Bondholders Want Trump Blocked From Casino Company Takeover

Donald Trump and bondholders for Trump Entertainment Resorts have been at war for several years now. When Trump wanted to but the company and keep it out of bankruptcy, he was turned away by bondholders.

Instead of giving up on the company that bears his name, Trump walked away. He removed himself from the board of directors and was no longer a part of the company that bears his name. That is, until recently.

Trump came roaring back in typical Donald fashion by putting in a bid to but the company and oversee its move out of bankruptcy. The plan has to be approved by a bankruptcy judge, and that is where bondholders have stepped in.

"The debtors' plan benefits two people, Andy Beal and Donald Trump, and ignores the legal rights of $1.25 billion of notes and all unsecured creditors by providing them with nothing," said Kristopher Hansen, Attorney for the bondholders.

Trump, when he had the idea of buying back the company, seemed intent on turning around its fate. In particular, Trump wants to make the company's Atlantic City casinos prominent again. Bondholders feel that Trump is only in the deal for the money.

August 12, 2009
Posted By Vincent Tapoglia III
Staff Editor, CasinoGamblingWeb.com
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