Letitia James, Donald Trump
CNN reports a New York judge is holding Donald Trump in civil contempt after the state’s attorney general’s office said he did not comply with a subpoena for documents as part of its investigation into the former President’s company.
Judge Arthur Engoron said Trump failed to abide by his order to comply with the subpoena, and that his attorneys failed to show how a search of materials held by Trump was conducted. Engoron said Trump would be fined $10,000 a day until he complies. A written decision with a start date for fines is expected Tuesday.
Trump plans to appeal the decision, his attorney Alina Habba told reporters.
New York Attorney General Letitia James‘ office has been investigating the Trump Organization for more than two years and previously said her office found multiple misleading or fraudulent misstatements and omissions in the Trump Organization’s financial statements, which were provided to lenders and insurers, among others, as part of its investigation.
Andrew Amer, with the attorney general’s office, said that Trump has failed to produce “even a single responsive document” for a subpoena that was issued to him in December.
In court, Habba said the former president does not believe he is above the law, but simply does not have the types of written communications that were sought by the subpoena, but that he produced hundreds of thousands of documents through his assistants.
The judge asked why Trump didn’t sign an affidavit swearing that he complied with the subpoena. Habba said that he would.
James’ office has said in court filings that the Trump Organization is under investigation for engaging in fraudulent or misleading conduct in connection with appraisals and financial statements. The office has subpoenaed both the former president and his company for documents related to its investigation.
Also Monday, Engoron allowed James’ office to add real estate services firm Cushman and Wakefield as a respondent to its legal action against the Trump Organization, and ordered the company to comply with a subpoena for documents.
At the heart of the subpoenas are appraisals from Cushman and Wakefield appraisers who worked on valuations for Trump Organization properties, as well as documents showing relationships between the two companies and internal communications about Cushman’s decision to ultimately sever ties with the Trump Organization in January.
Austin Thompson, an attorney with the New York attorney general’s office, said his office has identified “misstatements” made by appraisers who made valuations at a Trump Organization property in Westchester County, New York, known as Seven Springs. And while the statute of limitations on some of the appraisals may have run out, the office still wants to investigate other reports that may be more recent and indicated that the real estate firm could become a party to future legal action by the office.
James’ office is also seeking details on how much money Cushman and Wakefield has made from its relationship with the Trump Organization.
Engoron also granted the attorney general’s office’s request to file documents with the court only, because they contained information that could harm its ongoing investigation.
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