New York court fined US president $ 2 million: for which

On November 7, the Federal Court of New York fined US President Donald Trump $ 2 million for using his own charitable foundation for political purposes. This publication writes CNBC.

The court took this decision on the basis of a lawsuit filed by the office of the Attorney General of New York in connection with the management of the Trump Fund assets.

The lawsuit alleges that U.S. President Donald Trump spent the fund in the interests of his 2016 presidential campaign of the year, and also carried out other illegal activities for more than a decade.

“A Manhattan Supreme Court judge, Salianne Scarpulla, ruled that over $ 2,8 million collected by the Trump Foundation“ was used for the political campaign of Mr. Trump and paid directly to those who campaigned Mr. Trump, and not to the Fund itself, ”the newspaper writes. .

In the final part of her report, Scarpulla wrote that Trump had violated his fiduciary debt to the fund, as a result of which the organization lost funds.

Recall that the Trump Foundation announced the self-dissolution in December 2018 of the year. The funds that remained on the account of the organization were directed to charity.

Accusations against US President

7 November Trump said that "the New York Attorney General is deliberately characterizing this settlement for political reasons."

Scarpulla explained that the $ 2,8 million raised by the fund was donated to the veteran charity organizations for which they were intended. However, she ordered Trump to pay $ 2 million, which would have been allocated to the fund, if it still existed, as losses in the case.

At the same time, Scarpullah did not impose penalties on Trump, since he guaranteed not to engage in more alleged illegal activities, otherwise his fine would increase by millions of dollars.

Notre Dame Law School professor Lloyd Hitoshi Mayer, a tax law and election specialist, said that such a major settlement is "very unusual, especially when the funds discussed ultimately went to veteran charity."

About the lawsuit: no one is above the law

The lawsuit was filed in June by the then New York State Attorney General Barbara Underwood. He was directed against Trump and his three oldest children - Ivanka, Eric and Donald Jr.

According to the ex-Prosecutor General, the “model” of illegal behavior included “improper and extensive political activity, repeated and deliberate transactions with oneself, as well as failure to fulfill basic fiduciary obligations or even basic corporate formalities required by law.”

The lawsuit centered around fundraising in January 2016 in Iowa. Money was raised for veterans who joined the Trump Foundation. However, Underwood said the funds raised were used to influence Trump’s presidential campaign.

On the subject: Trump moves to Florida due to bad relationship in New York

“Trump's fiduciary debt violations included his fundraising campaign, as well as their use and distribution for Mr. Trump’s further political campaign,” Scarpulla wrote in her decision.

New York Attorney General Letitia James said on Thursday: “The Trump Foundation has been closed, funds illegally used are being restored, the president will be constantly monitored by my office, and Trump's children must undergo compulsory education so that this type of illegal activity never happens again.” not repeated. "

James emphasized that the court ruling and the way to resolve the situation are “a great victory in our efforts to protect charitable assets and hold accountable those who abuse charity for personal gain.”

“My office will continue to fight for accountability because no one is above the law - neither a businessman, nor a candidate for the position, or even the president of the United States,” James said.

Trump's Reaction

The president of the United States wrote an angry post on Twitter to the “sloppy New York Democrats” and said that he would not settle the matter.

A representative of the Trump Foundation in a statement on Thursday indicated that the charity was planning to dissolve itself after the 2016 election of the year, but this plan was postponed due to a “politically motivated lawsuit by the attorney general.”

He added that the Trump Foundation is pleased to donate an additional $ 2 million to such worthy organizations as: Army Emergency Relief; Children's Aid Society; City Meals-on-Wheels; Give an Hour; Martha's Table; United Negro College Fund; United Way of Capital Area; and the US Holocaust Memorial Museum.

The representative of the fund also recalled that since its founding in 1987, the Trump Foundation has allocated more than $ 19 millions "to hundreds of worthy charitable organizations." Over $ 9 millions came directly from President Trump.

After the presidential election of 2016, the Trump Foundation publicly announced its intention to self-dissolve and distribute the remaining funds to charity.
The representative of the fund emphasized that this donation was also delayed due to a politically motivated lawsuit by the prosecutor general.

“We are pleased that the court, rejecting the unfounded request of the attorney general to impose penalties, interest and other losses, admitted that every penny ever received by the Trump Foundation went to the aid of those most in need. Now that this issue has been completed, the Trump Foundation is proud to have made this additional contribution, ”the representative of the fund concluded.