Since this month’s raid on President Trump’s home, the investigation into the possible mishandling of classified documents has dominated the headlines. The affidavit supporting the FBI search was made public on Friday, revealing the full scope of Trump’s legal issues. However, this is far from the only probe investigating the ex-President.
A pair of investigations of the Trump Organization’s economic dealings over the past few decades began in the new year.
Allen Weisselberg, the former CFO of the Trump Organization, pleaded guilty to 15 counts of felony tax fraud earlier this month. Weisselberg admits to participating in a number of tax-evasion schemes on behalf of high-ranking Trump officials. Attorney General of New York State Alvin Bragg claimed that Trump’s namesake company has been “personally entangled in a wide variety of illegal activities.”
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At the same time, New York Attorney General Letitia James is leading a civil inquiry into allegations that Trump Organization inflated the worth of its properties to avoid paying taxes and to obtain extra financing. It has been alleged that during recent questioning by state officials, Trump used the Fifth Amendment 440 times in one day.
Trump has a history of avoiding financial probes and is currently facing many lawsuits while trying to fend off these latest threats. Trump may have to pay large fines related to his company’s business operations even if he is exonerated of any criminal wrongdoing.
During Trump’s first impeachment trial Norm Eisen served as special counsel, and he might offer insight into the potential legal path for Trump in these New York Investigation.
If the Trump Organization is found guilty of the more serious financial crimes, “I’m predicting very, very serious sanctions,” warned Eisen, bringing up the potential of a “corporate death penalty.” This could lead to the closure of his flagship company, as has happened before with his New York-based enterprises.
The New York Attorney General’s office was successful in obtaining a $2 million judgment against a charity run by Trump and was also engaged in a $25 million lawsuit against Trump University. Those two groups ultimately disbanded as a direct result of those choices.
Most importantly, while the Trump Organization is being investigated, the former President is likely to feel the effects of any judgement handed down against it. According to Forbes senior editor and author of a book on Trump’s businesses Dan Alexander, Trump’s personal wealth will suffer the damage.
If the Trump Organization is fined, as Alexander claims it will not be done so at the expense of other shareholders. Fines of $5 million, $20 million, or $100 million will have a direct impact on his wealth.