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Trump hotel starts 'inaugural tradition' amid ethics concern

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AP Washington
Red, white and blue balloons rained down over crystal chandeliers in the soaring atrium of the Trump International Hotel at midnight in "a new inaugural tradition," its social media account promised.

But while President Donald Trump's hotel in Washington did serve as a hub of Friday's inaugural activities, it also stands as ground zero for what top Democrats and some ethics advisers see as his unique web of conflicts of interest.

Trump's lease with the federal government to develop and operate a hotel inside the historic Old Post Office building expressly prohibits any elected official from benefiting from the property, yet Trump has not divested from his company or this particular project.
 

The government's General Services Administration previously said it would refrain from commenting on the apparent contract violation until Trump took office, which he did at noon Friday. The agency did not respond to requests for comment.

"I think it's a simple matter of amending the lease," said Patrick Keogh, a real estate investor in Austin, Texas, who has developed projects for the GSA and other federal agencies. He said Ivanka Trump, the president's daughter and chief negotiator on the hotel, should ask the GSA to exempt her father from that provision of the contract. The GSA should make the process public and transparent, Keogh said.

Others say Trump must relinquish ownership of the hotel.

More broadly, they argue, Trump should sell off his company and put the cash into a blind trust as previous presidents have done. He is not legally required to do so, but it's become common for presidents to separate themselves from their personal finances to avoid any possible conflicts with national policy.

The liberal-funded watchdog group Citizens for Responsibility and Ethics in Washington complained to the GSA that it should terminate its deal or take legal action because the president had violated the conditions of the lease.

The American Civil Liberties Union said it had filed a Freedom of Information Act request for documents about Trump's conflicts of interest, including any recent memos, emails and other private communications on the issue with his transition team.

The Washington hotel also attracted protesters on Friday and Saturday. People participating in the women's march Saturday booed in unison as they walked by, and many left their protest signs in front of the building.

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First Published: Jan 22 2017 | 2:22 PM IST

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