Investigators with the Manhattan district attorney’s office, which is conducting a broad criminal investigation, and the New York attorney general’s office, which has a civil inquiry under way, have subpoenaed the Trump Organization seeking records relating to the consulting fees.
Alan Garten, general counsel of the Trump Organization, told the Times, “Everything was done in strict compliance with applicable law and under the advice of counsel and tax experts.” He added, “All applicable taxes were paid and no party received any undue benefit.”
The New York investigations are the most serious facing Trump as he leaves office and becomes a private citizen.
The district attorney has been in a year-long battle over a subpoena for the President’s tax returns. The Supreme Court is expected to rule on the matter soon. That investigation is wide ranging and prosecutors have suggested in court filings it could include anything from insurance fraud, tax fraud or schemes to defraud — the equivalent of a federal bank fraud charge.
The New York attorney general’s investigation is focusing on whether the Trump Organization or Trump improperly inflated the value of certain assets in violation of tax laws or when seeking loans and the forgiveness of a $100 million loan. They have identified at least four Trump properties that are under scrutiny.