Former President Donald J. Trump’s longtime banker at Deutsche Bank was pushed out of her job in December following an internal investigation that concluded that she did business with a client without properly disclosing it, according to regulatory records that were made public on Wednesday.
Deutsche Bank’s review found that Rosemary Vrablic, a senior private banker and managing director in its wealth management business in New York, “engaged in undisclosed activities related to a real estate investment,” including buying a property “from a client-managed entity,” the bank said in records filed with the Financial Industry Regulatory Authority.
The records said Ms. Vrablic, who left the bank in December, was “permitted to resign.”
Deutsche Bank’s internal review concerned a 2013 real estate transaction between Ms. Vrablic and a company, Bergel 715 Associates. Jared Kushner, Mr. Trump’s son-in-law and senior White House adviser, held at least a small ownership stake in Bergel 715, according to a financial disclosure report he filed with the government last summer.
The bank’s investigation began last year after The New York Times reported that Ms. Vrablic and two of her colleagues had bought an apartment in a Park Avenue building for about $1.5 million.
At the time of the apartment purchase, Mr. Trump and Mr. Kushner had already borrowed nearly $200 million from Ms. Vrablic’s division at Deutsche Bank, and they would soon come back looking for hundreds of millions of dollars more.
It isn’t clear from the regulatory filing whether Deutsche Bank was concerned with Mr. Kushner’s connection to the transaction. The reference to “a client-managed entity” suggests that one of the managers of Bergel 715 Associates — in other words, not Mr. Kushner — was also a client of Ms. Vrablic’s.
Banks typically restrict their employees from doing side business with their clients because of the potential for it to create conflicts between the employees’ personal interests and those of the bank.
The records filed with the Financial Industry Regulatory Authority also faulted Ms. Vrablic for “the formation of an unapproved outside entity to hold the investment.”
Ms. Vrablic’s partners on the 2013 transaction were Dominic Scalzi, a banker who reported to Ms. Vrablic, as well as Mr. Scalzi’s nephew, who at the time also worked at Deutsche Bank, according to public records. Mr. Scalzi resigned from Deutsche Bank along with Ms. Vrablic in December; his nephew had previously left.
In a separate regulatory filing, Deutsche Bank included an identical disclosure about the circumstances of Mr. Scalzi’s departure.
Ms. Vrablic’s lawyer declined to comment. Mr. Scalzi’s lawyer didn’t respond to a request for comment.
In the years before Mr. Trump ran for president, Ms. Vrablic was one of his most important financial partners.
At a time when he was largely frozen out of the mainstream banking system because of his history of defaults — including on a large loan from Deutsche Bank — Ms. Vrablic persuaded the bank’s executives to give Mr. Trump another chance. From 2012 through 2015, the bank lent him about $340 million for his Florida golf club, his Chicago skyscraper and his luxury hotel in Washington.
By the time Mr. Trump was sworn in as president, with Ms. Vrablic a V.I.P. guest at his inauguration, Deutsche Bank was by far his biggest creditor.
Mr. Trump owes about $330 million to Deutsche Bank, which is his largest lender. Those debts are scheduled to come due in 2023 and 2024. Mr. Trump has personally guaranteed those loans, which meant that if he were to default, the bank would have recourse to pursue his personal assets.
Deutsche Bank executives late last year concluded that they would not do business with Mr. Trump or his company in the future, a person familiar with the matter previously said.
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