A New York jury has convicted two of former President Trump's companies for their involvement in a 13-year tax fraud scheme.
The jury found the two Trump Organization companies — the Trump Corp. and the Trump Payroll Corp. — guilty of numerous felonies, including two counts of criminal tax fraud in the third degree and one count of criminal tax fraud in the fourth degree. In a December 6 release, Manhattan District Attorney Alvin L. Bragg Jr. announced the convictions on multiple counts of scheme to defraud, conspiracy, falsifying business records, and criminal tax fraud, for a total of 17 felonies between the two companies.
The indictment alleged criminal tax violations and financial crimes by the companies and their chief financial officer, Allen Weisselberg, stemming from perks and compensation provided to high-level executives that were intentionally concealed from tax authorities in an effort to avoid paying taxes.
Weisselberg pleaded guilty to 15 criminal charges and testified against the companies in the criminal trial.
The release said the jury was presented with evidence of a sophisticated tax fraud scheme in which the companies defrauded federal, state, and local tax authorities by paying the executives and managers “substantial amounts of their compensation in the form of ‘off the books’ personal expenses.”
Weisselberg, the release said, received a total of $1.76 million in unreported compensation, including rent for a luxury Manhattan apartment, utilities, parking expenses, cars for him and his wife, and private school tuition for his grandchildren.
“Today’s verdict holds these Trump companies accountable for their long-running criminal scheme, in addition to Chief Financial Officer Allen Weisselberg, who has pled guilty, testified at trial and will now be sentenced to serve time in jail,” Bragg said in the release.
Sentencing of the companies is scheduled for January 13, according to the release.
“Donald Trump and his enterprises are not above the law. This is a textbook case of tax and financial fraud, and a prime example of why Republicans made it their mission to defund the IRS and have raised hell about giving the agency adequate resources. They want to see less scrutiny of wealthy tax cheats — not more. The complex reviews needed to prosecute this case are the types of audits the IRS has done far fewer of in the past decade. That needs to change going forward," Senate Finance Committee Chair Ron Wyden, D-Ore., said in a December 6 release.