New York Attorney General sues Donald Trump for fraud

New York Attorney General Letitia James has filed a lawsuit in New York state court against Donald Trump and his company, following the Democrat’s three-year civil investigation into the cases of former US president.

James announced the lawsuit at a much-anticipated press conference on Wednesday, during which she accused asset of being involved in commercial fraud related to some of his most valuable assets, including properties in Manhattan, Chicago and Washington, DC. Specifically, she said Trump had systematically misrepresented the value of his properties, intentionally lying to lenders and insurers for more than a decade.

In the 220-page lawsuit, the attorney general provided numerous examples of the alleged fraud committed by the former president and his family business.

The purpose of the lawsuit, James explained, is to strike at the heart of that same sense of opulence and entrepreneurship on which the former US president built his image and reputation.

“Donald Trump falsely inflated his net worth by billions of dollars to unjustly enrich himself and cheat the system, thereby deceiving all of us,” James said at the press conference.

More concretely, the lawsuit attempts to prevent Trump and his three eldest children from running a business in New York State again. Donald Jr., Ivanka and Eric Trump, the eldest children of the former US president, are indeed also accused in the lawsuit, as well as two longtime executives of the company, Allen Weisselberg and Jeffrey McConney.

If successful, the lawsuit will remove assets from the companies involved in the alleged fraud and introduce an independent monitor appointed for at least five years to oversee the Trump Organization’s compliance, financial reporting, valuations and disclosures to lenders, insurers and tax authorities.

The current trustees of Trump’s revocable trust, which controls his business interests, would also be replaced with independent trustees, Trump and his organization would be prohibited from making commercial real estate acquisitions for five years and from obtaining loans from banks in New York for five years. years, and the former president and his three eldest children would be permanently barred from serving as an officer or director of any New York corporation or similar business entity registered and/or licensed in New York State.

Weisselberg and McConney, on the other hand, would be permanently barred from serving in the financial control function of any New York corporation or similar business entity registered and/or licensed in New York State.

The lawsuit could also be brought at the federal level.

In his Wednesday speech, James concluded that Trump and his family business violated several state criminal laws and also “likely” violated federal criminal laws. But his office does not have the authority to file criminal charges in the case and has referred the findings to federal prosecutors in Manhattan.

It’s unclear whether the U.S. attorney would investigate.