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

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

Donald Trump spent more than 20 years in the Atlantic City casino business, employing 1000s of local residents and millions that are generating tax revenue for the state. Dating 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 for the East Coast.

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

Fast-forward to 2016, and the Republican frontrunner for the presidential general election is currently facing backlash, perhaps not only for the ultimate fate of his Atlantic City casinos, but in addition for what role he possibly played in the area’s current and ongoing downturn.

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

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

Trump Taj Mahal Junk Bonds

Criticism of Trump’s Atlantic City record mainly addresses exactly how he funded construction for the Trump Taj Mahal. In 1987, Resorts International was at the process of building the casino hotel when its owner James Crosby died during the age of 58, due to problems of serious emphysema.

Crosby’s heirs didn’t feel adequately skilled to see the task to completion, and in the end sold the controlling stake of Resorts to Trump for $79 million. He promised local officials that the construction is completed through standard bank loans, and 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 levels.

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

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

‘These loan providers are not children,’ Trump said on 6 august. ‘These are total killers. They are perhaps not the good, sweet little people.’

Moving Forward

While Trump had the ‘good feeling’ (by his own account) to leave Atlantic City eight years back, the city itself has struggled from the time. Decreasing gaming revenues and property values has created a shortfall in taxes being paid to the city, but Christie believes spending that is outlandish the section of neighborhood 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 responsibility that is fiscal the state federal government.

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

Some sort of action must be taken.

‘ If all you see are headlines that Atlantic City is out of money, individuals may draw a lot of incorrect conclusions from that,’ Christie explained. ‘It can impact tourism not just to Atlantic City but to all of south Jersey.’

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

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

Michonne Ascuaga, whom presided over the Reno Sparks Nugget when the violations took place. 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 ended up being beneath the handling of previous Nevada Gaming Commissioner Michonne Ascuaga, who had been forced to resign from the commission board in February when news of research went general public.

The Ascuaga household ran 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 new owners.

Systematic Breakdown of Compliance

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

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

The us government agency said that the Nugget ended up being guilty of hundreds of accounting violations and compliance that is AML. Since the passing of the BSA in 1970, and then the amount of money Laundering Control Act in 1986, all US financial institutions have been obligated to file a CTR to FinCEN for just about any deal over $10,000, as well as to report any transactions that are seemingly suspicious.

BSA eliminated a person’s right to financial privacy by declaring that the financial institution would not any longer be held responsible for declaring financial transactions to your authorities.

‘Sparks Nugget had a breakdown that is systemic its conformity system,’ said FinCEN Director Jennifer Shasky Calvery in a statement. ‘Despite the actual fact it hosted convicted embezzlers and had been over and over repeatedly alerted to suspicious transactions by its very own [BSA] compliance supervisor, Sparks saw you should not re-think its (AML) defenses.’

Ascuaga-Wolfhound Case Dismissed

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

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

She was resigning, she said, ‘out of deep respect for the Nevada Gaming Commission and to not allow myself to become a distraction that is unnecessary the important 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 taking part 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 various individuals and entities. (Image: forbes.com)

Two Philippine casinos and their parent companies are being targeted by government leaders trying to recoup the $81 million in taken funds hackers swindled in February from a bank account held by Bangladesh at the newest York Federal Reserve in Manhattan.

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

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

As soon as the AMLC paperwork is completed, the Philippine government could seize assets for the casinos should illegitimate cash be found. The moms and dad companies for the resorts could contest the AMLC actions should they be able to prove that the laundered cash ended up being presented by clean sources and junket operators who have long operated during the casinos.

Incorrect Wong

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

Casino junket operator Kim Wong, thought to be 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 a large amount of cash was being deposited into their accounts associated with his junket operations.

Wong testified before the Philippine Senate that his accounts received some $21.5 million from two international clients, whom in turn laundered the cash by gambling along with a network of at the least 19 people. Wong claims he don’t understand the cash was dirty and thought the high rollers had been simply millionaire investors.

Wong returned the remaining $5.46 million still in his possession to the AMLC a week ago. Investigators believe $63 million associated with total $81 million was channeled through the Solaire and Midas casinos via junket operators while an outstanding $17 million remains unaccounted.

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

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

Bangladesh Waiting

Though Wong handed over significantly more than $5 million week that is last Bangladesh still hasn’t received a penny, or should we say taka.
‘The turnover will need a time that is little but our company is using AMLC for expediting the process,’ Bangladesh Ambassador towards the Philippines John Gomes told Filipino news source Rappler this week.

Wong says he’ll give another $9.75 million still in their control in the next 15 to 30 says. The Philippine junket operator is seemingly trying to scrub his arms for the dirty money, but it stays to be observed if he had been merely caught into the middle of the multimillion-dollar unlawful operation, or if he ended up being in cahoots with the criminal hackers.

Untangling the complicated crime that is international progressing slowly, and it surely will likely be many others months before the complete revelation into the house of fun ruby slippers slot way the scheme operated is fully known.

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

The Panama Papers continue to show that the seafood rots from the relative head down. China’s so-called anti-corruption drive has sent the revenues of Macau tumbling for 22 consecutive months, but now the newest revelations could deliver Asia’s ruling Communist elite in to a tailspin.

Panama Papers outs Chinese Communist leaders: President Xi Jinping’s brother-in-law was known as into 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 really so threatening to its ‘do as I say, not when I do’ stance that Beijing moved this week to block Western news outlets’ coverage of the leaked Mossack Fonseca Panama attorney database.

In particular, any recommendations to companies owned in offshore tax havens by the leaders that are chinese being censored.

Politburo Hides Wealth

The Panama Papers reveal that relatives of eight of Asia’s top politicians used offshore companies to hide wide range, including three regarding the 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, plus 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 through the inside out.

Censorship in Overdrive

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

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

‘I think there is a fear and a sensitiveness among Communist celebration leaders that this exposes the degree to which the political and elite that is economic so closely intertwined and so far above your average citizen in regards to wide range,’ Sarah Cook, a China specialist from the Freedom House advocacy team, told the UK’s Guardian this week.

‘This kind of blows a big hole in that effort 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.