The financial watchdog for former president Donald Trump’s 250 million civil fraud case informed the judge overseeing the case on Wednesday of approximately $40 million in cash transfers that were not previously reported.
Barbara Jones, a retired federal court judge who Engoron had appointed to monitor financial activity in the Trump Organization, said that there were some violations but overall, the Trump Organization is cooperating and generally following the court’s orders.
The defendants were required to disclose any cash transfers exceeding $5 million. Jones stated that her team reviewed the bank statements of 12 accounts between January and October of this year and found three cash transfers in excess of $5 million. This totaled approximately $40 million. Included was a transfer to Donald Trump of $29,000,000 for tax payments.
Jones wrote: “We have talked to defendants about why they were not reported and I’ve clarified that (and defendants agreed) all transfers from the trust in excess of $5 million have to be reported.”
Jones stated that her team reviewed and requested financial information regarding the sale of Trump Organization’s license for Trump Golf Links in Ferry Point. They also examined the payoff of the Trump Tower loan in Chicago and the Conservation Easement Tax filing for Trump National Doral Miami.
Jones stated that the tax returns of six trust entities relevant to this case were not disclosed promptly during a period in which defendants had to report financial information to third parties. This included certain tax returns from trust entities. Upon her request, the defendants did provide tax returns. They also “acknowledged their exclusion as an oversight,” Jones wrote.
She added that defendants have agreed to a more intensive monitoring process, given the issues described in the report. They “have also committed to ensuring all the required information is disclosed promptly to the monitor.”
Jones also noted that her previous report from August found that financial disclosures are either inconsistent or incomplete. She said that she had since noted that the company took steps to resolve issues under ongoing monitoring. Jones detailed in that report the incompleteness of some Trump Organization disclosures.
Chris Kise, the lead attorney for Trump, did not respond immediately to a comment request.
His attorneys announced in court on Monday that the former president will testify in his own defence next month in his ongoing civil fraud case. Kise stated that the former president would be the last witness for defense on December 11.
Both Donald Trump Jr. and Eric Trump, Trump’s adult sons have testified in the case. Kise confirmed that Eric Trump will be testifying again on December 6.
The trial is a result of a lawsuit brought by the New York Attorney General Letitia J. James against the Trump Organization and family in relation to her civil investigation that spanned years into the business practices of the company. The lawsuit claims years of fraud in the areas of insurance, tax and bank.