It has been my experience that real estate guys are generally of a kind. They like to leverage up and often think they are smarter than they actually are. They’ll ride a rising tide and then crash on the rocks when the economy deteriorates. (But this is certainly not always the case.)
Real estate can also be an extremely crony business. Who gets what permit? Do the union construction guys show up on a particular day? What of the homes (and sometimes lives) demolished to make way for a new development? Then imagine doing business in a place like Azerbaijan.
Trump’s a real estate guy. This is an interesting story.
(From The Daily Mail)
Trump’s lawyer, Garten, who was in the room at the time of Trump’s statement, told the AP that it was unreasonable to expect Trump to know the full range of the company’s diligence efforts.
Any American contemplating a business venture in Azerbaijan faces a risk: “endemic public corruption,” as the State Department puts it. Much of that money flows from the oil and gas industries, but the State Department also considers the country to be a waypoint for terrorist financiers, Iranian sanctions-busters and Afghan drug lords.
The environment is a risky one for any business venture seeking to avoid violating U.S. penalties imposed against Iran or anti-bribery laws under the U.S. Foreign Corrupt Practices Act.
ACC is a completely non-partisan organization. We do not support/endorse or oppose any candidate for office. We believe that both major parties are heavily influenced by special interests and will report on crony capitalism wherever and whenever we see it.