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

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

Donald Trump spent more than 20 years in the Atlantic City casino business, employing thousands of local residents and generating millions in tax revenue for the state. Dating right back to the early 1980s when he first entered the resort industry, Trump owned and operated three casinos on the Boardwalk in that which was then considered the gambling mecca of the East Coast.

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

Fast-forward to 2016, and the Republican frontrunner for the presidential general election happens to be dealing with backlash, perhaps not only for the ultimate fate of their Atlantic City casinos, but also for exactly what role he possibly played in the region’s current and downturn that is ongoing.

On Tuesday, brand new Jersey Governor Chris Christie, a former 2016 GOP candidate who’s since endorsed Trump, defended the billionaire.

‘He is a person that is honorable and I do not think he’s ever been an office-holder in Atlantic City,’ Christie told reporters. ‘ I don’t keep in mind Donald being mayor,’ he added, an obvious dig at current AC Mayor Don Guardian, for whom the Governor has no love lost.

Trump Taj Mahal Junk Bonds

Critique of Trump’s Atlantic City record primarily deals with exactly how he funded construction regarding the Trump Taj Mahal. In 1987, Resorts Overseas was in the process of building the casino hotel when its owner James Crosby died during the age of 58, due to complications of serious emphysema.

Crosby’s heirs didn’t feel adequately skilled to understand task to completion, and in the end sold the controlling stake of Resorts to Trump for $79 million. He promised officials that are local the construction could be finished through standard bank loans, plus 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 rates of interest.

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

Trump happens to be over and over repeatedly pressured to guard his time in Atlantic City. Throughout the first Republican debate in early August, he said his use of bankruptcy laws is something many businesspersons do at some point, and that sticking the bill towards the junk bondholders was not a big deal.

‘These lenders aren’t babies,’ Trump said on August 6. ‘These are total killers. They are maybe not the good, sweet little individuals.’

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 fees being paid to the city, but Christie believes spending that is outlandish the section of regional government hasn’t 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 fiscal responsibility to the state federal government.

Christie is at chances with State Assembly Speaker Vincent Prieto (D), who wants to impose the PILOT (payment in place of taxes) program to allow struggling casinos to spend a fixed charge to the city, instead of taxes.

Some sort of action must be taken.

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

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

The Sparks Nugget in northern Nevada has been 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, who presided over the Reno Sparks Nugget once the violations took spot. She voluntarily resigned from the Nevada Gaming Commission in over the scandal february. (Image: Jeff Scheid/reviewjournal.com)

The violations took place whilst the casino ended up being under the handling of previous Nevada Gaming Commissioner Michonne Ascuaga, whom had been forced to resign from the payment board in when news of investigation went public february.

The Ascuaga household ran the Nugget for over 50 years, before it ended up being sold to investment that is private Wofhound Holdings in 2013. None associated with investigation’s findings relate to the management of the casino under its new owners.

Systematic Breakdown of Compliance

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

The casino also instructed its conformity officer maybe not to connect with the IRS’ Bank Secrecy Act auditors, while a management committee established to see whether to register SARs ‘never held a single meeting.’

The government agency said that the Nugget ended up being guilty of hundreds of bookkeeping violations and compliance that is AML. Since the passing of the BSA in 1970, after which the funds Laundering Control Act in 1986, all US financial institutions have now been obligated to file a CTR to FinCEN for almost any deal over $10,000, as well as to report any apparently suspicious transactions.

BSA eliminated an individual’s directly to financial privacy by declaring that the financial institution would not be held responsible for declaring monetary transactions towards the authorities.

‘Sparks Nugget possessed a systemic breakdown in its conformity system,’ said FinCEN Director Jennifer Shasky Calvery in a statement. ‘Despite the very fact so it hosted convicted embezzlers and had been over repeatedly alerted to suspicious transactions by its[BSA that is own manager, Sparks saw no need to re-think its (AML) defenses.’

