Aug 29

Aug 29 Dinesh Chawla, ex Trump partner, arrested for stealing bags at airport

Dinesh Chawla was arrested for allegedly stealing luggage at the Memphis International Airport last week. He is the chief executive officer of Chawla Hotels.

Security cameras at the airport showed Dinesh Chawla taking another passenger’s suitcase from the baggage carousel and putting it in his car, The New York Times reported. Chawla confessed to stealing luggage over a long period of time. According to the Times, Chawla told a police officer ‘that he knows stealing luggage is wrong, but he does it for the thrill and excitement,’ the records said.”

Dinesh and his brother Suresh operate a chain of hotels and motels in the Mississippi region. They are constructing a $20 million luxury hotel, scheduled to open in weeks, that was to be a joint venture with the Trump Organization. The luxury hotel was to be the first in the Trump Scion chain, and three of the Chawlas’ 18 lodgings were to be converted into a new Trump chain called American Idea, according to the Mississippi Business Journal ..

The Trump relations with the Chawlas began in the 1980’s when V.K. Chawla, the father of the Dinesh and Suresh, sought help from Donald Trump Sr. to start a motel. Trump called the elder Chawla and suggested that he apply for a minority Small Business Administration loan, which he did successfully.

Dinesh Chawla is to appear in court this week.

In February this year, the Trump Hotels announced today that it will be suspending its expansion plans for the SCION and American Idea Hotels brands in Mississippi. Dinesh and his brother Suresh Chawla, sons of an Indian immigrant, were to partner with Trump to build the hotels.

“We live in a climate where everything will be used against us, whether by the fake news or by Democrats who are only interested in Presidential harassment and wasting everyone’s time,” Eric Trump said in a statement.

Since Donald Trump became president in 2017, Trump Hotels has come under near-constant scrutiny from ethics officials and congressional Democrats over its business practices, The Washington Post reported. “After initially saying the company had dozens of deals in the works, no hotels, under the chain names of Scion and American Idea, have opened,” the Post continued.

Dinesh Chawla, in a Facebook post in February, said that he came to America as a refugee and starting from “working in a corner grocery store with his family” achieved a big “payoff in the end…We're fine financially…I still feel like Rocky Balboa, being plucked out of obscurity, and making a national splash to fight Apollo Creed…I think you'll hear more from me in the future. I have miles to go before I sleep and many promises yet to keep…Americans can do amazing things with love and hope.”

Dinesh Chawla’s post on Facebook about Trump Hotel’s change of plans in February 2019:

Here is Dinesh Chawla’s Facebook post from February:

Hey, guys. The news is about to hit the wire. Some of you are going to feel bad for us. Some of you are going to have other feelings. I just wanted to clarify a couple of things because you're my friends.

1. We're fine financially.
2. We're on schedule to open this fall. You guys see all the whirlwind of activity out there on the construction site. With a bit less rain, we'd be cranking it even more.
3. The Trump Brothers Don Jr. and Eric are great guys, and I consider them to be very nice and decent people. I honestly feel like we've met friends for life.
4. The Trump Hotel Group is a kick ass, top notch group of professionals. The CEO Eric Danziger is the old style guy whose word is his bond. I miss that sometimes in business dealings. The Senior VP Kathleen Flores is one of the most purposeful, motivated, and positive people I've ever met in professional circles. (Insider's note--the toughest and maybe hardest working dude in the company is a chick!) The other VP's who visited us in the Delta on multiple occasions are nothing but professional and smart. We never had political discussions. They are fair-minded, well read, and focused. This organization from top to bottom was an experience of a lifetime. I hope they come to see the final product. Their fingerprints and imagination are all over it. I never understood the media representations of these folks. They are some of the best associations I've had in three decades of the hotel business. We were together for two years, but I learned so much from them. I'm sorry that they are not with us anymore legally, but we are partners of a different sort--spiritually on this project. What an incredible TEAM. What a privilege to work with them.
5. My kids were disappointed. They were excited that Papa had made the big time. I'm still going to get there (Boys). But my route is a bit more serpentine than before. And I'm looking forward to the journey.
6. The innovations and processes we learned from them are things I'll carry to my final business days.
7. We never discussed the breakup in any negative tone. If I'm not breaking confidences, or violating the spirit of the agreement, I'd say the tone was more of mutual admiration and maybe even love.
8. Our family may not have achieved what we ended up doing had a kind New York Developer not contacted a Greenwood businessman who needed encouragement. Whatever your opinion of our President, please don't post it on my page. I'm not political anymore. I want to only say thanks for that kind gesture in 1988, Sir. If all of us would take a few minutes out of our daily busy bee cycle and act with such kindness regularly, the world would be a better place for everyone.
9. I still feel like Rocky Balboa, being plucked out of obscurity, and making a national splash to fight Apollo Creed. The Rock went down in a split decision. But he came back for many sequels. He did not go gentle into the night. I think you'll hear more from me in the future. I have miles to go before I sleep and many promises yet to keep.

I love the idea of a refugee coming to America and working in a corner grocery store with his family only to see this kind of payoff in the end.

God Bless this great country. And thanks to Dr. V.K. Chawla and Donald J. Trump for that incredible call 31 years ago. Americans can do amazing things with love and hope.

Now if you'll excuse me, I've got plans for Valentine's Day.

Statement issued by the Trump Hotels: Trump Hotels to Suspend Expansion Plans in Mississippi

New York, New York (February 14, 2019): Trump Hotels announced today that it will be suspending its expansion plans for the SCION and American Idea Hotels brands in Mississippi. The Trump Family and Chawla family were first introduced 31 years ago and later reconnected in 2017 as business partners.

