Trump didn't disclose $19.8m loan from firm having ties with N Korea as president: Report

Former US President Donald Trump failed to disclose a $19.8 million loan from a company called Daewoo, according to a report from the Guardian. This is significant because the company allegedly has historical ties with North Korea. Trump failed to disclose this loan when he was the US President. Daewoo is a South Korean conglomerate, and it is the only South Korean company that was allowed to operate in North Korea during the 1990s.

A Forbes report states that Trump's relationship with the South Korean conglomerate is not new. He has a relationship with the conglomerate for over 25 years. They partnered with Trump in the development of Trump World Tower, which is situated near the UN's headquarters, a prominent address. From the year 1997 to 2007, Daewoo and Trump signed deals that allowed the South Korean conglomerate to use Trump's name on six properties in North Korea. 

The loan was paid off in 2017

The Trump organisation's internal documents mentioned the laws but Trump's public financial disclosure reports did not mention it. According to the Guardian report, due to the disclosure laws that exist, Trump should have disclosed documents related to this loan when he was the presidential candidate and when he was the president. As per Forbes report, from the year 2011 to 2016, the loan Trump owed was $19.8 million. Five months after Trump became president, the loan Trump owed was reduced to  $4.3 million and by July 5, 2017, Trump owed the conglomerate no money at all. 

It is crucial to flag that Trump might not have broken any laws and he just paid off the loan he owed. The loan that was offered to him was a part of an agreement that allowed Daewoo to use his name in their projects. There is nothing irregular about that loan nor is there anything irregular about him paying off the loan. There is no evidence as of now to suggest that someone else paid off his loan. However, the former president's decision to not disclose this loan is odd but as of now it is not clear how consequential it is. 

South Korean businesses in North Korea

It is not common for South Korean businesses to operate in North Korea due to geopolitical tensions between the two countries. The Korean War, which ended in 1953 with an armistice agreement, technically never ended, and the two countries are still technically at war. As a result, there are significant economic and political barriers to doing business between the two countries. However, there have been some limited exceptions, such as the Kaesong Industrial Region, a joint economic development zone where South Korean companies were allowed to operate until it was shut down in 2016. It is possible that some South Korean businesses may be operating in North Korea through intermediaries or third parties.