Sunday, 18 November, 2018

Ex-Trump Advisor Sold Steel-Linked Stocks Before POTUS Announced Tariffs

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Nellie Chapman | 07 March, 2018, 17:43

Earlier on Thursday Trump said he would press ahead with the commerce department's plans to levy 25% tariffs on imports of steel and 10% on aluminium.

Talk about timing: Billionaire investor Carl Icahn-who once worked as a "special adviser" to President Trump-dumped about $31 million of shares in a company that depends on steel imports just days before Trump announced tariffs on steel imports, the Guardian reports.

Icahn served as an unpaid adviser to the president early in Trump's tenure in the White House.

He ended up quitting the position in August 2017, just hours before The New Yorker published a long article detailing his conflicts of interest. But, as the chart in the SEC filing indicates, Icahn started selling his Manitowoc stock on February 12, prior to the public release of that report.

Icahn has not commented publicly about the trades and has not responded to requests for comment by NPR, made on Saturday.

Icahn is best known in St. Louis for his ownership of now-defunct Trans World Airlines. He bought the airline in 1985, but became a local pariah in St Louis after he pulled almost $1 billion out of the company and doubled its debt to $2.67 billion. American Airlines later bought TWA, and eliminated the passenger hub at Lambert-St.

"We must protect our country and our workers".

President Trump's decision Thursday to impose crippling tariffs on the imports of steel and aluminum took many by surprise - particularly investors, as the Dow Jones closed the day's trading down more than 400 points. The European Union, for example, is considering duties on U.S. imports worth about $3.5 billion if the White House enacts its tariffs, Reuters reported Friday. Many thought Icahn had outmaneuvered Trump, according to The Washington Post's Drew Harwell.

Billionaire investor Carl Icahn's murky business dealings since his former advisee, Donald Trump, became president previous year have been reported on a great length. In return, Icahn endorsed Trump, saying the country would be "lucky" to have him in the Oval Office, Harwell reported. Although he now serves no formal advising role, the two still talk.

Icahn's selloff represented about one-third of his stake in the company, according to CNBC.