Trump’s inaugural committee …violated its nonprofit status by spending more than $1 million to book a ballroom at Trump’s D.C. hotel that its staff knew was overpriced and that it barely used.

During the lead-up to Trump’s January 2017 inauguration, the committee booked the hotel ballroom for $175,000 a day, plus more than $300,000 in food and beverage costs, over the objections of its own event planner.

…Hotel management emailed the committee in November 2016 saying an eight-day package of meeting rooms, food and drinks would cost $3.6 million — an enormous number even by the standards of luxury hotels during the inauguration.

Rick Gates, a lobbyist and the committee’s deputy chairman, then emailed Ivanka Trump to say that cost “seems quite high compared to other properties.” 

…Racine’s lawsuit specifically targets a $1 million deal made between the committee and the Trump Organization for the ballroom during four days around the inaugural, which he alleges was a knowing waste of the nonprofit’s resources to benefit the Trumps.

…After hotel management agreed to charge $175,000 per day for meeting space and to charge separately for food and beverage, Stephanie Winston Wolkoff, a friend of first lady Melania Trump who had previously produced the Met gala and New York’s Fashion Week, expressed alarm, writing that other properties had been offered to the committee at little or no cost.

…Wolkoff said the meeting space should cost a maximum of $85,000 per day. Even that was pricey compared to offers from other hotels.

…D.C. law requires that nonprofit organizations not operate for the purpose of generating profits for private individuals.

…Trump’s company is now trying to sell its lease to the hotel. Initial bids are due Thursday for the property.

Trump inaugural committee improperly paid president’s hotel $1 million, AG’s lawsuit says – The Washington Post

hmmm