Deutsche Bank is being looked into by finance regulators for giving the Trump family hundreds of loans over the past 20 years, it has been claimed.
Three people told The New York Times anonymously on Wednesday that the loans, which are worth billions, were being examined.
Deutsche Bank has also been contacted informally by members of special prosecutor Robert Mueller’s team of investigators in relation to his ongoing probe in to the White House’s links with Russia, they said.
According to the unnamed sources, there is no connection between Trump’s business accounts at the bank and Russia.
Deutsche Bank has its Russian connection. It was previously fined hundreds of millions of dollars by regulators in the US and UK for flouting compliance laws and appearing to allow Russian customers to carry out money laundering.
Democrats have previously voiced concern over the fact that the president holds hundreds of millions of dollars of personal debt with the bank despite its murky ties to Russia.
Sources close to the issue said there was no connection whatsoever between Trump’s accounts and Russian money but the possibility of industry scrutiny adds another dimension to the president’s complex history with the German bank.
Deutsche Bank is facing scrutiny from industry regulators for giving the Trump family hundreds of loans over the past 20 years, sources from within the bank have claimed
President Trump (pictured on Wednesday) borrowed from both the bank’s real estate lending division and its personal wealth division to prop up his business empire
President Trump has long relied on Deutsche Bank for loans to keep his real estate empire afloat.
In the 1990s, he turned to the German institution for support after being turned down by American institutions.
Trump fell into a dispute with Deutsche Bank’s real estate lending division over a loan he took out to build Trump Tower Chicago in 2008
He borrowed billions to prop up his growing global empire but the relationship hit a stumbling block in 2008.
Trump had secured a $640million loan from Deutsche Bank’s real estate division to fund the construction of Trump Tower in Chicago.
When the bank came calling for a $40million payment, he reneged and instead sued the bank for $3billion, claiming it was partially to blame for the Global Financial Crisis which had rendered him unable to meet the loan requirements.
Eventually, the dispute was settled by borrowing from the private wealth division but it’s not clear why that branch ever granted him a loan given the ongoing problems.
He continued to receive loans from the private wealth division afterwards.
Ivanka and Jared Kushner are also customers with the German bank.
Kushner secured his own business loan that was worth $285 million. It came just before election day and was granted to Kushner’s self-titled real estate firm.
He and his mother also have a line of credit with the bank which extends to $25million, The New York Times sources claimed.
Jared Kushner is also a customer of the bank. He and his mother Seryl (right) have a $25million line of credit with it, according to the report
In May, the U.S. House Financial Services Committee urged the bank to audit Trump’s accounts with them at the height of the investigation into whether Deutsche Bank had allowed money laundering.
They questioned why the Trumps had been granted so many loans over so many years despite the president’s history with the real estate lending division and said the very fact he still had debt with them raised concerns.
Investigators from Robert Mueller’s Russia investigation have also been in touch with the bank, sources said
Joe Crowley, chair of the House Democratic Caucus, said at the time: ‘President Trump’s web of global financial entanglements are of serious concern.
‘When a foreign-owned bank that is under investigation by the Department of Justice holds hundreds of millions in personally-guaranteed debt for the president, that is problematic for ethical, diplomatic, and judicial reasons.
Maxine Waters, the House Rep. for California and one of Trump’s most vocal critics, said the committee could not be sure that the loans were not propped up by Russian money.
The Justice Department launched an investigation in to the bank but it was closed within days of Trump-appointed Attorney General Jeff Sessions taking office in February.
Deutsche Bank said it had conducted its own review of Trump’s accounts before he took office.
In June, it requested more time before returning details of that internal investigation to the U.S. House Financial Services Committee.