Looking at Trump’s history of bankruptcy. More trumped up rhetoric from the “Donald”.

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UYGUR: All right. Up next action: Paul Ryan`s budget in my opinion is a con job. His plan is called the path to prosperity — yes, if you`re rich, it will make you more prosperous.

Plus, quick help. Donald Trump has fallen and he can`t give up. Seriously, he`s saying all kinds of nonsense and people are giving him attention that he craves. So, we`re going to give him some attention to the real facts and real business of his career. That`s not a pretty picture. We`ll show you the details.

UYGUR: Welcome to our first ever con job. It is my belief and experience that conservatives in this country hardly ever mean what they say. There`s usually another agenda and it`s usually about money, but I don`t want to just claim that. I want to prove it to you. So, we`re going to do this segment every day until it becomes abundantly clear to everyone what their really game is.

Today, we start with Congressman Paul Ryan, he swears up and down that his budget proposal is a government cutting debt reducing Tea Party dream come true, but guess what? Over the next ten years, his plan actually adds to the debt. Right now, the national debt is 62 percent in GDP. The Congressional Budget Office estimates it under current policy, it will be up to 67 percent in 10 years. Now, that`s not great, but under Ryan`s proposal, the debt would hit 70 percent of GDP by 2022. That`s much worse. Paul Ryan and the CBO say that eventually his plan would bring down the debt once they start hacking away at Medicare.

Now, Ryan didn`t say hacking, but you know how much extra your Health Care would cost onto that plan? You would have to add $20,000 a year on top. That`s the kind of deep cuts they have in Medicare, but get a load of how much they move the money around until it winds up in their pocket. That`s the interesting part. So, look at what Ryan`s says his plan would do. Remember the Center on Budget and Policy Priorities found the plan proposes about spending cuts at about 4.3 trillion by 2022, but Paul Ryan says, it also cuts $4.2 trillion in taxes, most of which goes straight to the rich.

So, he`s taking trillions of dollars away from programs like food stamp, Medicaid and Medicare, and giving almost the same exact amount to the top bracket in tax cuts. So voila, the money magically moves from the middle class and the poor to the rich, all in the name of so-called balancing the budget. That`s not what they`re doing at all. Now, this is exactly the kind of con game that the GOP plays all the time, and it`s something we`ll by pointing out every day right here at this point in the show. And trust me, we won`t run out of examples.

All right. Now, Donald trump is pitching himself as a great businessman, ready to turn the economy around, but the thing about facts is that there are stubborn things. And we`ll show you those facts about Donald Trump`s real business career, next.

And progressives are already making good on their promise to send Republicans packing in Wisconsin. That`s also a great story, coming up.


DONALD TRUMP, BUSINESSMAN: I have a huge business and a great business, and I`m a builder, and I`m a great builder. And that`s what this country needs. This country has to rebuild itself.


UYGUR: That, of course is Donald Trump, speaking on the “Today” show this morning. And of course he`s a great businessman. He`s Donald Trump. If anyone can turn the economy around, it`s this famous businessman, right? Well, funny thing, though, Trump`s record shows he may not be such a great businessman after all. In fact some of his companies have had serious trouble paying their bills, like in 1990, when the Trump Castle Casino defaulted.


UNIDENTIFIED WOMAN: One day after Donald Trump`s 44th birthday, no one in his organization was celebrating today. The Donald defaulted on payments of almost $20 billion due on some of the bonds used to finance one of his hotel casinos.


UYGUR: The next year, things got worse. The unpaid bills piled up, triggering a process that would soon push Trump Taj Mahal into bankruptcy.


UNIDENTIFIED MAN: When you borrow as much money as Donald Trump did, nearly $2 billion, and the economy goes into a tail spin and you can`t pay the interest on your loans, the bankers move in, and they have.


UYGUR: But I`m sure Trump must have learned his lesson, right? I mean, his casinos wouldn`t go bankrupt again, would they? Well, let`s find out and go to 2004.


UNIDENTIFIED MAN: Donald Trump`s hotels and casino resorts are in deep debt to the tune of nearly $2 billion.


UYGUR: And once again, Trump`s casinos would file for bankruptcy. Am I detecting a pattern here? You tell me. Here`s what happened in 2009, four days after Trump resigned as chairman of the board.


UNIDENTIFIED MAN: The three Atlantic City casinos once run by Donald Trump have filed for chapter 11 bankruptcy protection for the third time.


UYGUR: That`s not good. And yet, Trump keeps saying he`s a great businessman, like in 1999, when it just so happens he decided to run for president.


TRUMP: I am serious. I`ve seen what`s happened, I`ve seen polls come out that say that I would win.

UNIDENTIFIED MAN: Yes. You say this, there is no spirit in America. Why can Donald Trump give spirit to America?

TRUMP: I`ve just given spirit to everything I have done, whether it`s my business, whether it`s whatever.


UYGUR: Except for all those businesses that went bankrupt. In other words, Trump has played this joke on the country before. He`s not a serious candidate, and he`s got some seriously gaping holes in his business record, but here`s an even bigger joke, republican voters seem to be taking him seriously. Look at the new NBC/”Wall Street Journal” poll. Among 2012 republican candidates within the republican field, Trump is coming in number two at 17 percent right behind Mitt Romney. But it gets worse. Among Tea Party supporters, look at this, Trump is number one. That is really sad. Look, nothing about this guy is real. How idea logically bankrupt is the Republican Party that they turn to a man who perpetually bankrupts what he runs and then claims he`s doing a great job. Actually, come to think of it, he does sound like a republican president.

