Trump Organization's accounting firm says 10 years of financial statements are unreliable - CNNPolitics
S E E D E D C O N T E N T
New York (CNN)Former President Donald Trump's long-time accounting firm informed the Trump Organization last week that it should no longer rely on nearly 10 years' worth of financial statements and that they would no longer be their accountants, citing a conflict of interest.
"We have come to this conclusion based, in part, upon the filings made by the New York Attorney General on January 18, 2022, our own investigation, and information received from internal and external sources," Mazars wrote in a letter to the Trump Organization chief legal officer, advising them to no longer rely on financial statements ending June 2011 through June 2020. "While we have not concluded that the various financial statements, as a whole, contain material discrepancies, based upon the totality of the circumstances, we believe our advice to you to no longer rely upon those financial statements is appropriate." The company also advised the Trump Organization to inform any recipients of the statements, such as lenders or insurers, to not rely on the statements. A long list of investigations and lawsuits involving Donald Trump Monday, Mazars said it would no longer act as Trump's accountant, citing a "non-waivable conflict of interest." The accounting firm said the only work not completed was the filing of Trump and Melania Trump's tax returns. It says they are still seeking information about an apartment for Matthew Calamari Jr., the company's head of security, which they have sought for months but have not received. Trump's main accountant, Donald Bender, testified before the grand jury investigating the Trump Organization last year, sources told CNN. Read More The letter was included in a court filing by the New York attorney general's office, which has been trying to enforce a subpoena for documents from Trump and seek his testimony as well as that of Donald Trump Jr., and Ivanka Trump. A court hearing is set for Thursday. "While we are disappointed that Mazars has chosen to part ways, their February 9, 2022 letter confirms that after conducting a subsequent review of all prior statements of financial condition, Mazars' work was performed in accordance with all applicable accounting standards and principles and that such statements of financial condition do not contain any material discrepancies," a Trump Organization spokesperson said Monday. "This confirmation effectively renders the investigations by the DA and AG moot." Mazars didn't respond to CNN's requests for comment. Some lawyers say it's likely Mazars issued the warning since they had previously signed off on the financial statements, and with recent allegations that they are inaccurate, they would want to protect themselves and sound an alarm that they shouldn't be relied on anymore. The New York attorney general and Manhattan district attorney's office have been investigating the accuracy of Trump's financial statements to determine whether any insurers, lenders or others were misled. Trump has previously said in depositions in civil investigations that he would give his opinion about the values of certain properties and it was "predominantly" Trump Organization's chief financial officer Allen Weisselberg who decided the final number. Mazars compiled the statements and included a two-page introduction that stated Trump was responsible for valuations, but they noted that in many ways they did not comply with US accounting rules. What you need to know about Trump's weekend of January 6 whitewashing and election lies In a lengthy court filing last month, the New York attorney general's office alleged it has found "significant" evidence "indicating that the Trump Organization used fraudulent or misleading asset valuations to obtain a host of economic benefits, including loans, insurance coverage, and tax deductions." On the financial statements, they alleged, there were numerous "misleading statements and omissions." Citing the Mazars letter, lawyers for the New York attorney general's office wrote on Monday, "This development further reinforces what OAG's previous submissions already showed: The Court should order Respondents' compliance with OAG's document and testimonial subpoenas." Lawyers working for New York Attorney General Letitia James also pushed back on Trump's argument that she is trying to "end run" the grand jury process by seeking their testimony as part of the city investigation while there is an ongoing criminal investigation. Trump's team has argued that James, whose office announced it was teaming up with the Manhattan district attorney's office on the criminal case, was politically motivated. In Monday's filing, James' office said two attorneys were designated to work with the district attorney, but said they "report to, and operate at, the direction" of the district attorney, Alvin Bragg. This story has been updated with additional details.
Our prisons are full of fraudsters who did way less...
What was actually done? Was there a loan that was fraudulently obtained and not paid. It seems that this is all about values, who is claiming a financial loss?
Lying to and submitting false documents to banks and with tax returns is a fraud and a crime. Our federal prisons are full of criminals convicted of similar kinds of financial frauds...
Then why are Trump's accountants firing him?
The rest of your comment is purely diversion...
What exactly was false in these documents?
Are you saying his tax returns are fraudulent?
Give me some of these people convicted where no financial loss ever took place.
Trump's accounting firm isn't getting away with this!
Rats, ships, etc.
floaters, cesspools...
If the 'Mar-a-Lago dweller' had just stayed being the NY flim flam man, there is so much that would have never happened. And most likely even this.
The orange one with the white eyes always has to be center stage. Now he is. Lawyer up, dude. Your show is about to begin.
