Tricky Government Contracts and the Kushner Empire – Ethicists Welcome News…

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https://therealdeal.com/2017/05/10/kushner-companies-scraps-planned-orthodox-jewish-community-in-jersey-city/

Kushner Companies scraps planned Orthodox Jewish community in Jersey City

Had it been granted the $150M bid, the company could have built 8,100 homes at formerly contaminated Bayfront site

UPDATED, May 10, 12:30 p.m.: Kushner Companies was the leading bidder on an industrial site called Bayfront in Jersey City that would become home to a planned Jewish community geared toward members of Orthodox sects who are being priced out of Williamsburg, Brooklyn.

But when Bloomberg reporters asked company spokesperson James Yolles about the bid on Tuesday, Yolles said that the company already dropped any intentions it had to buy the site from Honeywell and Jersey City for $150 million. An unnamed Kushner employee also told the news site that these plans were dropped late last year, but the office of Jersey City Mayor Steven Fulop said it was unaware of this and has yet to receive any word of Kushner’s withdrawal from consideration.

It’s unclear if the Kushners decided to abandon the project for ethics reasons, but Honeywell, a Fortune 100 list conglomerate, has billions in government contracts that could prove tricky in any dealmaking tied to the Kushners. The development would likely also require federal subsidies to improve the infrastructure within and surrounding the site. “It’s a good sign that they are pulling out,” Larry Noble, general counsel of the Campaign Legal Center, told Bloomberg. “Though the question is whether or not it’s just because of the publicity or because they actually see there is a potential conflict of interest in these situations.”

In a statement to The Real Deal, Yolles said “a decision was made late last year not to pursue the project because the company was not persuaded by the economics of the deal.”

Last weekend, the company made front page news when White House senior adviser Jared Kushner’s sister Nicole promoted a Jersey City project at One Journal Square to Chinese investors. The sales pitch made mention of Kushner Companies’ ties to the White House and Nicole told the audience the project was “important” to her entire family. It was later reported that the project in question is going through a rough spot, losing an anchor tenant in WeWork and at risk of losing a key 30-year tax abatement.  [Bloomberg]  — Will Parker

 

To read the article in TheRealDeal click here.

 

See Also:

National Real Estate Investor: http://www.nreionline.com/investment/kushners-abandon-property-bid-pressures-mount-over-conflicts

Kushner Partner Conflicts – Bribery Cases

THE NEW YORK TIMES: https://www.nytimes.com/2017/04/26/us/politics/jared-kushner-beny-steinmetz.html?hp&action=click&pgtype=Homepage&clickSource=story-heading&module=first-column-region&region=top-news&WT.nav=top-news&_r=1

Bribe Cases, a Secret Jared Kushner
Partner and Potential Conflicts

President Trump’s son-in-law, a top adviser, had help building a real estate empire from a member of one of Israel’s wealthiest families.

It was the summer of 2012, and Jared Kushner was headed downtown.

His family’s real estate firm, the Kushner Companies, would spend about $190 million over the next few months on dozens of apartment buildings in tony Lower Manhattan neighborhoods including the East Village, the West Village and SoHo.

For much of the roughly $50 million in down payments, Mr. Kushner turned to an undisclosed overseas partner. Public records and shell companies shield the investor’s identity. But, it turns out, the money came from a member of Israel’s Steinmetz family, which built a fortune as one of the world’s leading diamond traders.

A Kushner Companies spokeswoman and several Steinmetz representatives say Raz Steinmetz, 53, was behind the deals. His uncle, and the family’s most prominent figure, is the billionaire Beny Steinmetz, who is under scrutiny by law enforcement authorities in four countries. In the United States, federal prosecutors are investigating whether representatives of his firm bribed government officials in Guinea to secure a multibillion dollar mining concession. In Israel, Mr. Steinmetz was detained in December and questioned in a bribery and money laundering investigation. In Switzerland and Guinea, prosecutors have conducted similar inquiries.

The Steinmetz partnership with Mr. Kushner underscores the mystery behind his family’s multibillion-dollar business and its potential for conflicts with his role as perhaps the second-most powerful man in the White House, behind only his father-in-law, President Trump.

Although Mr. Kushner resigned in January from his chief executive role at Kushner Companies, he remains the beneficiary of trusts that own the sprawling real estate business. The firm has taken part in roughly $7 billion in acquisitions over the last decade, many of them backed by foreign partners whose identities he will not reveal. Last month, his company announced that it had ended talks with the Anbang Insurance Group, a Chinese financial firm linked to leading members of the ruling Communist Party. The potential agreement, first disclosed by The New York Times, had raised questions because of its favorable terms for the Kushners.

