What to know about the civil fraud lawsuit Donald Trump and family face in New York
September 22, 2022 at 00:52
CNN —An intricately detailed, 200-plus page civil lawsuit lays out New York Attorney General Letitia James’ case that former President Donald Trump, three of his children, his companies and his business executives defrauded lenders, insurers and other entities.
“In some years these restricted funds accounted for almost one-third of all the cash reported by Mr. Trump,” the lawsuit said.
Jeffrey McConney – a Trump Organization executive and a defendant in the lawsuit – was asked by the attorney general’s office in a 2020 interview about the references to outside professionals on the Trump financial statements, according to the lawsuit.
What penalties does Trump face, if the lawsuit is successfulJames said that the conduct justifies canceling the Trump Organization’s corporate certificate, which would effectively force the company to cease operations in New York state.
Additionally James said Trump and his threree eldest children – Trump Jr., Eric and Ivanka – should be barred from serving as officers at any New York registered business.
Trump responds with attacks on JamesTrump has been railing against James on social media since the lawsuit was unveiled Wednesday.
James’ office made it clear it isn’t interested in the deal, people familiar with the matter said.
However, at her news conference announcing the lawsuit, James said that her office’s “doors were open.”What does this mean for Trump’s criminal exposure?
By launching a civil investigation against Trump, the New York attorney general’s office faced a lower burden of proof than what would have been necessary to bring a criminal case against Trump.
The district attorney’s office has brought charges against Trump companies and former Trump Organization chief financial officer Allen Weisselberg.
Her complaint cited federal law that the alleged conduct could have “plausibly” violated, including bank fraud and false statements to financial institutions.
Regardless of where those referrals go, James’ lawsuit adds another battle line to the multi-front legal war Trump is fighting.