Prosecutors Said to Seek Kushner Records From Deutsche Bank

Prosecutors Said to Seek Kushner Records From Deutsche Bank

2017-12-23 00:32:52

But Deutsche Bank does not appear to have been involved in Kushner real estate projects financed through the EB-5 program. That suggests the prosecutors’ subpoena may be unrelated to the visa program. “We are unaware of any inquiry directed at Deutsche Bank from the E.D.N.Y. and have no reason to believe there is one,” said a spokeswoman for the Kushner Companies, referring to the Eastern District of New York.

A subject of a subpoena wouldn’t necessarily know that the subpoena had been served on a bank or other institution.

The Kushner family has longstanding ties to Deutsche Bank. A financial disclosure form that Mr. Kushner filed with the government shows he and his mother have a line of credit from Deutsche Bank worth $5 million to $25 million. The bank also provided a $285 million mortgage to Kushner Companies last year to help it refinance a loan to buy several floors of retail space in the former New York Times building on 43rd Street in Manhattan.

Mr. Kushner’s company bought the space from Africa Israel Investments, a company owned by Lev Leviev. Mr. Leviev’s company has an extensive real estate portfolio in Russia.

Mr. Kushner was interviewed last month by investigators working for Mr. Mueller. Mr. Kushner answered questions about Michael T. Flynn, the former national security adviser, according to a person briefed on the interview.

The interview, and the subpoena of Deutsche Bank, does not mean Mr. Kushner is suspected of wrongdoing. Defense lawyers typically do not consent to such interviews if they believe their clients are the target of an inquiry.

Separately, Mr. Mueller’s office has subpoenaed Deutsche Bank for records related to Paul J. Manafort, a former campaign chairman to Mr. Trump, said people briefed on that subpoena. Mr. Manafort, who was indicted in October, is accused of money laundering.

Deutsche Bank served as a so-called correspondent bank, routing money from a foreign bank to Mr. Manafort’s United States account, according to one of the people briefed on the matter.

Deutsche Bank is also a big lender to Mr. Trump’s companies, though Mr. Mueller has not subpoenaed the bank for information about those accounts, according to people familiar with subpoenas that Deutsche Bank has received.

Mr. Trump’s lawyers have said publicly that they have been assured that Mr. Mueller has not subpoenaed bank records related to him or his family. People close to Mr. Kushner, who declined to be named, said they do not think he is in jeopardy from Mr. Mueller’s investigation.

In a statement, a Deutsche Bank spokeswoman said the bank “takes its legal obligations seriously and remains committed to cooperating with authorized investigations into this matter.”

Before Deutsche Bank got the recent subpoena, Kushner Companies had received inquiries from the Brooklyn prosecutors about its use of the EB-5 visa program on a pair of luxury apartment towers in New Jersey.

“EB-5 is a longstanding federal program that is frequently used by many large developers to raise funds and help create jobs,” Kushner Companies’ general counsel, Emily Wolf, said in a previous statement. “Kushner Companies utilized the program, fully complied with its rules and regulations and did nothing improper.”

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