Photo

Beny Steinmetz (center, with gray tie) and his brother, Daniel, (gold tie) at a Vanity Fair party at the Natural History Museum in London in 2005. Credit Dafydd Jones

Dealings with the Steinmetz family could create complications for Mr. Kushner. The Justice Department, led by Trump appointees, oversees the investigation into Beny Steinmetz. Even as Mr. Kushner’s company maintains extensive business ties to Israel, as a top White House adviser, he has been charged with leading American efforts to broker peace in the Middle East as part of his broad global portfolio. A White House spokeswoman did not respond to a request for comment.

‘A Terrific Partner’

Representatives for Mr. Kushner and the Steinmetzes put distance between Raz Steinmetz and his uncle, Beny. Risa Heller, a spokeswoman for the Kushner Companies, called Raz “a terrific partner,” and added: “He is the only Steinmetz that we have done business with.”

In a statement provided by his attorney, Raz Steinmetz said: “None of my investment entities has invested in any transactions with Beny Steinmetz or any of his interests.” Louis Solomon, an attorney at Greenberg Traurig LLP, who represents one of Beny Steinmetz’s companies, said any business relationships between Raz and Beny were two decades old, and said the two men had not had contact since 2013.

The two men, as well as Daniel Steinmetz, who is Beny’s brother and Raz’s father, have controlled their own companies. But some of their financial interests — ranging from diamonds to real estate — have been entwined over the years. Records reviewed by The Times show that they have shared offshore investment vehicles, employed the same company director and were once connected to the same Swiss bank accounts.

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Kushner Family – A Platinum Valued Connection – Have You been Paying Attention????

 

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[Originally reported in the New York Post on September 12, 2016]

Family of Trump’s son-in-law linked to hedge fund probe

The troubled New York hedge fund that is plaguing the city prison guards’ union has also ensnared the family of Donald Trump’s son-in-law Jared Kushner, The Post has learned.

Hedge fund firm Platinum Partners, which is being investigated by Brooklyn federal prosecutors, was short on cash and desperately borrowing money in the days leading up to the June arrest of one of its co-founders, documents shows.

Among the people it turned to for cash were Marisa and Richard Stadtmauer, the aunt and uncle of Jared Kushner, according to a document from Platinum’s court-appointed liquidator, a copy of which was obtained by The Post. Kushner is married to Trump daughter Ivanka.

On May 27, Marisa Stadtmauer loaned Platinum $4.1 million, the liquidator said. It got another $6.4 million from Richard Stadtmauer, the brother of Kushner’s mother, Seryl, and former vice chairman of family’s real estate empire, Kushner Companies.

Platinum, which is headquartered in Manhattan, also received a $2.3-million loan from the National Society for Hebrew Day Schools the same day it borrowed money from the Stadtmauers, the document said.

Rabbi Zvi Bloom, executive director of the national educational organization, did not return a request for comment.

Shortly after the loans were made, Platinum’s co-founder and Stadtmauer’s pal, Murray Huberfeld, was arrested and charged with bribing Norman Seabrook, the head of the NYC prison guards’ union for a $20 million investment.

Seabrook was also arrested and relieved of his post as head of the Corrections Officers’ Benevolent Association.

Stadtmauer didn’t return requests for comment about the money, which was revealed in a court document filed by liquidation firm RHSW Caribbean, which has taken over Platinum’s flagship fund at the direction of a judge in the Cayman Islands, where the fund is registered.

His chances of being repaid are looking slim.

At the time of the loan, the flagship fund — which makes up the bulk of Platinum’s $1.3 billion in assets — had just $68,530 in cash.

The cash pile has since grown to $881,976, RHSW said. Still, it’s not enough to make a dent to the $365 million Platinum ‘s flagship fund owes Wall Street traders and other lenders, RHSW said.

Stadtmauer and Huberfeld’s ties go back more than a decade as investors in NorCrown Bank, a Livingston, N.J., bank controlled by Kushner’s dad Charles.

 

To read more click here.

A Platinum Reality – Has the Passage of Time Taught us Nothing? – 2005 NorCrown – Another Fraud

David Bodner, Murray Huberfeld and Charles Kushner – Enforcement Actions – Have we Learned Nothing?

