Trump Dad Reportedly Helped Son With $3 Million Chip Buy
ATLANTIC CITY, N.J. (AP) _ The father of developer Donald Trump bought more than $3 million in chips from one of his son’s casinos to help him make a bond payment, officials said Monday.
The story, first reported in Monday’s editions of The Wall Street Journal, details how Fred Trump gave more than $3 million to an attorney to buy the casino chips on Dec. 17 at Trump Castle Casino Resort By The Bay.
The payment gave the younger Trump enough cash to make an $18.4 million payment due bondholders in the casino and surprised analysts who said it appeared Trump lacked enough money to make the payment, officials said.
The newspaper said attorney Howard Snyder entered the casino on behalf of Fred Trump, 85, bought the chips and then walked out with a police escort.
John Sweeney, director of the state Division of Gaming Enforcement, told the newspaper that the transaction looks like a loan and that would require Fred Trump to qualify before the state Casino Control Commission.
Calls on Monday to the state Division of Gaming Enforcement seeking comment from Sweeney were not answered, as Monday was a state holiday.
However, a source who would speak only on condition of anonymity said the division is seeking an explanation from the Trump Organization about what happened. The transaction raises questions about whether the casino might have skirted state reporting requirements, the source said.
Messages left Monday with Stephen Bollenbach, chief financial officer for the New York City-based Trump Organization, were not immediately returned. Telephone calls to Trump Castle spokesman Bob Arrow were not answered.
After making the payment in December, Trump said that the Trump Organization infused a ″relatively small amount of money″ to make the Trump Castle payment. He would not specify how much.