Add this to Donald Trump's conflicts of interest. Politico writes:
Four Democratic members of Congress say the General Services Administration has concluded that President-elect Donald Trump will be in violation of the lease for his luxury Washington D.C. hotel when he is sworn in on Inauguration Day, unless he divests all financial interest in the project.
The new Trump International Hotel sits on federal property and is operated under a 60-year lease issued by GSA, but a provision in the deal prevents any "elected official" from being "admitted to any share or part of this Lease or to any benefit that may arise therefrom."
In a letter to GSA administrator Denise Turner Roth, Democratic lawmakers wrote Wednesday that they were told by the GSA's deputy commissioner Trump would 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."
Last month, GSA — which is effectively the federal government's landlord — issued a statement saying it "plans to coordinate with the president-elect’s team to address any issues that may be related to the Old Post Office building.” However, the lawmakers say the GSA official who met with Congressional staff Dec. 8 said the agency got no substantive response from the transition team after alerting them to the issue.
No substantive response? What about that tweet pledging that "no new deals" would be done while Trump’s in office? That seemed air tight.
Needless to say, how this will be resolved is unclear, especially if Trump refuses to divest. Some lawyers say the matter would go before an independent board of judges, while others say it could go to court. Transferring Trump's 77 percent stake in the hotel to his children may or may not solve the issue.
But one way or the other, this will likely be painful for Trump. Just one more thorn in his side.