All right. With me now is Dan Gross, a columnist at Yahoo! Finance, author of “Dumb Money: How our Greatest Financial Minds Bankrupted the Nation.” All right. Dan, I want to start with this, is Trump really — what business is he in? And he seems like he`s more than the name recognition and media business.

DAN GROSS, COLUMNIST, YAHOO! FINANCE: Well, he started off as a builder. You know, his father had huge numbers of apartments, in Queens and Brooklyn, you know, un-fancy, outer borough places. He made money building Trump Tower, several other projects, but like every real estate developer and like homeowners, you know, when things are going great and you have all the credit in the world, you`re a genius, and the minute things go a little downhill and credit is hard to come by, you are on the verge of bankruptcy. And he`s been that way sort of in his personal life in the `80s.

Many of the enterprises he would involved with. He had the Trump Shuttle that he had to essentially give back to banks. These days, he`s mostly in the branding and marketing business. You know, I think his great comeback was, one of his great comeback was with “The Apprentice” which was a hit show, his books sell well. And a lot of the buildings around the country and around the world that you see with his name on them, Trump Soho, a Trump building in Ft. Lauderdale. Even the huge project on the upper west side of Manhattan that bears his name.

It`s not so much his money, his other investors who don`t have, you know, a big fancy name for themselves who bring him on for marketing purposes. And maybe he gets a stake in the company or maybe not. And he and his kids, you know, they are very adept and marketing. And this also gives him some deniability. If a venture he`s involved with goes south, goes bankrupt or can`t pay the loan, he said, you know, that really wasn`t my deal, I just put my name on it.

UYGUR: So, when people think they are buying Trump, they`re not really getting what they paid for. I mean, if they got what they paid for, it might be worse, but the reality is these companies, apparently are buying Trump`s name and just putting it on the building, whether he`s involved in building it or not, is that what`s going on in some of these projects?

GROSS: Well, in the same way you might do with Polo or Paris Hilton or anything else that has a really good name brand. Think about it, if you`re in New York where there are a gazillion fancy apartment buildings, how do you differentiate yourself? Say, you`re some sort of anonymous investor from New York or from Hong Kong, and you want to give your building some sort of position in the marketplace, well, you put Trump`s name on it. Think of all the free media he gets you. And so he does development some of his own stuff. He`s involved with golf course development. He has made a lot of money over the years certainly more than you and I or most people, but it`s largely done with other people`s money. With debt that is incurred by companies and with other people`s equity that he is able to put his name on by providing, you know, marketing support.

UYGUR: And so, Dan, to tie it back to this quizzical thing that he`s doing, pretending to run for president, which you think, he`s done before. Is that just to keep building and building and building the name, so that he can then charge more money for the name?

GROSS: I don`t think it`s that calculating. I think, you know, we`re all around people who are on TV. And once people are on TV, what do they want? They want to be on TV more. And it`s kind of like, you know, so at one point if you have your own show, you want something bigger, you want your own network, like some, you know, the Oprahs of the world or other people.

UYGUR: Right.

GROSS: And I think, you know, for people who spend a lot of their time in the media, who like the attention, I think you get to a point where you say, well, I`ve had a primetime show, where you do you go from there? And, you know, running for office, if he wasn`t running for office, would we be talking about him? Would he be on morning shows? Would he be the subject of — do you think you could say the same thing about a lot of people who are running for president, you know, whether it`s Michele Bachmann or some other people?

UYGUR: Right. No, I hear you. I`ll tell you though, if he actually does run, then this is the tip of the iceberg. Once people get into his business affairs, look at what he`s actually done, he might be a little bit in trouble in terms of that brand name. And it might not be as good as you think it is.

GROSS: Yes, I don`t think it`s the business that`s the problem, I think what he says about policy.

UYGUR: That`s a whole other game.


GROSS: We`re just going to somehow beat up China?

UYGUR: I know, that`s a crazy stuff.

GROSS: A lot of random stuff out there.

UYGUR: You`re right. That`s a whole another kind of — but Dan Gross, thank you for your expertise tonight. We appreciate it.

GROSS: Anytime.

About William Brighenti

William Brighenti is a Certified Public Accountant, Certified QuickBooks ProAdvisor, and Certified Business Valuation Analyst. Bill began his career in public accounting in 1979. Since then he has worked at various public accounting firms throughout Connecticut. Bill received a Master of Science in Professional Accounting degree from the University of Hartford, after attending the University of Connecticut and Central Connecticut State University for his Bachelor of Arts and Master of Arts degrees. He subsequently attended Purdue University for doctoral studies in Accounting and Quantitative Methods in Business. Bill has instructed graduate and undergraduate courses in Accounting, Auditing, and other subjects at the University of Hartford, Central Connecticut State University, Hartford State Technical College, and Purdue University. He also taught GMAT and CPA Exam Review Classes at the Stanley H. Kaplan Educational Center and at Person-Wolinsky, and is certified to teach trade-related subjects at Connecticut Vocational Technical Schools. His articles on tax and accounting have been published in several professional journals throughout the country as well as on several accounting websites. William was born and raised in New Britain, Connecticut, and served on the City's Board of Finance and Taxation as well as its City Plan Commission. In addition to the blog, Accounting and Taxes Simplified, Bill writes a blog, "The Barefoot Accountant", for the Accounting Web, a Sift Media publication.
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One Response to Looking at Trump’s history of bankruptcy. More trumped up rhetoric from the “Donald”.

  1. Market says:

    The year 2020 was very difficult for us. What’s next? I see that the year 2020 is following us in 2021, for the moment.

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