New York Attorney General Claims To Have Found "Significant Evidence" of Possible Trump Organization Fraud

He mentions that the Trumps have all been closely involved in the transactions in question.

Letitia James, the New York Attorney General, claimed her inquiry uncovered "significant evidence" that Donald Trump's companies employed "fraudulent and misleading" asset appraisals.

James, who is fighting to have Trump, Donald Trump Jr., and Ivanka Trump testify in the probe, said on Twitter that they "have all been closely involved in the transactions in question, so we won’t tolerate their attempts to evade testifying in this investigation."

“We have uncovered significant evidence indicating that the Trump Organization used fraudulent and misleading asset valuations on multiple properties to obtain economic benefits, including loans, insurance coverage, and tax deductions for years,” James wrote.

As part of her civil investigation against Trump and two of his children's business conduct, her office filed a cross-motion to compel testimony from Trump and two of his children. Her office has yet to decide whether or not to pursue legal action.

“We will not be deterred in our efforts to continue this investigation, uncover the facts, and pursue justice, no matter how many roadblocks Mr. Trump and his family throw in our way,” she wrote.

Trump has tried to get her subpoenas thrown out, claiming that her inquiry is politically motivated.

According to NBC News, Trump's legal team has argued that James cannot issue subpoenas since she is also working on a separate criminal investigation with the Manhattan district attorney. In other words, they say that she can't compel testimony for a civil probe if it could be utilized later in a criminal case.

However, James and her colleagues argued in the court filing that witnesses testifying while a parallel investigation was underway was not uncommon. "Each witness is free to invoke their Fifth Amendment privilege against self-incrimination. A witness’s exercise of that right in a civil investigation (or any other civil or administrative proceeding) is neither uncommon nor a denial of a constitutional right. Rather, witnesses routinely face such a decision and invoke the privilege—as witnesses have done in this investigation."

A request for comment from the Trump Organization was not immediately returned.

According to James' team, the Trump Organization "may have improperly obtained more than $5 million in federal tax benefits from misleading valuations of conservation easements at Seven Springs and Trump National Golf Club, Los Angeles," according to the court filing.

“Virtually all of the benefits from the misleading valuations accrued to Donald J. Trump. As a result, the testimony and materials sought bear a reasonable relation to the matters under investigation."


Chen Rivor

352 Blog posts

Comments