- German lender Deutsche Bank is looking to sell about $ 340 million in debt owed by President Donald Trump, Reuters reported on Tuesday.
- The bank will seek to sell its loans to Trump after the election or seek to repay money that will be due after two years, sources at the bank said.
- Trump’s relationship with Deutsche Bank has long been scrutinized. The lender handed over the files to a Manhattan district attorney, who is investigating the alleged crimes by Trump businesses.
- Trump has long denied the allegations of misconduct in his business dealings.
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German lender Deutsche Bank is planning to sever ties with President Donald Trump after the election, three sources at the bank told Reuters news agency.
Deutsche will seek to sell, or demand to repay the president̵7;s $ 340 million in debt, according to a report released on Election Day.
Trump’s relationship with Deutsche Bank has long been a source of rumor and scrutiny. Over the years, the bank has been the largest lender to the Trump Organization, the company that runs Trump hotels, golf resorts and other businesses.
However, according to Reuters, the bank is now believed to want to sever its last link with the president – three loans totaling $ 340 million, guaranteed by the president himself, and calculated on the basis of the value of his property.
The loans are expected to mature in the next two years.
According to Reuters, bank executives are not concerned about the president’s ability to repay loans and how much time is left before they are due.
The agency said executives believed it would be easier to sell loans to another financial institution if Trump lost office.
Sources told Reuters that the loans were personally guaranteed by Trump, if he could not repay or refinance, Deutsche Bank could confiscate the loans and seize the president’s assets.
Business Insider has asked the White House for comment on the report. Deutsche Bank declined to comment.
Business Insider attempted to contact the Trump Organization for comment, which was not reachable through its usual channel. Trump Organization officials did not respond to a request for comment from Reuters.
At an event in the NBC News town hall in October, Trump rejected questions about a New York Times report claiming he was in debt of up to $ 421 million, arguing that it only accounted for. a “small percentage” of his worth.
The Times was the first to report that Trump personally secured the debt, a guarantee sought by lenders when they were unsure whether the borrower was able to repay the debt.
New York National Assembly investigators and prosecutors have long sought information about Trump’s relationship with Deutsche Bank, one of the few companies to lend to Trump after his business struggled to enter year 1990.
The two House committees issued subpoenas for the bank on information regarding their transactions with Trump, but the president sued to block the subpoena, arguing they were issued for purposes of Politics and there is no reliable evidence of misconduct.
In August, The New York Times reported that the bank had complied with a subpoena from Manhattan district attorney, Cyrus Vance, as part of the criminal investigation into Trump’s businesses.
Trump has long denied the allegations of misconduct in his financial affairs and business transactions.