The Trump Organization was given the largest fine New York law allows for its 15-year criminal tax fraud scam Friday when a New York judge slapped the century-old company with a $1.6 million penalty.
Convicted in December of all 17 charges – including conspiracy, falsifying business records, criminal tax fraud, and scheme to defraud – Trump Corp. and Trump Payroll Corp. were held accountable for their financial crimes.
“While corporations can’t serve jail time, this consequential conviction and sentencing serves as a reminder to corporations and executives that you cannot defraud tax authorities and get away with it,” Manhattan District Attorney Alvin Bragg said.
Manhattan Supreme Court Justice Juan Merchan agreed with prosecutor Joshua Steinglass who recommended that the two companies convicted be given the stiffest sentence allowable.
The sheer magnitude of the fraud calls for the maximum possible fine for falsifying business records and helping senior managers evade taxes as they defrauded the tax authorities–Steinglass
Bragg DA Bragg has left the door open for possible additional charges.
Our state law must change so that we can impose more significant penalties and sanctions on corporations that commit crimes in New York, Bragg said.
BREAKING: the Trump organization was just fined $1.6 million — the most under New York law — for its tax fraud scheme. Another terrible day for Donald Trump, but a great day for the rule of law and democracy. Now, let’s finally hold Trump himself accountable.
— Victor Shi (@Victorshi2020) January 13, 2023
Former Trump Organization Chief Financial Officer Allen Weisselberg was recently sentenced to five months in New York’s infamous Rikers Island as a part of a plea deal reached in August.
The 75-year-old longtime accountant was the District Attorney’s star witness in the case.
Over the course of his employment, Weisselberg received nearly $2 million in off-the-books compensation intended to evade tax liability for the Trump Organization and himself.
A luxury NYC apartment, private school tuition, and expensive cars were just some of the perks.
While this case may be closed, the Trump Organization’s legal problems are far from over.
DA Bragg has left the door open for possible additional charges, and New York Attorney General Letitia James is moving full steam ahead with the state’s $250 million civil suit against the former President’s namesake company – seeking restitution for nearly a quarter of a million dollars in “ill-gotten gains” the company received over the years.
“The crimes were deep, wide, and long, lasting for decades,” Steinglass said, according to NBC News. “The conduct can only be described as egregious.”
Original reporting by Dareh Gregorian and Adam Reiss at NBC News.
Follow Ty Ross on Twitter @cooltxchick