Former Deutsche Bank managing director, Dave Williams, testified on Tuesday in the ongoing $250 million civil fraud trial against former US President Donald Trump. The trial, initiated by New York Attorney General Letitia James, centers around allegations that Trump deliberately misrepresented the value of his properties to secure loans and tax breaks.
Responding to questions from Trump’s lawyers, Williams stated, “I don’t believe that is possible,” when asked if he could calculate Trump’s precise net worth. He emphasized the subjectivity in reporting an individual’s net worth. Williams’ testimony aligns with Trump’s defense, which denies intentional inflation of the Trump Organization’s value for fraudulent purposes.
Williams further informed the court that Deutsche Bank adopted a conservative approach in estimating Trump’s assets. “We expect clients provide information to be accurate,” he asserted, highlighting the reliance on clients’ accuracy. He added, “It’s not an industry standard that these financial statements are audited,” emphasizing differences in opinions on asset valuation within the industry.
The civil trial alleges that Trump habitually misrepresented property values to secure favorable loan terms and tax advantages. Prosecutors claim Trump inflated his net worth by billions of dollars to deceive lenders.
New York Attorney General Letitia James seeks $250 million in damages and a permanent ban on Trump doing business in the state. James described the alleged scheme as “the art of the steal” in her opening statement.
Trump, consistently denying any wrongdoing, dismisses the case as a politically motivated “witch hunt.” His defense contends that estimating real estate values involves subjectivity and that his financial statements were done in good faith.
Williams, who has worked on Trump’s accounts since the late 1990s, revealed Deutsche Bank’s cautious approach due to Trump’s record of exaggerations. Despite internal red flags, the bank deemed Trump a risky client and lent him over $2 billion over two decades.
Trump’s fluctuating net worth, with opaque finances and numerous LLCs, has long perplexed journalists and investigators. Forbes, which once ranked him among the wealthiest billionaires, steadily downgraded estimates after he took office. In 2021, Forbes calculated his net worth at just over $2 billion—75% less than his claims.
The trial has unveiled discrepancies between Trump’s financial statements and internal valuations. Prosecutors allege Trump provided different figures to lenders and tax authorities to maximize personal benefit.
Trump’s lawyers argue that real estate valuation is subjective, emphasizing that the figures on Trump’s statements aligned with those given by his accountants and outside appraisers. Williams echoed this defense, stating that Deutsche Bank considered market data, cash flow projections, and collateral, and never relied solely on Trump’s financial statements when extending loans.
As the trial unfolds, the challenge of pinpointing Trump’s exact net worth remains, reflecting the complex nature of his financial history and dealings.
