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Trump family defends Mar-a-Lago’s value: "Could be worth 100 times that"

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Former President Donald Trump and his adult sons—Donald Trump Jr. and Eric Trump—have rushed to defend the value of the ex-president’s Mar-a-Lago estate in light of the New York court ruling that found the three Trumps liable of fraud.

Judge Arthur Engoron wrote in a decision Tuesday that Trump and his sons, alongside The Trump Organization and several other business entities associated with the former president, committed fraud by repeatedly inflating the value of many of Trump’s real estate assets. Engoron’s ruling partially granted New York Attorney General Letitia James’ motion for a summary judgment in her $250 million lawsuit against Trump and his business.

Among the list of properties included in Engoron’s ruling was Mar-a-Lago, the ex-president’s home in Palm Beach, Florida, as well as the Trump Park Avenue residential building in New York City. According to the judge, Trump consistently overvalued the properties on his financial statements, including once inflating Mar-a-Lago by at least 2,300 percent of its actual worth.

Eric Trump took to social media to denounce Engoron’s ruling, arguing that the judge’s valuation of Mar-a-Lago is nowhere close to the estate’s actual worth.

“In an attempt to destroy my father and kick him out of New York, a Judge just ruled that Mar-a-Lago, in Palm Beach Florida, is only worth approximate [sic] ‘$18 Million dollars’ … Mar-a-Lago is speculated to be worth we’ll [sic] over a billion dollars making it arguably the most valuable residential property in the country. It is all so corrupt and coordinated,” Eric Trump posted to X, formerly Twitter.

Engoron’s decision pointed to a Palm Beach County Assessor’s appraisal of the beachside estate between 2011 and 2021, during which time Mar-a-Lago was valued between $18 million and $27.6 million.

In another post, Eric Trump shared an unverified picture of houses for sale in Palm Beach, which are listed from $38.9 million to $59.9 million. He also claimed the homes listed “are about 1/30 the size of Mar-a-Lago, not on the beach (let alone the beach and intercostal [sic]), don’t span from once [sic] side of the Palm Beach Island to the other … it is a travesty of justice and an embarrassment to the court.”

In a statement shared to Truth Social, the former president dismissed Tuesday’s ruling as part of a “radical attack” to stand in the way of his 2024 reelection campaign. He also characterized Engoron as a “Highly Politicized Democrat Judge, who refused allowing the case to go to the Commercial Division, where it belonged.”

“As an example, this Democrat Operative valued Mar-a-Lago, the most spectacular and valuable property in Palm Beach, Florida, to be worth as low as $18 Million, when in actuality, it could be worth almost 100 times that amount,” the former president added.

Donald Trump Jr., the ex-president’s oldest son, also mocked Engoron’s valuation of Mar-a-Lago on X, writing in one post, “If Mar-a-Lago is worth $18 million … I’ll take 10 please!!!”

“If my father tried claiming the property was worth $18 million, he would probably then get charged with trying to underpay his real estate taxes!” Donald Trump Jr. continued in a separate post. “They’ve set the game up so it’s always lose/lose in these blue states. If you don’t abide by their narrative they will target you.”

Trump has repeatedly maintained his innocence regarding James’ accusations, and Trump lawyer Alina Habba told Newsweek in a statement Tuesday night that the ex-president’s defense team plans to “immediately appeal” the “flawed” decision. The remaining elements of the lawsuit are set to go to trial on Monday.

Newsweek has reached out to James’ office via email for comment.

FTC vs. Amazon explained: What’s at stake in landmark antitrust lawsuit

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Amazon shares fell more than 4 percent after The Federal Trade Commission (FTC), along with 17 states, sued the online retail giant on Tuesday, accusing the company of using illegal and anticompetitive tactics to entrench its monopoly in violation of antitrust laws.

The government alleged that Amazon stifled competition and systematically excluded competitors from challenging its dominance in the online retail market.

