Emoluments Violations: Profiting from Foreign and Domestic Governments While President
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Unlike every president in modern history, Trump refused to divest from his businesses, instead placing them in a trust managed by his sons. Foreign governments and domestic government agencies spent millions at Trump properties during his presidency. Courts dismissed emoluments cases on procedural grounds rather than merits; a House investigation documented over $750,000 in government spending at Trump properties through 2020.
Overview
The U.S. Constitution contains two emoluments clauses specifically designed to prevent a president from using the office for personal financial gain:
- The Foreign Emoluments Clause (Article I, Section 9) prohibits any person holding federal office from accepting "any present, emolument, office, or title, of any kind whatever, from any king, prince, or foreign state" without congressional consent.
- The Domestic Emoluments Clause (Article II, Section 1) prohibits the president from receiving any emolument from the federal government or any individual state beyond the presidential salary.
For the first time in modern presidential history, Trump refused to divest from his businesses upon taking office, placing them in a trust managed by his sons that he could access at any time. Legal and ethics experts across the political spectrum called the arrangement an inadequate shield against the constitutional prohibitions.
The Scope of the Problem
From day one, Trump's D.C. hotel — leased from the U.S. General Services Administration, a federal agency — became the de facto gathering place for foreign diplomats seeking to curry favor with the administration. State Department cables obtained through FOIA requests showed American diplomats being encouraged to stay at Trump properties while abroad. The Secret Service spent millions protecting Trump at his own properties — money that went directly into Trump's business accounts.
CREW documented over 3,400 specific conflicts of interest during Trump's presidency. Foreign governments known to have paid Trump-owned businesses include Saudi Arabia, China, Kuwait, Malaysia, the Philippines, India, and Turkey — all countries with active policy relationships with the United States during that period.
The G7 Doral Episode
The most brazen episode occurred in October 2019, when Trump's acting chief of staff announced that the 2020 G7 summit would be held at Trump's Doral golf resort in Florida — a property that had been losing revenue after controversies following Trump's election. The plan would have required foreign heads of state and their entourages to pay for rooms, meals, and services at a Trump-owned business. After bipartisan condemnation, Trump reversed course, saying he would not be "doing it to save your favorite President [himself] headaches."
Legal Outcomes
Courts dismissed the three most prominent emoluments lawsuits on procedural and standing grounds, meaning no court ever reached the merits of whether Trump's conduct violated the Constitution. The constitutional violations were never formally adjudicated.
Timeline
Sequence of events
January 11, 2017
Trump announces he will not divest
At a press conference, Trump announces he will not sell his businesses but will transfer management to his sons, arguing this is sufficient to avoid conflicts of interest. Every major ethics law expert disagrees; former White House ethics attorneys from both parties call the arrangement inadequate.
January 20, 2017
Emoluments violations begin at inauguration
On Trump's first day in office, the Trump International Hotel in Washington, DC — leased from the federal government — begins hosting foreign diplomats and officials, creating a direct financial benefit to Trump from foreign governments.
June 12, 2017
CREW files emoluments lawsuit
Citizens for Responsibility and Ethics in Washington files the first of several emoluments lawsuits. Similar suits follow from Democratic AGs and members of Congress.
September 1, 2017
Saudi Arabia books Trump DC hotel
Saudi lobbyists book multiple floors of the Trump International Hotel in Washington for weeks, with the hotel later reporting a significant revenue increase from Saudi business during periods of active U.S.-Saudi policy discussions.
October 17, 2019
Trump announces — then backtracks — G7 at Doral
Trump's acting chief of staff announces the 2020 G7 summit will be held at Trump's Doral golf resort, which had been losing money. After bipartisan outrage and ethics complaints, Trump reverses course, calling himself 'very honorable' for abandoning the plan he had floated.
December 1, 2020
House report: $750,000+ in federal spending at Trump properties
The House Oversight Committee releases a report documenting over $750,000 in federal agency spending at Trump properties, including Secret Service and military stays at Mar-a-Lago, Trump Tower, and Bedminster — directly enriching Trump's businesses at public expense.
January 20, 2021
Emoluments cases dismissed as moot after Trump leaves office
Multiple emoluments lawsuits are dismissed as moot after Trump leaves office, without any court reaching the merits of the constitutional question. The constitutional violations are never adjudicated.
Sources
- ↑ Trump's Businesses and the Presidency: A Guide to the Conflicts — The New York Times
- ↑ White House and Federal Agencies Spent at Least $750,000 at Trump Properties — House Committee on Oversight and Reform
- ↑ Foreign Governments Have Paid Trump Org More Than $7.5 Million Since 2016 — ProPublica
- ↑ Trump wanted to host the G7 at his private Florida resort. Here are the reasons that raised red flags. — The Washington Post
- ↑ Presidential Emoluments Tracker — Citizens for Responsibility and Ethics in Washington (CREW)
Verification