The state of New York’s chief law enforcement officer may soon file a civil lawsuit against former president Donald Trump, his eponymous real estate and licensing conglomerate, and at least one of his adult children after the twice-impeached ex-president’s proposed settlement that would have ended a years-long probe into whether his companies defrauded state tax authorities was rejected.
Citing three sources “with knowledge of the matter,” The New York Times reported on Thursday New York State Attorney General Letitia James had rejected an offer to settle the long-running fraud investigation. The rejection of Mr Trump’s offer is a strong indicator that Ms James intends to sue Mr Trump and the Trump Organization for defrauding New York out of tax revenues by improperly deflating valuations of his property and improperly obtaining other tax benefits.
Ms James is also reportedly considering filing suit against one of Mr Trump’s three eldest children. All three of them — Donald Trump Jr, Ivanka Trump and Eric Trump — have served as executives at their father’s company.
The Times said Mr Trump’s attorneys have made multiple entreaties to Ms James, each time offering to settle the case and avoid litigation. Each of those offers has been rejected.
Over the course of the three-year civil probe into whether Mr Trump or his companies violated tax laws, the ex-president has repeatedly attacked the investigation as politically-motivated and at times denigrated Ms James as “racist”. He also attempted to enjoin her from investigating him by way of a federal lawsuit, but courts rejected that litigation earlier this year.
Mr Trump’s company also faces legal peril in criminal court as a result of its’ alleged business practices.
Next month, prosecutors working under New York City District Attorney Alvin Bragg will deliver opening statements in a criminal trial of the Trump Organization on charges that it committed criminal tax violations. The company could face massive financial penalties if convicted.