“Our complaint lays out how Amazon has used a set of punitive and coercive tactics to unlawfully maintain its monopolies,” FTC Chair Lina M. Khan said in a statement. “Amazon is now exploiting its monopoly power to enrich itself while raising prices and degrading service for the tens of millions of American families who shop on its platform and the hundreds of thousands of businesses that rely on Amazon to reach them.

The case is the latest from the Biden administration that aimed to challenge what it describes as monopolies that stifle competition. Earlier this month, the Justice Department went ahead with a trial alleging that Google violated antitrust laws by abusing its dominance.

Amazon, which launched in 1995 as an online bookseller based in Bellevue, Washington, has grown to become one of the world’s largest retailer with a value of nearly $1.3 trillion, where you can shop for anything from soap to computers to thousand-dollar suits.

On Tuesday, the FTC argued that Amazon reached the pinnacle of that power and influence through anticompetitive practices that appear in its online market for shoppers and businesses that sell products on its platform.

The company keeps prices higher by deterring online sellers who offer cheaper alternatives by burying their results on its platform making them “invisible,” the FTC claimed. Amazon made it expensive for sellers to sell products on other platforms when they are part of its fulfillment service, which then makes it tougher for these businesses to compete against the retailer.

The regulator also accused Amazon of “deliberately” flooding a customer’s search results with ads that make it a less pleasant experience when they search for products on the platform. The company also elevated its own products over others that might be of better quality in its search results and charges sellers fees that are about 50 percent of their revenues, the FTC alleged.

“Today’s lawsuit seeks to hold Amazon to account for these monopolistic practices and restore the lost promise of free and fair competition,” Khan said in a statement.

Amazon, in a statement, said the FTC was departing from its historical role of protecting consumers and encouraging competition by suing the company.

“The FTC’s complaint alleges that our pricing practices, our Fulfillment by Amazon offering, and Amazon Prime are anticompetitive. In so doing, the lawsuit reveals the Commission’s fundamental misunderstanding of retail,” David Zapolsky, Amazon’s general counsel, said in the statement.

The retailer argued that its practices are about promoting competitive prices. It said the FTC was wrong when it said the company’s approach led to higher prices and showed a misunderstanding of how competition works.

“The FTC has it backwards and if they were successful in this lawsuit, the result would be anticompetitive and anti-consumer because we’d have to stop many of the things we do to offer and highlight low prices,” Zapolsky said.

The company, which said it had 500,000 independent businesses that generated 60 percent of sales on its platform, offered sellers the ability to sign up to its logistics network through its Fulfillment by Amazon service. The service, which the FTC alleges adds costs to sellers as part of the condition to join the “Prime” offering, was a choice and was not coerced upon businesses. Prime service was good for consumers and the FTC was wrong to suggest that its anticompetitive.

“Our customers love Prime,” Zapolsky said. “This has been good for competition, consumers, and sellers in our store, and we’ll vigorously oppose any attempt to degrade or destroy Prime.”

Part of Amazon’s counter-argument is that the FTC fails to understand the retail business in its suit. The company labeled the regulator’s case as “overreaching.”

“We will contest this lawsuit,” Zapolsky said.

At a Bloomberg event on Tuesday, FTC’s Khan was asked whether the “structural relief” that the agency was seeking in the case implied a breakup of the company.

“At this stage, the complaint is really focused on the issue of liability. We lay out a scheme that we believe violates the U.S. antitrust laws,” Khan said. “Ultimately, you will want to make sure that any remedy is halting the illegal conduct preventing a recurrence and ensuring that Amazon is not able to profit and benefit from its illegal behavior.”

“When we get to the issue of remedy, those are going to be the principles we’ll be focused on,” Khan added.

Amazon shares were down more than 4 percent at the close of trading in New York on Tuesday.

Update 9/26/23, 18:00 p.m. ET: This story has been updated to add context, background and additional comments from FTC’s chair Lina Khan.

What’s next for electric vehicles? More customization options

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The industry’s top executives agree. Customization is the next hot thing in electric vehicles. On stage during the Detroit Concours d’Elegance, as part of sponsored panel discussions led by Newsweek, the executives detailed their companies’ roles in the industry’s evolution.

