During a Sunday interview, Mulvaney noted he never said there was "quid pro quo" regarding the aid and an investigation into the hacking of a DNC server.
"I think there's going to be a real threat to the Kurds of ethnic cleansing", Menendez told ABC's Chief Anchor George Stephanopoulos on Sunday.
But Citizens for Responsibility and Ethics in Washington, a watchdog, told AP news agency then: "The president is now officially using the power of his office to help prop up his struggling golf business".
"President Trump's decision to award the G-7 Conference to his own property was outrageous, corrupt and a constitutional violation".
Democrats pressing for Trump's impeachment have pounced on Mulvaney's remarks, and GOP allies of the White House have also been critical of the Thursday remarks.
Both of Florida's senators, Rick Scott and Marco Rubio, said it would be good for their state's economy, only to see Mr. Trump walk back the idea. "We will begin the search for another site, including the possibility of Camp David, immediately", he added.
Trump on Saturday announced on Twitter that he was abandoning the move to host the meeting at Trump National Doral near Miami in June, citing "Crazed and Irrational Hostility" from Democrats and the news media.
In one of his tweets, Mr Trump said his resort was "big, grand" with "tremendous ballrooms [and] meeting rooms".
"Would set up better than other alternatives". He has called his Democratic rival from 2016 Hillary Clinton "crazy" for her unfounded allegations that Congresswoman Tulsi Gabbard is a "favourite" of the Russians. Mulvaney said that Trump would not profit from the event.
Some of Donald Trump's closest associates are assembling a roster of possible replacements if the president decides to replace Mick Mulvaney, his acting chief of staff, said three people close to the situation.
The G7 reversal is yet another backtrack from Mulvaney's White House press conference. Democrats continued to focus on the Ukraine quid pro quo issue.
Mitt Romney, a U.S. senator and 2012 Republican presidential nominee, criticized Trump's actions in a recent interview, calling it "shocking" that Trump publicly said China and Ukraine should investigate political rival and former Vice President Joe Biden and his son.
However, during his news conference Thursday, Mulvaney said the USA requested Ukraine assist in the investigation into the handling of the Democratic National Committee server that was hacked in 2016 - and then insinuated that was the reason the administration made a decision to withhold funds from Ukraine.
"We talked about it at great length last night".
Trump, after having spent the weekend apparently watching news coverage of Mulvaney's appearance and frenetically tweeting, is becoming frustrated with his top White House official, CNN reported.
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