Court Rules Against Trump's Business in Fraud Case Stemming from Sale of Controversial Hotel

A federal court in Manhattan on Monday ruled against President Donald Trump’s private business, finding that a former business partner could pursue fraud claims stemming from allegations that the president’s company evaded income taxes and under-represented expenses at its scandal-plagued Panama hotel and condominium complex.

The plaintiffs, Ithaca Capital Investments (Capital), purchased a majority of the units in the Panama project in 2016, nearly two years before the Trump International Hotels Management (Trump International) entirely withdrew from the project, which is now JW Marriott.

In a 26-page opinion, U.S. District Judge Edgardo Ramos ruled that Ithaca could amend a previous lawsuit to add fraud claims against Trump International alleging the company induced purchase of a majority of the units by fraudulently misrepresenting the hotel’s performance. Ramos also dismissed Trump International’s counterclaims of breach of contract and fraudulent concealment and inducement against Ithaca.

According to the complaint, Trump’s company repeatedly provided Ithaca with false information while the company was conducting due diligence on the hotel’s financials prior to a potential purchase.



https://lawandcrime.com/lawsuit/court-rules-against-trumps-business-in-fraud-case-stemming-from-sale-of-controversial-hotel/?fbclid=IwAR2jwSBf-1Ec_34Y6wXjq5k15P_hYGIPWgLrhiOciY4l9ZM4KP0F5GELM-g