Manhattan prosecutors probe millions in loans for Chicago’s Trump Tower as they investigate former President Trump’s finances – CBS Chicago
CHICAGO (CBS) – The New York investigation into former President Donald Trump’s finances has extended to the Chicago Riverfront.
Manhattan District Attorney’s Office takes a closer look at the investment firm that loaned millions of dollars to the Trump Organization for the 401 N. Wabash Ave skyscraper.
Quote people familiar with the survey CNN reported prosecutors issued a subpoena to the firm, Fortress Investment Management, late last year.
Investigators want to know if Trump’s company has misled lenders or insurance brokers about the value of certain properties in order to expand.
CNN reported that Fortress made a $ 130 million loan to the Trump Organization for the construction of the Chicago Trump Tower. Fortress then canceled more than $ 100 million of the loan – which stood at around $ 150 million with interest and fees – in 2012, CNN reported.
The purpose of the rebate was to get a partial refund of $ 45 million during a real estate financial crisis, CNN reported. Manhattan District Attorney’s Office Cy Vance is investigating whether former President Trump or the Trump Organization filed the loan cancellation income as required by the IRS and paid taxes accordingly, CNN reported.