Obama’s Dems threaten Trump over his DC hotel lease, but the GSA says ‘not so fast’

House Democrats threatened President-elect Donald Trump over potential violations on his hotel lease unless he divests all of his financial interests.

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Four Democratic lawmakers asked the General Services Administration how it planned to address the conflict of interest after the agency concluded that Trump must divest himself of all ownership interest of the Trump International Hotel in Washington D.C. or risk being in violation of his lease, CNBC reported.

“[T]he Deputy Commissioner informed our staff that GSA assesses that Mr. Trump will be in breach of the lease agreement the moment he takes office on January 20, 2017, unless he fully divests himself of all financial interests in the lease for the Washington, D.C. hotel,” the letter, signed by Reps. Elijah Cummings of Maryland, Oregon’s Peter DeFazio , Virginia’s Gerald Connolly and André Carson of Indiana, stated.

Trump Letter by zerohedge on Scribd

But the federal agency, which leases government buildings, disputed the claim.

The agency “does not have a position that the lease provision requires the president-elect to divest of his financial interests.,” a GSA spokesperson told CNBC.

“We can make no definitive statement at this time about what would constitute a breach of the agreement, and to do so now would be premature. In fact, no determination regarding the Old Post Office can be completed until the full circumstances surrounding the President-elect’s business arrangements have been finalized and he has assumed office,” the spokesperson said.

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Trump International Hotel, which opened in October, is on the site of what was once the Old Post Office Pavilion. The  Trump Organization’s 60-year lease agreement with GSA states that no “elected official of the Government of the United States … shall be admitted to any share or part of this Lease, or to any benefit that may arise therefrom.”


A news conference scheduled for Thursday to discuss the president-elect’s plans on how he would deal with his multiple businesses once he assumes office was postponed.

Earlier this week, Trump had tweeted that he planned to leave his businesses once he is sworn in as president.

Last month when he announced the initial news conference, Trump had revealed that he planned to leave his businesses to his children so he could “fully focus on running the country.”

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