Is that a scandal we smell? The Trump Organization may be in hot water over alleged new IRS filings that don’t seem to add up. In reported new research, it appears as though large amounts of money were funneled back into the Trump Organization, while donors thought their contributions would be sent to charity.
The Trump family may have some explaining to do over new claims that they could have been untruthful about where donor money was being placed. The Eric Trump Foundation reportedly paid President Donald Trump‘s businesses $1.2 million between 2007 and 2015 for costs related to the non-profit foundation’s annual charity event at the Trump National Golf Club [in Westchester County, New York], according to SF Gate.
Eric Trump reportedly told Forbes that the Trump Organization [which he now runs] granted his foundation permission to use the golf course at zero cost, and paid for a majority of the expenses for the golf tournament.
However, IRS filings [reportedly discovered by Forbes] claim that Eric’s story doesn’t exactly add up. The Trump National Golf Club reportedly charged Eric’s foundation with hundreds of thousands of dollars from 2007-2015 for the day-long event. Nonetheless, donors for the event were guided to believe that a large sum of their contributions would go to the foundation’s cause, which is children’s cancer research.
A discovery from the report claims that “more than $500,000 of the money raised by the Eric Trump Foundation was actually re-donated to other charities, including four groups that later paid to host golf tournaments at Trump properties.” A second finding claims that “in one instance, the Donald J. Trump Foundation donated $100,000 to the Eric Trump Foundation, money that was then redirected to Trump’s businesses to pay for the golf tournament costs.” [via SF Gate from Forbes].
At one time, the Trump Organization did cover the event’s expenses. Though, according to a source close to the event, it was the President, 70, who allegedly made the call for the Trump Organization to begin charging Eric’s foundation for the event in 2007.
“Mr. Trump had a cow. He flipped. He was like, ‘We’re donating all of this stuff, and there’s no paper trail? No credit?’ And he went nuts. He said, ‘I don’t care if it’s my son or not — everybody gets billed,'” Ian Gillule, the former membership and marketing director at Trump National, Westchester, told Forbes.
And, here is where things really come into question. According to Forbes‘ reports, the amount of money that the Trump Organization charged Eric’s foundation through the years [2007-2015] drastically increased from year to year. The costs went up and down with a difference of hundreds of thousands of dollars. To make matters worse, there is no apparent explanation for the extreme differences in costs through the years, according to golf tournament experts and former employees at the Trump golf club.
Here is a piece of data from the report that shows the fluctuation in costs over the years: “The first four yearly tournaments cost about $50,000 each. But in 2011, the costs jumped from $46,000 to $142,000. After dropping back down to $59,000 in 2012, the costs again rose to $230,000 in 2013, $242,000 in 2014, and $322,000 in 2015.” The data also points out that IF the reports are factual, “this activity violates federal and state law.”
HollywoodLifers, do you think the Trump family were involved in illegal activity?