A banker involved with large loans to Donald Trump testified that what Trump has said is absolutely correct: that client real estate values are subjective ESTIMATES, and the banks do their own due diligence, which often involves adjustments.
IOW: BUSINESS AS USUAL. All sellers/loan seekers seek to inflate their property values, all buyers try to deflate it...the lender ultimately decides.
Meanwhile, the Stalinist Kangaroo Prosecution continues to trumpet its utter IGNORANCE of real estate business norms, or any other in the Real World.
Banker involved in big loans to Trump's company testifies for his defense in civil fraud trial
NEW YORK (AP) — When Deutsche Bank loaned Donald Trump's company hundreds of millions lawyers of dollars, the bank always followed its own guidelines that include checking out information that would-be borrowers provide, an executive testified Tuesday at the former president's civil fraud trial.
The loans — for projects in Florida, Chicago and Washington, D.C. — are a focus of New York Attorney General Letitia James' lawsuit contending that Trump and his company deceived lenders and insurers by giving them financial statements that baldly overstated his asset values and overall net worth. The defendants deny the allegations.
Deutsche Bank reviewed the financial statements before making the loans through its department that works with rich individuals — a pathway that allowed for more favorable interest rates than likely available from the commercial real estate division, according to the lawsuit. The deals came with conditions about Trump’s net worth and, sometimes, liquidity, and they often required annual submissions of his financial statements.
But, testifying for the defense, managing director David Williams said the bankers viewed clients' reports of their net worth as “subjective or subject to estimates” and took its own view of such financial statements.
“I think we expect clients-provided information to be accurate. At the same time, it’s not an industry standard that these statements be audited. They’re largely reliant on the use of estimates,” Williams said, so bankers routinely “make some adjustments.”
At times, the bank pegged Trump's wealth at several billion dollars lower than he did, according to documents and testimony. In 2019, for example, Trump’s financial statement listed his net worth at $5.8 billion, which the bank adjusted down to $2.5 billion.
But Williams said such differences weren't necessarily unusual or alarming.
“It’s a conservative measure to make these adjustments," he testified, characterizing them as “standard” and a "stress test" of financial strength.
https://www.msn.com/en-us/news/poli...&cvid=9a8899c2de7f47aebcad15859b868255&ei=108
IOW: BUSINESS AS USUAL. All sellers/loan seekers seek to inflate their property values, all buyers try to deflate it...the lender ultimately decides.
Meanwhile, the Stalinist Kangaroo Prosecution continues to trumpet its utter IGNORANCE of real estate business norms, or any other in the Real World.
Banker involved in big loans to Trump's company testifies for his defense in civil fraud trial
NEW YORK (AP) — When Deutsche Bank loaned Donald Trump's company hundreds of millions lawyers of dollars, the bank always followed its own guidelines that include checking out information that would-be borrowers provide, an executive testified Tuesday at the former president's civil fraud trial.
The loans — for projects in Florida, Chicago and Washington, D.C. — are a focus of New York Attorney General Letitia James' lawsuit contending that Trump and his company deceived lenders and insurers by giving them financial statements that baldly overstated his asset values and overall net worth. The defendants deny the allegations.
Deutsche Bank reviewed the financial statements before making the loans through its department that works with rich individuals — a pathway that allowed for more favorable interest rates than likely available from the commercial real estate division, according to the lawsuit. The deals came with conditions about Trump’s net worth and, sometimes, liquidity, and they often required annual submissions of his financial statements.
But, testifying for the defense, managing director David Williams said the bankers viewed clients' reports of their net worth as “subjective or subject to estimates” and took its own view of such financial statements.
“I think we expect clients-provided information to be accurate. At the same time, it’s not an industry standard that these statements be audited. They’re largely reliant on the use of estimates,” Williams said, so bankers routinely “make some adjustments.”
At times, the bank pegged Trump's wealth at several billion dollars lower than he did, according to documents and testimony. In 2019, for example, Trump’s financial statement listed his net worth at $5.8 billion, which the bank adjusted down to $2.5 billion.
But Williams said such differences weren't necessarily unusual or alarming.
“It’s a conservative measure to make these adjustments," he testified, characterizing them as “standard” and a "stress test" of financial strength.
https://www.msn.com/en-us/news/poli...&cvid=9a8899c2de7f47aebcad15859b868255&ei=108
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