“We have great respect and admiration for the Chawla Family and their father, the late Dr. V.K. Chawla. They are truly exceptional developers with an amazing vision. We have enjoyed our time working together and know that when complete, under the leadership of Dinesh and Suresh, their hotel in Cleveland will be an absolutely spectacular project. We wish them tremendous luck in the future --- they will continue to be close friends for a very long time,” said Donald Trump Jr. and Eric Trump.

Dinesh and Suresh Chawla, the developers of the project, remarked, “We are honored to have had the opportunity to work with the Trump Organization. Don, Eric and the entire Trump Hotels Team are fantastic people, and their family helped launch our path to the American Dream 30 years ago. Our product is far superior today to when we started and that is because of the time and expertise that Trump Hotels dedicated to us. We understand their position completely and are grateful for their professionalism. We hope that when the time is right, we can work with Trump Hotels again.”

Dinesh Chawla bio from Chawla Hotels website.

Dinesh Chawla started working in his father’s business at the age of 12. His first job was bagging groceries and collecting payments for people’s fuel purchases at his family’s corner grocery store. He was very anxious to learn more and more beyond simply mopping floors and stocking the refrigerated cooler.

By the age of 13, he was helping his father by making bank deposits, ordering inventory, and learning how to clean and maintain the gas pumps. At the age of 14, he was called in one day to help at his father’s restaurant. His first job was putting mashed potatoes in a cup and lining them up on a tray, while stirring the gravy with a whisk. By the age of 15, he was an assistant manager at the restaurant, helping with scheduling, ordering inventory, opening and closing the restaurant, and working every job in between.

Dinesh Chawla’s work ethic, instilled in him at that early age by his father, the late Dr. V.K. Chawla, carried over into his college years. He was a full scholarship Dean’s Honor Scholar at Tulane University in New Orleans. He graduated with three bachelor’s degrees simultaneously. He earned a B.S. in Biology, a B.S. in Psychology, and a B.A. in Economics. Had he stayed one more semester, he would have completed two more degree programs with a B.A. in Political Science, and a B.A. in English. But medical school called, and he was accepted to the University of Mississippi Medical School early admission. Dinesh decided medicine was not his calling and left the school after the first year, enrolling at Millsaps College to pursue an MBA, with the university approving a scholarship and graduate assistant position for him.

With his MBA, Dinesh was able to apply his skills to help his father’s existing businesses improve in sales and efficiency. But the real challenge was in the new business that his father was entering—the lodging business.

Dinesh helped his father open a 40 room Comfort Inn property in Greenwood, Mississippi in 1989. He worked as the GM, night auditor, maintenance person, and helped in housekeeping when necessary. His brother Suresh joined officially upon graduation in 1990, and the two of them ran the business together until 1991.

In 1991, Dinesh began a development program for a new hotel to open in Cleveland, Mississippi, and he simultaneously worked on an expansion of the 40 room property in Greenwood to become a 60 room property. The Cleveland property was originally 58 rooms and opened in 1992.

Success came in a steady flow after that. The Cleveland property outperformed all expectations. By 1995, the Cleveland property was expanded to 80 rooms, and simultaneously, Dinesh and Dr. V.K. Chawla opened their first joint venture as owners in Greenville, Mississippi—a 77 room Comfort Inn. A long term working alliance was established, with Dr. Chawla as the President of the company and Dinesh as the Vice President. The hotel company expanded into different cities and different brands.

In Cleveland, in 1998, the company opened its first Hampton Inn. Also in Cleveland, the company opened its first Holiday Inn Express in 2003.

In addition to financial success, the company started earning awards. Choice Hotels International awarded the company a Gold Award for its Comfort Inn in Clarksdale. Intercontinental Hotel Group awarded the company its Newcomer of the Year Award for North America in Cleveland in 2004, and Grenada, Mississippi in 2005. Hilton Worldwide awarded the company its Lighthouse Award in 2016 for the Hampton Inn in Clarksdale, and also for a Hampton Inn 2018 in Indianola, Mississippi. All told, the company has been recognized with 13 national awards from the three major chains.

The foot print of the company spans the whole Mississippi Delta region. Chawla Hotels has 18 hotel properties in 7 cities and construction is underway for two new projects. It employs close to 300 people, and has an annual payroll in the millions. Sales annually have topped the $20,000,000 threshold for years, and for the past five years, over 250,000 guests have stayed with a Chawla owned property on an annual basis. The term “Delta Hospitality” is synonymous with the Chawla name.

Recent business projects include an alliance with one of the largest McDonald’s franchisors in the United States on a new long term hotel development deal that would include multiple hotel sites. In addition to that, The Chawla's have signed a partnership agreement with the Scion Hotel to develop their first Scion Hotel in Cleveland, Mississippi, which will be a four star lodging facility. Three properties are under the process of renovation/conversion to, American Idea, which will be located in the Mississippi Delta.

A number of new deals are under development in Texas and Florida, in addition to the home base in the Mississippi Delta. Opportunities have significantly increased with the recent alliance with prominent Indian attorney Sanjay Kalra of New Delhi, India. An investment and development scheme with Sanjay could include up to 10 hotel projects at a time with millions of dollars invested from abroad.

The Chawla Family currently owns 75 acres of commercial land throughout Mississippi, and site development there and new partnership prospects are being developed in Florida, Texas, Tennessee, California, and Alabama.

Chief Executive Officer
2015 - Present
Chawla Hotels, Inc.

Vice President
May 1989 - 2015 2015
Chawla Hotels, Inc.

Millsaps College
MBA, Business, 1988 - 1990
Tulane University
Bachelor of Science and Bachelor of Arts, Biology, Psychology & Economics 1983 - 1987