Trump The Business

Donald Trump wrote a book about his business acumen and even started a ‘university’ to teach it to others. But like most things Trump, the reality is not as good as he says it is.

I once spoke to a banker about the traders in his company that used computers to trade massive amounts of money and make a few cents on each trade. It was impressive. He replied, not so much. The traders were trading using the bank’s money for free. If they had to borrow the money at market rates instead they would be losing their shirts.

It is a good bet that Trump Inc. is built on a similar model. The economics of his business deals are probably based on getting financing from unsavory characters (alleged mobsters and worse), highly aggressive tax maneuvers and illegal undocumented quid-pro-quo agreements. Trump Inc. might not be a money launderer per se, but you won’t have to scratch the surface very deeply to find the rinse cycle.

This is why Trump is so afraid of Robert Mueller’s investigations. They are bound to uncover the extent of the shady deals he and his family have done to stay in business. And since he and his family make all of the important decisions, there really aren’t a lot of henchmen to take the fall when the truth comes out.

So in addition to the Charles Kushner pardon pool, we ought to be thinking about wagering on pardons for Donald Trump, Jr. and Jared Kushner.

 

Mueller: Drip, Drip, Drip

Special Counsel Robert Mueller’s investigation must be like water torture for Donald Trump. Every piece of news about it is another brick in the wall that will eventually encircle the President and, more importantly, his business interests.

The wall won’t imprison Trump. It is doubtful that he will even be charged with any crimes. What the wall will do is keep others away. By the time Mueller is done, Trump Inc. will be a toxic hot potato that no one will want to be close to.

Trump is very well aware of this. So every time Mueller puts a fair sized brick in the wall, Trump tries to tweet it away. “No collusion” tweets Trump – he’s got nothing, it’s a waste of time. No Brick.

But the truth is that very slowly and very methodically, the wall is taking shape. Mueller is laying as strong of a foundation as he can to make sure that the wall will stand up to any legal trebuchet that Trump’s legal team can conceive of. So far, it looks pretty solid.

 

Trump Will Lie To Mueller

At some point over the next few months, President Donald Trump and Special Counsel Robert Mueller will have a conversation. Each will be accompanied by a phalanx of lawyers. Mueller and his team will ask questions. Trump, guided by his team, will answer. And then Trump will throw in a few lies.

It is certain that Trump will lie? No, but the odds are pretty good, and here’s why.

  1. He has done it before. Trump has been in court many times. He is familiar with testifying and has told many lies and misleading statements in the past
  2. He doesn’t believe he is lying. Trump is a narcissistic pathological liar, in other words he believes his lies because they are part of his self image.
  3. Even if he knows he is lying, he feels that as president he can do whatever he wants. Trump probably believes it is his right and duty to lie in the right circumstances, and a vindictive witch hunt by Mueller is one of those circumstances.
  4. He doesn’t see any downside to getting caught lying. The president can always pardon himself from committing perjury, right? Even if that doesn’t work, what’s the worst that can happen? He’s the guy that could get away with shooting someone in Times Square. They certainly aren’t going to impeach him for a lie or two. If they try, there will literally be blood in the streets – his people will never take an impeachment attempt lying down.

Mueller probably knows that he will never take Trump down. But he can take his company and business associates down. When he uncovers the full nature of the money laundering and side deals that Trump, Inc. has been involved in with the Russians and firms like Deutsche Bank it is going to get mighty uncomfortable to be in business with or as a Trump.

Et Tu, Boris?

Donald Trump is the master of the Taunting Tweet. Whether he is taking on the Democrats, Republicans or even members of his own cabinet like Jeff Sessions, he is pretty handy with the snarky, cutting comment.

To be sure, there have been plenty of Tweets tweaking Trump, but none of them are from anyone he cares about.

So it must have been particularly galling for Trump to read the Russian prime minister’s Tweet that his administration is showing “total weakness” in the “most humiliating way.” To have his buddies the Russians publicly proclaim him as “an incompetent player” (Facebook post) has to be the ultimate insult for smart, tough guy Trump. Truly humiliating.

Of course, there may be more to it behind the scenes. The best way to gauge Trump’s relations with the Russians is to follow the money. Is Russian financing still flowing to the Trump family of companies? Is Trump Inc. doing any new real estate development in Russia? We might have to wait until Robert Mueller speaks before we find out.

Follow The Money

Where does Trump Inc. really get its money? In his interview with the New York Times this week, Donald Trump shot himself in the foot again and told everyone it was none of their business. Of course, now everyone will be focused on that very question.

Trump said that the investigation into Russian meddling in the 2016 election would cross a “red line” if it started looking into his finances. But the special counsel is apparently thinking of doing just that, if he hasn’t already. After all, any crime investigator knows that the first thing to do is follow the money.

Trump’s supporters think he has a point: the investigation was supposed to be about Russian interference and should not be side tracked.  These are also people who have no love for the Clintons and surely supported Bill’s impeachment. They should remember that the only reason he was impeached was because an investigation of Clinton’s business affairs got sidetracked to whether or not he lied about having sex with an intern.

Sex with an intern is not Trump’s style, but the investigation may find that his firm is financially in bed with a number of dubious characters and governments, which could have the same consequences.