US president-elect Donald Trump on Saturday said that he intends to dissolve his controversial philanthropic foundation to avoid conflicts of interest, but the move was quickly complicated by an ongoing legal probe.
Trump’s sprawling portfolio of US and overseas business interests and holdings — as well as his Donald J Trump Foundation — have come under increased scrutiny in the weeks since his election. The shuttering of his charity would be his first big step to avoid a brewing storm of potential conflicts of interest.
His private foundation has been at the center of several controversies — including how much money he has actually given it — and is under investigation by New York Attorney General Eric Schneiderman.
In a statement to US media on Saturday afternoon the attorney general’s office said Trump could not yet close the foundation.
“The Trump Foundation is still under investigation by this office and cannot legally dissolve until that investigation is complete,” Schneiderman’s spokeswoman Amy Spitalnick said.
Trump’s transition team said he had directed his counsel to take the necessary steps to close the foundation.
“The foundation has done enormous good works over the years in contributing millions of [US] dollars to countless worthy groups, including supporting veterans, law enforcement officers and children,” Trump said in a statement. “However, to avoid even the appearance of any conflict with my role as president I have decided to continue to pursue my strong interest in philanthropy in other ways.”
A Washington Post investigation in June said Trump had given just a fraction of the money he had promised to charity and it was only after public pressure that he made good on a pledge to pay US$1 million to a nonprofit group for veterans.
His children have also come under the spotlight for their charitable enterprises.
Trump’s transition team this week denied a report that his sons were seeking donations of up to US$1 million in exchange for possible post-inauguration access.
The Center for Public Integrity, an award-winning group that addresses ethics and other policy issues, said a nonprofit foundation was set up, making discreet potential pay-for-play possible.
Trump’s daughter, Ivanka Trump, was forced to scrap a charity auction for coffee with her, after ethics experts said it appeared bidders could pay for special access to the Trump family.
Critics say Trump would run into conflicts unless he fully divests himself of all his business and charitable interests.
Trump himself savaged his Democratic opponent Hillary Rodham Clinton during the campaign over her and her husband former US president Bill Clinton’s foundation, calling it a “criminal enterprise.”
However, his move on the foundation front comes amid intense criticism of Trump’s ethics and transparency choices on the way into the White House.
While his business interests might be broader than those of other presidents, Trump at times has seemed to promise to disclose, or pledge to divest, without delivering on pledges.
Placing assets in a blind trust has been the standard for previous US presidents.
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