The state is less strict about collecting on debts, however, when it comes to bankrupt casinos owned by celebrity real estate developers.
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New Jersey governor Chris Christie said he plans to cast his ballot in favor of expanding casinos outside of Atlantic City and into parts of northern New Jersey. New Jersey corporate taxes went unpaid from 2002 through 2006, during which time Trump was leading the casino company as chairman.
But ater six years in court, the state agreed to accept $5 million in December 2011 – about 17 cents on the dollar of what auditors said the casinos owed, including fees and interest, the report said.
But, the Times noted, the public records do not paint a clear picture of how the agreement was reached or whether Christie – a longtime friend and now a close adviser to Trump – was even involved.
Christie spokesman Brian Murray told the Times the governor had not been aware of the tax dispute and, therefore, he could not comment on the terms of the settlement.
Christie, who endorsed Trump for president after he aborted his own presidential campaign, often touts his friendship with Trump, which dates back to when Christie was USA attorney for New Jersey in 2002. The state entertained settlement offers. The company had paid only $500 in income taxes.
The Trump casinos may not have been able to afford their long overdue taxes, but they did not turn suddenly spartan, either.
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Trump’s businesses then decided the tax did not apply to them because they were partnerships, and subsequently filed for bankruptcy for the third time in 2004. A week after the settlement was signed, Mr. Christie announced that he was appointing Ms. Dow to the counsel’s office of the Port Authority of NY and New Jersey until he could find her the judgeship that she desired.