Certainly not news that Trump wants to hear. What, IMO the accounting firm is saying is that you gave us the information we reported what you gave us. A CYA as well.
Remember the Arthur Andersen / Enron Fiasco?
How many loans based on these financial statement will now be called?
This could become really interesting.
I'm pretty sure that the lack of reliability of Trump's financial statements goes back far more than only 10 years.
His accounting firm all had advanced degrees from Trump University.
My thoughts exactly - I doubt there ever was an accurate trumpturd financial statement.
Would 'Stormy Who' count as a Trump financial statement?
The so called "bombshell" about Clinton is just a poor attempt to distract from Trumps financial crimes.
Please JR give me the list of indictments for these crimes.
I doubt if he can find another accounting firm
Since Trump's tax filings are due today, he has a big problem.
he's paying melania a consulting fee for all her past life experience on how to ask for an extension...
He already has, FBN Accounting LLC...(Fly By Night)
There are always needy firms who will do his bidding. Greed clouds judgment.
I don't know who "others" are but, insurance companies inspect their risk they don't take the clients word for it, banks appraise property for their loans as well. Was a loan obtained on a fraudulent basis and not repaid ? Shouldn't this DA be chasing murders rather than looking at balance sheets when no financial loss took place.
Different DAs do different things. Some DAs investigate/ prosecute violent crimes. Others work in financial matters
Is there a financial loss that took place?
What does your question have to do with my comment? All I did was enlighten you on how DA offices work because you didn't seem to know diddly squat about them
Thank you, but you missed the point of my comment. If this DA is as you say for financial crimes, what financial crime has taken place. There would need to be some type of a financial loss or someone defrauded of income, monies or property what is she claiming took place.
I didn't miss it because you had no point. That wasn't the issue in the thread
They have already charged Allen Weisselberg, Trump's accountant, with 15 counts of tax fraud.
That made me chuckle.
Give me the names of these two New York DA's you're talking about.
Didn't read the seed again, did you?
I know exactly what the seed is about, I am asking you to clarify your comment of:
You made the claim, just want to know who these dual DA's are.
It's still absolutely unbelievable how anyone fell for this con man and actually voted for him. A truly astounding unawareness of reality on all fronts. Electing every single thing the right says they hate, a failed Reality TV show celebrity with a Hollywood star, an East Coast Elite from New York City, an out of touch Elite that lived in a golden tower high rise with a Global financial empire of hotels and golf courses. Not a man of the people, a man proven to have cheated at everything in life, and a proven liar a thousand times over. The right elected every single thing they proclaim to hate, a man who symbolized everything they claim is against their "values".
Thank you for pressing the point of his being an East Coast Elite and a not-man-of-the-people living in his golden tower. We see it. Why doesn't everybody?
He was elected because a whole lot of people who voted for him saw him as a "savior." The elites saw an elite who would protect their interests and embellish their fortunes. The white-grievance crowd saw somebody who would keep the faith and not let muslims or brown people into the country because.... well, because they ain't 'merican. The Bible thumping crowd saw a man who would appoint conservative judges and rid the country of abortion and the percieved LGBTQ stain on their god-blessed country. So, some of the people actually got what they wanted, the rich got richer and the evangelicals got more conservative justices.
And, of course, the white grievance crowd got told to "stand by"...
As to the topic of the seed, it should be dishearteningly amusing watching more and more people and companies moving towards the off ramp of the Thumper Freeway...
And you forgot the reward the rest of conservatives feel they got which was "pissing off liberals/progressives/Democrats/lgtbq/Femi-Nazi/bi-coastal/Hollywood elites". The more upset those they already hated with a passion got, the more they cheered for the fat orange loser. It didn't matter if he was drawing boobs on a weather map with a sharpie, the pussy grabbing comment, saying McCain wasn't a war hero, mocked a disabled journalist or his paying hundreds of thousands to porn stars to keep them quiet during the campaign, all of his insanity clearly outraged most rational patriotic Americans which is what made some right wing conservative Trump supporters cheer with glee.
I think to some of his fans Trump was the Rodney Dangerfield in 'Caddyshack', the uncouth, ill-mannered billionaire who comes in and starts knocking over the elitist golf club snobbery. So to them it doesn't matter that he lies, defrauds banks, cheated on his wives, cheated on his taxes, he's still their hero who they love watching kick anyone they see as having a better education, better house, better job, better vocabulary or better life right in the nuts.
I agree wholeheartedly. It is because of the way he acts, not in spite of. Which still makes me wonder about the minds and maturity level of certain voters.
They just wanted someone who would burn down the building … that they are living in. He made a great effort but so far actual democracy is prevailing - very, very slowly.