Donald J. Trump’s longtime accounting firm cut ties with him and his family business last week, saying it could no longer stand behind a decade of annual financial statements it prepared for the Trump Organization, court documents show.
The decision, which was disclosed to the company in a Feb. 9 letter from the accounting firm, comes amid criminal and civil investigations into whether Mr. Trump illegally inflated the value of his assets. The firm, Mazars USA, compiled the financial statements based on information the former president and his company provided.
The letter instructed the Trump Organization to essentially retract the documents, known as statements of financial condition, from 2011 to 2020. In the letter, Mazars noted that the firm had not “as a whole” found material discrepancies between the information the Trump Organization provided and the actual value of Mr. Trump’s assets. But given what it called “the totality of circumstances” — including Mazars’ own investigation — the letter directed the Trump Organization to notify anyone who received the statements that they should no longer rely on them.
The statements, which Mr. Trump used to secure loans, are at the center of the two law enforcement investigations into whether Mr. Trump exaggerated the value of his properties to defraud his lenders into providing him the best possible loan terms.
Mazars’ acknowledgment that the statements were fundamentally flawed was a potential blow to the…
