Law firm sees conflict of interest
Trump’s auditors throw out
2/15/2022 2:37 am
The New York Attorney General has been investigating the Trump empire since 2019. As a result, the auditing firm terminated the business relationship with the ex-president’s group. The law firm warns that the balance sheets of the last decade are no longer reliable.
Ex-US President Donald Trump’s long-standing auditing firm has ended its collaboration in the course of the investigation into his corporate empire and revoked financial reports. The end of the business relationship is due to an “unavoidable conflict of interest,” according to a letter from Mazars to the Trump Organization. This emerges from court documents from Monday (local time).
The auditors also conclude that the annual financial statements for the period between June 2011 and June 2020 are “no longer reliable”. The company advised the Trump Organization to notify recipients of the financial statements. “Although we do not “We have concluded that the various financial statements as a whole contain material inconsistencies, given the aggregate of the circumstances we believe that our advice to you that you no longer rely on these financial statements is reasonable,” the letter read February 9th.
The auditors had prepared the financial statements based on information provided by Trump and his company. In a statement, the Trump Organization said it was disappointed with the auditors’ decision. However, she regards the letter as confirmation “that the company’s work was carried out in accordance with all applicable accounting standards and principles and that these balance sheets do not contain any material discrepancies,” the company quoted “New York Times” from the statement. The investigations of the public prosecutor’s office are superfluous, it says.
The New York prosecutor’s office accuses Trump’s corporate empire of fraudulent business practices. The aim of these practices was to get a “variety of economic benefits”, such as insurance protection or tax deductions, said New York Attorney General Letitia James. “As the most recent filings show, there is mounting evidence that Donald J. Trump and the Trump Organization used fraudulent and misleading financial reports to gain economic advantage,” Democrat James said Monday. The comprehensive investigation is about, among other things, the suspicion that Trump’s company has given false information about the value of its real estate.