Trump Organization accounting firm says it can no longer vouch for company’s financials
Accounting firm Mazars USA said the Trump Organization’s nine-year financial statements could no longer be considered reliable, according to a letter released Monday by New York Attorney General Letitia James as part of of his civil investigation into the former president. business.
Mazars also said it will no longer work with the Trump Organization, which means the company may need to obtain new financial statements that could complicate its ability to secure loans.
In a letter from Mazars Group General Counsel William J. Kelly to Trump Organization Chief Legal Officer Alan Garten, the audit firm said its work from 2011 through 2020 “should not be relied upon.”
“We are writing to advise you that Donald J. Trump’s Statements of Financial Disposition for the years ending June 30, 2011 – June 30, 2020 should no longer be relied upon and you should advise all recipients who currently rely on one or more of these documents that these documents should not be relied upon,” Kelly wrote in a letter released Monday by James.
Kelly said “this conclusion is based, in part, on documents filed by ‘James’ office and ‘our own investigation, as well as information received from internal and external sources.’
“Although we have not concluded that the various financial statements, taken together, contain material differences, based on the totality of the circumstances, we believe that our advice to no longer rely on these financial statements is appropriate. “, according to Kelly.
A representative for the Trump Organization could not immediately be reached for comment on Monday.
James has been engaged in a years-long investigation of Trump’s company, trying to determine whether the former president accurately represented his financial situation when applying for loans or limiting his tax liability.
Mazars now says he has reached a point where “there is an irrevocable conflict of interest with the Trump Organization” and they can no longer do new work for the company.
With Trump’s longtime accounting firm cutting ties, the former president and reality TV star will now have to find new accountants to review his personal records during any future presentations to a bank or insurance company, a decision that could affect its ability to obtain future loans.
This is a developing story, please refresh here for updates.
David K. Li contributed.