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Are new Trump hotels exploiting presidency or just business?

07 June, 2017, 15:38 | Author: Paula Vaughn
  • Trump International Hotel

"There is no political thought to it", chief executive of the company's hotels division, Eric Danziger, said of the chain that will debut in MS, a state that the president won over Hillary Clinton by 18 percentage points.

"Trump Hotels is recognized for unparalleled service, meticulous attention to detail and iconic properties in world-class destinations", said Trump Hotels CEO Eric Danziger.

The Mississippi hotels are among the largest new domestic ventures for the Trump Organization since President Trump took office - and so they once again raise conflict of interest questions that have dogged his presidency.

On the same day, the Trump Organization announced that the first property of its four-star hotel line, Scion, will also open in Mississippi.

The Chawla brothers plan to convert three MS hotels now under other franchisee names to the American Idea brand, one each in Cleveland, Clarksdale and Greenville.

In an interview with ABC News that aired Tuesday, Eric Trump asserted that the Trumps have no dealings with Russian Federation and no projects with Russian Federation. That one will open in Cleveland, Mississippi. "It is really about the competence of their business organisation, their marketing ability", Chawla said, adding the partnership with Trump hotels "gives us a platform internationally".

All four MS deals are franchise agreements for hotels owned by a family-run firm headed by Indian-American brothers, Dinesh and Suresh Chawla.

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"There is no political thought to it", he said of the line starting in a state that President Trump won by about 18 points during the 2016 presidential election.

Well, now the famous family is launching a new brand in the hospitality space, and it won't bear that recognizable name on the side of the building.

President Trump's sons Don Jr. and Eric appeared on ABC's "Good Morning America" to discuss their view of their father's presidency, and the media's continued focus on the "Russia story" which Eric describes as "the greatest hoax of all time".

Chawla and his brother own 17 hotels in Mississippi. Will local governments help the developers in securing zoning changes or permits to curry favor with the president?

The rollout of the Scion chain hit a snag earlier this year because of just such conflicts issues. Chawla said he got a call from the Trump team in March this year regarding the hotel project.

"While others may choose to announce when they're in LOI [letter of intent] stage or when it came to them in a dream, we chose to do it when it is completely executed, financed and approved in a process that the Trump Organization specifically goes through".

"I wish I had their clean background", he quipped.

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