Deutsche Bank loaned more than $2 billion over two decades to Donald Trump before he became president despite numerous red flags about him being a risky client, according to a report.
The real estate mogul managed to secure the loans from the German bank despite his bankruptcies and exaggerations of his wealth, the New York Times reported late Monday, citing interviews with more than 20 current and former bank officials.
A number of congressional committees and New York Attorney General Letitia James have launched investigations into the relationship between Trump and Deutsche Bank.
The Times report said Trump often inflated his wealth and enticed bank officials with flights on his private jet and weekends at his Florida resort Mar-a-Lago to get loans to build skyscrapers and other high-end properties.
In turn, the bank used Trump’s celebrity to attract other clients to build its investment business.
Trump told bank officials he was worth $3 billion as he tried to get a loan in 2004 to build the Trump International Hotel and Tower in Chicago, but after reviewing his finances Deutsche concluded that he was worth about $788 million.
Despite the concerns, the bank lent him more than $500 million.
In 2010, Trump sought a $100 million loan from the bank to buy the Doral Golf Resort and Spa in Florida.
Bank officials examined his personal and corporate financial records and determined that he overestimated his real estate assets by as much as 70 percent. The loan was eventually approved.
Deutsche Bank spokeswoman Kerrie McHugh told the Times that “we remain committed to cooperating with authorized investigations.”
The White House referred questions to the Trump Organization, which declined to comment.