibility to the state government.

Christie is at odds with State Assembly Speaker Vincent Prieto (D), who wants to impose the PILOT (payment in place of taxes) program to enable struggling casinos to spend a fixed cost to the city, as opposed to taxes.

Some form of action must certanly be taken.

‘ If all you see are headlines that Atlantic City is out of money, people may draw a complete large amount of wrong conclusions from that,’ Christie explained. ‘It make a difference tourism not only to Atlantic City but to all or any of south Jersey.’

Reno Sparks Nugget Fined $1 Million for Lax Money-Laundering Controls

The Sparks Nugget in northern Nevada has been fined $1 million for ‘systematic and egregious’ violation of its anti-money laundering (AML) laws, the Financial Crimes Enforcement Network (FinCEN) stated this week.

Michonne Ascuaga, whom presided over the Reno Sparks Nugget whenever violations took destination. She voluntarily resigned from the Nevada Gaming Commission in February over the scandal. (Image: Jeff Scheid/reviewjournal.com)

The violations took place whilst the casino was underneath the handling of former Nevada Gaming Commissioner Michonne Ascuaga, whom had been forced to resign from the commission board in when news of investigation went public february.

The Ascuaga household went the Nugget for over 50 years, before it ended up being sold to personal investment group Wofhound Holdings in 2013. None for the investigation’s findings relate to the handling of the casino under its owners that are new.

Systematic Breakdown of Compliance

FinCEN, a branch associated with the Treasury Department, said that the Sparks Nugget willfully chose not to register dubious Activity Reports (SARs) and Currency Transaction Reports (CTRs), an oversight which was in violation of the anti-money laundering provisions of the Bank Secrecy Act (BSA).

The casino also instructed its compliance officer perhaps not to interact with the IRS’ Bank Secrecy Act auditors, while a management committee established to see whether to file SARs ‘never held just one meeting.’

The federal government agency said that the Nugget was guilty of hundreds of accounting violations and compliance that is AML. Since the passing of the BSA in 1970, and then the funds Laundering Control Act in 1986, all US financial institutions have now been obligated to file a CTR to FinCEN for any transaction over $10,000, as well as to report any seemingly dubious transactions.

BSA eliminated a person’s straight to privacy that is financial declaring that a financial organization would not any longer be held liable for declaring monetary transactions towards the authorities.

‘Sparks Nugget possessed a breakdown that is systemic its compliance system,’ stated FinCEN Director Jennifer Shasky Calvery in a statement. ‘Despite the fact it hosted convicted embezzlers and had been over and over repeatedly alerted to suspicious transactions by its own [BSA] compliance supervisor, Sparks saw no need to re-think its (AML) defenses.’

Ascuaga-Wolfhound Case Dismissed

Information regarding the FinCEN investigation first came to light in court papers in February, as an ingredient of judicial proceedings brought by the Ascuaga family against the owners that are new. The Ascuagas claimed they were owed $500,000 underneath the purchase and sale agreement of the Nugget to Wolfhound, but that case ended up being dismissed with a judge this week, coincidentally on the day that is same FinCEN made its announcement.

Ascuaga, who had previously been appointed to the Nevada Gaming Commission board by Governor Brian Sandoval ten months before her resignation, claimed she ‘did not purposely hold back once again information from the governor,’ whoever workplace had been unacquainted with the investigation.

academized

She was resigning, she said, ‘out of deep respect for the Nevada Gaming Commission and to not enable myself to be an unnecessary distraction from the crucial regulatory oversight work it does.’

Philippine Casinos Targeted by Government Officials Trying to recover Stolen cash Related to New York Fed Heist

The Solaire is 1 of 2 Philippine casinos tangled up in a successful $81 million heist, and government officials are racing to find and clean up the dirty money alleged to be in possession of numerous individuals and entities. (Image: forbes.com)

Two casinos that are philippine their parent companies are being targeted by government leaders trying to recoup the $81 million in stolen funds hackers swindled in February from the banking account held by Bangladesh at the latest York Federal Reserve in Manhattan.

A total of $101 million was successfully withdrawn though $20 million was restored by Bangladesh’s central bank.

Philippine’s Anti-Money Laundering Council (AMLC) is likely to soon file a case contrary to the Solaire Resort & Casino and Midas Hotel & Casino for their reported roles in launching dirty money into the country.

When the AMLC paperwork is completed, the government that is philippine seize assets associated with casinos should illegitimate money be discovered. The parent companies of this resorts could contest the AMLC actions should they be able to prove that the laundered money had been presented by clean sources and junket operators that have long operated during the gambling enterprises.