Ascuaga-Wolfhound Case Dismissed

News for the FinCEN investigation first came to light in court documents in February, as part of judicial proceedings brought by the Ascuaga household against the new owners. The Ascuagas reported they were owed $500,000 beneath the purchase and purchase contract of the Nugget to Wolfhound, but that case was dismissed with a judge this week, coincidentally on the same day that FinCEN made its announcement.

Ascuaga, who was simply 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,’ whose workplace had been unaware of the investigation.

She was resigning, she said, ‘out of deep respect for the Nevada Gaming Commission and never to enable myself to be a distraction that is unnecessary the essential regulatory oversight work it does.’

Philippine Casinos Targeted by Government Officials Trying to Recoup Stolen Money Related to New York Fed Heist

The Solaire is one of two Philippine gambling enterprises taking part in an effective $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 stolen funds hackers swindled in February from a bank-account held by Bangladesh at this new York Federal Reserve in Manhattan.

A total of $101 million was effectively 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 up against the Solaire Resort & Casino and Midas Hotel & Casino for their reported roles in presenting money that is dirty the country.

When the AMLC paperwork is completed, the Philippine government could seize assets associated with the casinos should illegitimate cash be found. The moms and dad companies of the resorts could contest the AMLC actions should they be in a position to prove that the laundered cash ended up being presented by clean sources and junket operators that have long operated during the gambling enterprises.

Wrong Wong

The $81 million heist goes back to February that is early significantly more than two months later on investigators are still trying to patch together precisely how the theft took place.

Casino junket operator Kim Wong, thought to be certainly 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 had been deposited into their accounts connected to his junket operations.

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

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 had been channeled through the Solaire and Midas casinos via junket operators while an outstanding $17 million continues to be unaccounted.

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

Philippine officials will also be urging the 2 gambling enterprises to return monies they are keeping for the suspected thieves and return any earnings stemming from the heist.

Bangladesh Waiting

Though Wong handed over significantly more than $5 million final week, Bangladesh still hasn’t received a cent, or should we say taka.
‘The turnover takes a short amount of time, but we’re working with AMLC for expediting the procedure,’ Bangladesh Ambassador towards the Philippines John Gomes told Filipino news source Rappler this week.

Wong states he will give another $9.75 million still in his possession in the next 15 to 30 states. The Philippine junket operator is seemingly trying to scrub his hands associated with dirty money, but it stays to be seen if he had been just caught into the middle of the multimillion-dollar illegal procedure, or if he ended up being in cahoots with the criminal hackers.

Untangling the complicated international crime is progressing slowly, and it surely will likely be many more months before the complete revelation into how a scheme operated is fully understood.

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

The Panama Papers continue to prove that the fish rots from the relative head down. China’s alleged drive that is anti-corruption sent the revenues of Macau tumbling for 22 consecutive months, but now the newest revelations could send Asia’s ruling Communist elite in to a tailspin.

Panama Papers outs Chinese Communist leaders: President Xi Jinping’s brother-in-law was called in the papers that are controversial. In most, eight top Chinese politicians have been implicated, causing blackout attempts by officials on Western news coverage. (Image: davidComurren.co.uk)

The scandal is 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 law firm database.

In particular, any sources to companies owned in offshore tax havens by the Chinese leaders are being censored.

Politburo Hides Wealth

The Panama Papers unveil that relatives of eight of Asia’s top politicians used overseas companies to conceal wealth, including three for 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, as well as 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 from the inside out.

Censorship in Overdrive

Most of the VIP high rollers through the mainland had been actually crooked Communist Party officials playing with stolen monies that are public. These VIPs once accounted for 60 per cent of Macau’s revenues, and Beijing’s squeeze regarding the junket industry, which earned these players en masse, hit the gaming region’s bottom line 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 use of websites that might carry the news that is damaging.

‘I think there is a fear and a sensitiveness among Communist party leaders that this reveals the degree https://lucky88slotmachine.com/pompeii/ to that your political and elite that is economic therefore closely intertwined and so far above your average citizen in regards to wide range,’ Sarah Cook, a China specialist from the Freedom House advocacy group, 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.