The Trump Organization has been guilty to tax fraud, a jury in a trial in New York rules. Former President Donald Trump’s company helped its own executives evade taxes. Trump and his family were themselves not charged in this case.
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The company operates hotels, golf courses and other real estate properties around the world. The jury considers it proven that the family business carried out a criminal plan for years to defraud the tax authorities. According to the prosecutor, there was “a culture of fraud and deceit”. The Trump Organization paid for cars, luxury apartments, and school fees for executives’ children without disclosing it. The company also did not report bonuses and other gifts to senior employees.
The punishment will be announced on January 13 and will probably consist of a fine that can increase, according to CNN up to a maximum of USD 1.61 million. The Trump Organization claims to be innocent. The company can easily pay the fine, but the ruling may scare off lenders and business partners.
Former CFO Allen Weisselberg was the key witness in the case. He cooperated with prosecutors in exchange for a reduced sentence.