Incorrect Wong

The $81 million heist dates back to February that is early more than two months later investigators are still attempting to patch together exactly how the theft took destination.

Casino junket operator Kim Wong, thought to be certainly one of the orchestrators of the heist, has adamantly denied those allegations. Instead, Wong claims he received notification from the Rizal Commercial Banking Corporation (RCBC) on February 5 saying that the amount that is large of had been deposited into their accounts linked to his junket operations.

Wong testified before the Philippine Senate that his accounts received some $21.5 million from two foreign consumers, who in turn laundered the cash by gambling along with a system of at the very least 19 people. Wong claims he don’t understand the money was dirty and thought the high rollers were simply millionaire investors.

Wong came back the staying $5.46 million still in his possession to the AMLC a week ago. Detectives believe $63 million for the total $81 million ended up being channeled through the Solaire and Midas gambling enterprises via junket operators while an outstanding $17 million continues to be unaccounted.

AMLC officials suspect payment remittance processor Philrem Service Corp. might be in charge of the $17 million, but the company denies such claims.

Philippine officials are urging the 2 gambling enterprises to return monies they are holding for the suspected thieves and return any profits stemming from the heist.

Bangladesh Waiting

Though Wong handed over a lot more than $5 million final week, Bangladesh still hasn’t received a cent, or should we say taka.
‘The turnover will need a short amount of time, but we have been working together with AMLC for expediting the procedure,’ Bangladesh Ambassador to the Philippines John Gomes told Filipino news supply Rappler this week.

Wong claims he will give another $9.75 million nevertheless in their possession within the next 15 to 30 claims. The Philippine junket operator is seemingly trying to wash his hands associated with the dirty money, but it stays to be seen if he was just caught in the middle of a multimillion-dollar unlawful operation, or if he had been in cahoots with the criminal hackers.

Untangling the complicated crime that is international progressing gradually, and it surely will likely be many more months before the complete revelation into how a scheme operated is completely known.

Panama Papers China Connection Reflects Double Standard on Macau Anti-Corruption Measures

The Panama Papers continue to prove that the fish rots from the head down. Asia’s alleged drive that is anti-corruption sent the revenues of Macau tumbling for 22 consecutive months, but now the newest revelations could send China’s ruling Communist elite as a tailspin.

Panama Papers outs Chinese Communist leaders: President Xi Jinping’s brother-in-law was named in the papers that are controversial. In every, eight top politicians that are chinese been implicated, causing blackout attempts by officials on Western news coverage. (Image: davidComurren.co.uk)

The scandal is so threatening to its ‘do when I say, not as I do’ stance that Beijing moved this week to block Western news outlets’ coverage of the leaked Mossack Fonseca Panama law practice database.

In particular, any references to companies owned in offshore tax havens by the Chinese leaders are being censored.

Politburo Hides Wealth

The Panama Papers unveil that relatives of eight of Asia’s top politicians purchased overseas companies to hide wide range, including three associated with seven-member Politburo Standing Committee, the country’s most powerful body.

The list includes President Xi’s brother-in-law, the daughter-in-law of propaganda chief Liu Yunshan, therefore the son-in-law of vice-premier Zhang Gaoli.

Xi’s much-publicized anti-corruption crackdown was launched amid warnings that the theft of public funds by corrupt Communist Party officials, a nagging problem that had become endemic, could destroy the Party from the inside out.

Censorship in Overdrive

Lots of the VIP high rollers from the mainland were actually crooked Communist Party officials playing with stolen monies that are public. These VIPs once accounted for 60 % of Macau’s profits, and Beijing’s squeeze in the junket industry, which introduced these players en masse, hit the gaming region’s main point here defectively.

Now the Panama Papers threaten to undermine Xi’s anti-corruption crackdown, and the united states’s censors have actually gone into overdrive, blocking use of websites that might carry the damaging news.

‘we think there’s a fear and a sensitivity among Communist celebration leaders that this exposes the degree to which the governmental and elite that is economic therefore closely intertwined and to date above your average citizen in terms of wealth,’ Sarah Cook, a China specialist from the Freedom home advocacy group, told the UK’s Guardian this week.

‘This kind of blows a big hole in that work she said because it exposes how the top political leaders and their families are, at the very least, super, super rich; even if this money had been obtained legally, which of course is a big question mark as well.

Leave a Reply