New York attorney general files civil fraud lawsuit against Trump, some of his children and his business
By Kara Scannell, Tierney Sneed, Marshall Cohen and Hannah Rabinowitz, CNN - Updated 3:38 PM ET, Wed September 21, 2022(CNN)The New York state attorney general filed a sweeping lawsuit Wednesday against former President Donald Trump, three of his adult children and the Trump Organization, alleging they were involved in an expansive fraud lasting over a decade that the former President used to enrich himself.
In the more than 200-page lawsuit, Attorney General Letitia James, a Democrat, alleges the fraud touched all aspects of the Trump business, including its properties and golf courses. According to the lawsuit, the Trump Organization deceived lenders, insurers and tax authorities by inflating the value of his properties using misleading appraisals.
"This conduct cannot be brushed aside and dismissed as some sort of good-faith mistake," James said at a news conference in New York.
"The statements of financial condition were greatly exaggerated, grossly inflated, objectively false, and therefore fraudulent and illegal," she added. "And as a result of that we are seeking relief, and Mr. Trump, the Trump Organization, his family -- they should all be held accountable."
Read: New York's civil fraud lawsuit against Donald Trump and family members
Trump and his children, Donald Trump Jr., Eric Trump and Ivanka Trump, are named as defendants in the lawsuit. Allen Weisselberg, former CFO for the Trump Organization, and Jeff McConney, another longtime company executive, are also named.
James said she believes state and criminal laws may have been violated and referred the matter to the US attorney's office for the Southern District of New York and the Internal Revenue Service.
The US attorney's office declined to comment.
"These acts of fraud and misrepresentation were similar in nature, were committed by upper management at the Trump Organization as part of a common endeavor for each annual Statement, and were approved at the highest levels of the Trump Organization -- including by Mr. Trump himself," the lawsuit states.
As part of the lawsuit, James is seeking $250 million in allegedly ill-gotten funds and to permanently bar Trump and the children named in the lawsuit from serving as the director of a business registered in New York state. She is also seeking to cancel the Trump Organization's corporate certificate, which, if granted by a judge, could effectively force the company to cease operations in New York state.
This detail of the Trump saga has numerous points of interest.
- The political implications are obvious. There are some indications Trump would like to run for president again in 2024. Trump has never won a vote, but with the electoral college advantage Trump did win the election against Hillary. How well would Trump do if he gets the Republican nomination for 2024?
- The human aspect of this story seems implausible. What other prolific liars got so far? Baron von Munchhausen?
- Settle out of court? On what terms? Trump recuse himself from further public interaction?
- Is $250 million a slap on the wrist, in context of the crimes?
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If you support Trump, how does this news affect your assessment of Trump's merit as a candidate?