Trump Company Forced To Meet With Business Monitor After Fraud Claims

0
255

As former President Donald Trump still unsuccessfully struggles through trying to get the original order supporting the establishment of the role undone, New York Judge Arthur Engoron has formally outlined the selection of a monitor for certain business activities at the Trump family business and specified some of the procedures for their work.

The individual picked for the role is former federal Judge Barbara Jones, and in her new capacity supervising part of the Trump company’s business operations, she will have a role in financial statements and potential asset transfers. Engoron got behind the monitorship after New York state Attorney General Letitia James raised concerns including that the former president could seek to move assets to evade scrutiny and potential consequences connected to a sweeping lawsuit she has filed alleging fraud at the family business. Key to those allegations were dubious statements of value for dozens of assets. Besides examining the statements themselves, the Trump Organization must also provide Jones upon request with relevant documentation that supports the statements made in any claims of financial condition under examination.

Corporate restructuring, should it be undertaken, is also subject to Jones’s monitoring. Among other provisions, the Trump company can’t simply get by on not letting Jones know of their financial statements either. If nothing covered by her role (at least in the asset transfer and corporate restructuring category) is undertaken within the span of a month, Engoron specified that the company must provide a sworn statement asserting as much. The Trump company is also responsible for what sounds like the bulk of costs associated with Jones completing her work. Not everything in the potential back-and-forth will necessarily be public, because Engoron authorized Jones and the Trump company to communicate about these matters outside of official court channels.

The ex-judge watching Donald’s business must have notice of roughly a month before covered corporate restructuring actions or the transfer of covered assets, and by the last day of this month, the Trump Organization was also ordered to provide what Engoron summarized as “a full and accurate description of the corporate structure” of the company. Any misconduct discovered by Jones will apparently be dealt with in court. This matter is separate from the trial for the Trump company over allegations of years of tax evasion, and it also doesn’t represent a conclusion to this case filed by James, which has yet to go to trial. It is a temporary stop-gap.