The Wall Street Journal conducted a review of Kushner’s securities and other financial activities. They found that Kushner failed to fully disclose his part ownership of a finance startup called Cadre.
The Journal notes that Kushner’s Cadre stake “means the senior White House official is currently a business partner of Goldman Sachs Group and billionaires including George Soros and Peter Thiel.” The Journal also reports that Kushner didn’t disclose a number of loans “totaling at least $1 billion, from more than 20 lenders,” on properties and companies he co-owns; and Kushner “has also provided personal guarantees on more than $300 million of the debt.” An analysis of the debt on these assets “found ties to a broad swath of U.S. and foreign banks, private-equity firms, real-estate companies and government-owned lenders.
Kushner co-founded Cadre back in 2014 in partnership with younger brother Joshua and Ryan Williams, a long term family friend. Cadre is a real estate finance startup that connects market properties with potential investors. These investors can channel their funds into certain buildings or larger investment funds managed by Cadre. This venture is profitable as Cadre collects a certain fee per each successful deal.
To get off the ground, Cadre turned to a Goldman Sachs fund and a number of high-profile investors. Among them were the venture-capital firms of Mr. Thiel, Silicon Valley’s most prominent supporter of Mr. Trump, and Vinod Khosla, a co-founder of Sun Microsystems Inc., according to Cadre’s website. Other backers include Chinese entrepreneur David Yu, co-founder with Alibaba Group Holding Ltd.’s Jack Ma of a Shanghai-based private-equity firm, hedge-fund manager Daniel Och and real-estate magnate Barry Sternlicht, people close to Cadre said.
Cadre also secured a $250 million line of credit from the family office of George Soros, a top Democratic donor whom Mr. Trump criticized during his presidential campaign, the people close to the company said. Mr. Soros’s family office is also an investor in Cadre.
Jared Kushner is denying any wrongdoing on his part in disclosing his role with Cadre. His lawyer, Jamie Gorelick states that Kushner’s stake in Cadre is listed on his client’s financial-disclosure form and that this document will be available to the public after being certified by government ethics officials. Furthermore, Gorelick shares that Kushner had already resigned from Cadre’s board along with all of his voting rights and now retained only minimal ownership of his shares.
Both The Wall Street Journal and Jared Kushner are right in regards to this story. The Wall Street Journal did find financial business partnerships between Kushner and high-profile investors previously unknown to the public. Kushner has done his part to disclose his previous financial dealings and the withholding of this latest information is more reflective of bureaucratic government delays than a deliberate attempt to deceive the public at large.
What? No one is saying “lock him up”