People don’t change. Their moral compasses do not suddenly become righted. They don’t go from being serial fraudsters and morally bankrupt to charitable and altruistic. Opportunism is opportunism and that will not change, particularly as history has played out in regard to Murray Huberfeld, David Bodner and the rest of the Platinum Partners cast of characters. The scenarios of changed but the pattern of fraud has remained the same as has the ability to shield themselves from punitive consequences.

Murray Huberfeld has been credited with his “Philanthropy” but the money that he so “generously” gives away is nothing short of blood money garnered and obtained off the backs of his victims. As we see it, he is no altruist, he is an opportunist to the very core of his being.

David Bodner, while cleverly managing to remain in the shadows, is no less the player in the fraud game and contemptible. In our view, he has simply managed to hide it in a level of polish lacking in Huberfeld. 

Charles Kushner would need far more than one article to analyze. Unlike Huberfeld and Bodner, he has paid some dues for his reprehensible financial dealings. We must admit that we do find it somewhat questionable that Kushner’s links to Trump did not get addressed during the most recent presidential election…. a discussion for another day, but certainly the basis for significant speculation.

Huberfeld, while being blatant in his financial abuses, has managed to shield himself and his money, from those whom he has defrauded for years. He likely has an arsenal of cash and diamonds hidden for him and his family in trusts and other vehicles that have loopholes making them untouchable. 

Is it not about time that we look to the patterns of history to unwind the events of today?

2005 

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Murray Huberfeld, David Bodner, Charles Kushner and the Federal Reserve Bank

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How do Murray Huberfeld, David Bodner and their related Foundations always Escape Unscathed?

LostMessiah, August 8, 2016

Several months ago we authored an article about the Rothstein Ponzi scheme. Hidden within the depths of that scheme are Huberfeld, Bodner, their wives and related foundations. While it would have stood to reason that they would have been found guilty by virtue of their involvement, somehow they were made out to be the victims. We are still looking for explanations for that mystery.

In 2005, Charles Kushner was sentenced to two years in federal prison for, amongst other things: extortion, fruad SEC violations, banking and regulatory violations and other crimes. He was also fined $12.5M for violating federal laws when he purchased NorCrown bank almost 10 years earlier, in 1995. 

Kushner pleaded guilty to 18 counts. He admitted to hiring prostitutes to seduce his brother-in-law, then sent the photos to his sister to prevent his brother-in-law from testifying against him. We will not even begin to address the moral bankruptcy of those tactics. But in our world, you just can’t make this stuff up. 

Interwoven within the Kushner conviction however, we have highlighted in red below, is the involvement of Murray Huberfeld, David Bodner and their related foundations. Like many instances of wrongdoing that follow, Huberfeld and Bodner seem to escape unscathed while their business associates take the blame, pay fines or wind themselves up in jail.

We do not believe this is the first example of such a scenario but we are absolutely certain it is not the last.

We post this article and the information that follows to ask for help filling in missing links. We have been told by friends in the finance world that not only did the 2001 terrorist bombings of the World Trade Center end thousands of lives, but it also destroyed the records of an investment firm, Cantor Fitzgerald, which held secrets regarding Huberfeld and potentially Bodner. Whether or not this is the source of legend, remains to be seen.

We have been told in Jewish social circles that Huberfeld lives a gluttonously lavish lifestyle and at some point in the early 2000’s was quite relieved that those records burned, despite the tragedy that surrounded their destruction. We have been told that Huberfeld enticed investments by preying on the starstruck who were only so willing to invest in his strategies because they believed in him, much like Madoff’s investors felt about him.

We are asking for anyone who has information on the early years of Huberfeld’s and Bodner’s activities to please send them along to our gmail account. We are piecing together puzzles little-by-precious little. It is our hope to one day return some of the money to you, our readers, who lost money to Huberfeld, Platinum, the investments that came before. It is our hope to somehow dig up the evidence of the Ponzi schemes that remain buried within the ash and rubble that was once Cantor Fitzgerald – World Trade Center branch.

We recognize that Huberfeld’s supporters will say that he gives so much to charity now. He does so much good with his money, how can we fault him for what he did wrong. For those of you who want to voice those comments, you may as well save them. If he stole from his friends to give to other friends to advance his causes, he does not have a shred of decency in him. We do not believe that one can commit crimes of that magnitude and find redemption by giving it to charity.

   

http://jewishwhistleblower.blogspot.com/2005/02/pornographer-charles-kusher-fined-125m.html

TRENTON — Multimillionaire real estate developer Charles Kushner, who faces two years in federal prison for extortion, tax fraud and other crimes, was ordered Thursday to pay at least $12.5 million in fines for violating federal laws when he bought NorCrown bank Continue reading