Brembo’s North America president and Chief Executive Officer Stephane Rolland was joined on stage in front of the Detroit Institute of Arts by SEMA’s vice president of marketing R.J. de Vera and Marco Arienta, global vice president of the customer group at Webasto Group.

Newsweek: How is your business adapting to demands by suppliers as body shapes, powertrains and sustainability requirements change?

Arienta: “The market is changing. You’ll see some brands and suppliers reinventing themselves in order to feed the new environment, especially in North America. One thing we’re noticing with electric cars is the impact of the having the battery in the floor.

“We also see some very cool trends here that we’re not seeing in Europe or China. The Wrangler was the one who started with the removable top and now Bronco has been extremely successful at it too. And now there are others. So the market is changing, going in a different direction not just in terms of powertrain but also our use of the vehicle.

Rolland: “We spend our time looking at the mega trends and try to anticipate and adapt to what the OEMs will be asking us. We’re really seeing three things that have been here for a while but are accelerating. They are safe, sustainable and connected and digital. So today we’re providing high performance fixed and limited calibers with reduced weight and drag, which in turn provides more range.

“We’re using AI and mechatronics in conjunction with more traditional components.

“With technology, we can remove hydraulics and some of the traditional components like antilock braking or electronic skid control. We give our customers the opportunity to have more freedom to design the car because we removed all those things.

“On safety and sustainability, I’ve talked about extending age and talked about reducing all the brake fluid, which also contributes to drag. We also reduced all non-exhaust emissions. We have a specific disc and pad combination because suddenly the brakes are rarely used and therefore the subject of corrosion. So we have packages specifically designed for that.”

de Vera: “The aftermarket really embraced electrification as a way of hot-rodding and there are more and more EV conversions happening in the market. There’s a section of the SEMA show called SEMA Electrified. And the interest in it just grows and grows exponentially every year.

“There’s a waitlist that we’ve seen from certain EV converters that are three, four, five years for people to convert their cars from whatever gas engine package they have to the electric platform.

“And a lot of that started with people getting a salvage Tesla and pulling batteries and motor out of there and then installing them to a new vehicle. But now people are starting to develop their own battery packs and their own engines and then couple them together. So it’s a big segment in the aftermarket and it continues to grow along with some other future propulsion technologies.

Newsweek: What are you seeing in terms of styling that you are going to consider as you also push forward faster?

Arienta: “More than pushing for a certain style, we’re trying to combine the need for style with some other need. And we’re passionate about performance so light weight is an important part. As I said before now that the battery is in the bottom the floor must be raised, so there is less room, so you need to recover that space in the roof.

Newsweek: We’re seeing more limit pushing performance from automakers, even though we’re talking about EVs, what does that change for your team?

Rolland: “It doesn’t change too much because the work we’re doing is always in demand of what’s coming up. It doesn’t matter if the vehicle is electric or not. You need better brakes, but at the same time you’re braking less, so you have to take into account this corrosion. So that’s probably one of the areas where we’re changing.

“In California we have an inspiration lab, where we’re basically setting the capabilities of the company in terms of software development, data science or AI. And in line with the company’s vision of taking energy in consideration, we take all of this and feed it back into our next system to make solutions that we’ll provide to the market.

Newsweek: How are you preparing the SEMA show and the messaging and working with aftermarket suppliers when talking about EVs?

de Vera: “For us it’s all about personalization and customization, regardless of the propulsion within the vehicle. We are advocating for a technologically neutral future. That includes EVs and high-performance synthetic fuels, hydrogen, all those things that are evolving right now. The aftermarket is always a reflection of what the OEMs are doing and so people end up modifying, customizing and personalizing whatever it is that they have.

“I think if you look at the generations of people that have hot rodded vehicles, and customized them, they started from the old electric cars and got to carbureted cars and fuel injected cars, now electrified propulsion. People find a way to personalize and love their vehicle because, for a lot of people, it’s an extension of themselves.”