Trump Organization ordered to pay $1.6 million fine for criminal tax fraud - CBS News

Trump Organization blameworthy successful taxation fraud proceedings

New York assemblage finds Trump Organization blameworthy connected each counts successful taxation fraud case 03:25

Two Trump Organization companies were ordered to wage a $1.6 cardinal good astatine sentencing Friday, aft a assemblage past period unanimously recovered them guilty of 17 counts related to taxation fraud. The good imposed by Judge Juan Merchan was the maximum punishment allowed successful the lawsuit — treble the magnitude of the taxes avoided.

Executives astatine the 2 companies, called the Trump Corporation and Trump Payroll Corporation, were recovered to person illegally reduced payroll liability done a assortment of schemes, including giving executives untaxed bonuses and high-end perks worthy millions. 

Former President Donald Trump was not personally charged successful the lawsuit and has denied immoderate cognition of the scheme, but Manhattan District Attorney Alvin Bragg has said Trump remains nether investigation. 

After the sentencing, Bragg said helium would similar authorities instrumentality to alteration to let higher fines for companies that perpetrate "this benignant of decade-plus systemic, egregious fraud." Bragg said the sentencing "closes this important section of our ongoing probe into the erstwhile president and his businesses."

"We present determination connected to the adjacent chapter," Bragg said. He did not respond to questions astir whether Trump himself mightiness beryllium charged. 

The company's longtime erstwhile main fiscal officer, Allen Weisselberg, was sentenced Tuesday to 5 months successful New York City's Rikers Island jail. Weisselberg entered a blameworthy plea successful August and testified against the institution arsenic portion of a woody with prosecutors. 

At the sentencing proceeding Friday, Manhattan Assistant District Attorney Joshua Steinglass said the companies' behaviour "can lone beryllium described arsenic egregious." And helium asserted, "A fig of these actions were implicitly sanctioned from the apical down."

Defense lawyer Susan Necheles reiterated that the companies volition beryllium appealing the conviction."The D.A., arsenic usual, oregon again, does not recognize the taxation law, and that was portion of what was incorrect successful this case," she said.

Weisselberg's 3 days of grounds included elaborate descriptions of respective methods utilized by the institution and its executives to skate connected taxes. He besides said that Trump and 2 of his children played a relation by signing checks successful immoderate of the schemes, though helium denied that they authorized oregon conspired successful the fraud. Steinglass said during the proceedings that the grounds and Weisselberg's grounds showed Trump "explicitly sanctioning taxation fraud."

Defense attorneys said Trump was unaware of the schemes playing retired beneath him, portion prosecutors said helium signed disconnected connected them. 

The Trump Organization's lawyers said Trump and his institution were "betrayed" by Weisselberg, saying repeatedly, "Weisselberg did it for Weisselberg."

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• The Trump Organization