Deutsche Bank Faces DOJ Subpoena Over Trump-Russia Probe
Deutsche’s relationship with Trump and questions about hundreds of millions in loans have dogged the German bank and the White House for months, abd now, ‘according to sources’ reported by The Guardian, Robert Mueller’s team and Trump’s bankers have established informal contacts and formal requests for information are forthcoming.
According to an analysis by Bloomberg, Trump now owes Deutsche, his biggest creditor, around $300m. He has four large mortgages, all issued by Deutsche’s private bank. The loans are guaranteed against the president’s properties: a new deluxe hotel in Washington DC’s old post office building, just around the corner from the White House; his Chicago tower hotel; and the Trump National Doral Miami resort.
The Guardian reports that executives inside Deutsche Bank, Donald Trump’s personal bankers, are expecting that the bank will soon be receiving subpoenas or other requests for information from Robert Mueller, the special counsel who is investigating possible collusion between the Kremlin and the Trump campaign.
A person close to the matter who spoke to the Guardian on the condition of anonymity said that Mueller’s team and the bank have already established informal contact in connection to the federal investigation.
The Guardian reported in February that the bank launched a review of Trump’s account earlier this year in order to gauge whether there were any suspicious connections to Russia and did not discover anything suspicious.
Nevertheless, the bank has been the subject of intense scrutiny among some Democrats on Capitol Hill, who have demanded the bank turn over detailed information about the president’s accounts.
The requests for information from Maxine Waters, the top Democrat on the House financial services committee, have focused on whether any Russian entities may have provided financial guarantees for the loans that were made to the president or his immediate family members.
While Deutsche Bank did engage in banking transactions with Russian banks as late as 2005, including some loan activity, a person familiar with the matter said the activity was not related to Trump’s accounts or his family.
Any move by Mueller’s team to pursue Trump’s personal financial record comes as the bank continues to negotiate a settlement with the Department of Justice over its so-called mirror trading scheme, in which the bank’s former Moscow branch is alleged to have allowed $10bn to flow out of Russia. Democrats on Capitol Hill have been demanding answers about who might have benefited from the scheme.
As a reminder, Deutsche has been fined more than $6bn in connection to compliance failures since 2015.
Finally, The Guardian reports that a person close to the matter said other financial institutions with ties to Trump would also likely receive requests for information from Mueller’s team, including Bank of America.