Emoluments Clause

‘Follow the Money’ – Congress needs to see Trump tax returns

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Donald Trump has consistently misled the public about releasing his tax returns, as every presidential candidate and president has done since Richard Nixon. Trump started out saying “If I decide to run for office, I’ll produce my tax returns, absolutely,” he said. “And I would love to do that.” Then he hemmed and hawed, and finally spewed bullshit about how he couldn’t release his tax returns because he is under an audit. After he was elected Trump asserted no one cared about his tax returns, and has consistently refused to produce his tax returns. All the things Donald Trump has said about releasing his tax returns.

The previous Republican Congress enabled Trump to get away with not producing his tax returns as part of its oversight function, despite three Emoluments Clause cases having been filed, and long-standing allegations about foreign money flowing into the Trump organization, money laundering and influence peddling.

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A White House Under Siege (Updated)

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The cascade of investigations into the Trump crime family of grifters accelerated late last week with the Wall Street Journal reporting that the Trump Inauguration Committee is under investigation, Trump Inauguration Spending Under Criminal Investigation by Federal Prosecutors (subscriber content), and the New York Times following up to add that a Trump Super PAC is also under criminal investigation. Trump Inaugural Fund and Super PAC Said to Be Scrutinized for Illegal Foreign Donations:

Federal prosecutors are examining whether foreigners illegally funneled donations to President Trump’s inaugural committee and a pro-Trump super PAC, Rebuilding America Now, in hopes of buying influence over American policy, according to people familiar with the inquiry.

The inquiry focuses on whether people from Middle Eastern nations — including Qatar, Saudi Arabia and the United Arab Emirates — used straw donors to disguise their donations to the two funds. Federal law prohibits foreign contributions to federal campaigns, political action committees and inaugural funds.

The line of questioning underscores the growing scope of criminal inquiries that pose a threat to Mr. Trump’s presidency.

The inquiry into potential foreign donations to the inaugural fund and the super PAC is yet another front being pursued by multiple teams of prosecutors.

MSNBC put together a graphic for the burgeoning number of  investigations.

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The Washington Post attempts to summarize all of the current investigations that are known. Mounting legal threats surround Trump as nearly every organization he has led is under investigation:

Two years after Donald Trump won the presidency, nearly every organization he has led in the past decade is under investigation.

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Discovery in Emoluments Clause case to be resisted by the Grifter-in-Chief

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Grifter-in-Chief Donald Trump’s lawyers made a desperate last-minute bid over the weekend to block the discovery process in the Emoluments Clause case filed by the Attorneys general of Maryland and the District of Columbia.  U.S. District Court Judge Peter Messitte rejected their arguments.

The attorneys general of Maryland and the District of Columbia have wasted no time in seeking discovery. Maryland and District of Columbia Seek Business Records Related to Trump Hotel:

The State of Maryland and the District of Columbia began issuing subpoenas on Tuesday for records related to President Trump’s hotel in Washington, seeking evidence of conflicts of interest that violate the Constitution’s anti-corruption provision.

See Subpoena For Documents (.pdf) to U.S. Department of Commerce (for payments made to Trump International Hotel, etc.), and Subpoena For Documents (.pdf) to DJT Holdings, LLC (for financial records from as many as 13 of President Trump’s private entities, including all state and federal business income tax returns, etc.) Production of documents is due on January 3, 2019.

The subpoenaed documents could lead to depositions with Trump Organization officials.

Their demands for a vast array of documents, including tax records related to the president’s business, are certain to run headlong into a legal challenge by the administration. The Justice Department is expected to contest rulings by a federal judge who allowed the litigation to go forward, and the case appears bound for the Supreme Court.

The governments of Maryland and the District of Columbia are claiming that Mr. Trump is violating the emoluments clauses of the Constitution by accepting payments from foreign leaders or state officials who patronize the Trump International Hotel, which is on Pennsylvania Avenue just blocks from the White House. They are seeking documents from about a dozen entities connected to Mr. Trump’s business, including the trust in which he placed assets when he became president, as well as from numerous other entities.

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Trump crime family finances exposed in blockbuster New York Times report

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The New York Times has published a massive investigative report into the Trump crime family finances. In the process, the Times has burst the myth purveyed by Donald Trump for years that he is a self-made man. He was born on third base and thinks he hit a triple. The Trump empire is built upon a foundation of fraud, tax evasion and money laundering through real estate. Trump Engaged in Suspect Tax Schemes as He Reaped Riches From His Father (excerpt):

The president has long sold himself as a self-made billionaire, but a Times investigation found that he received at least $413 million in today’s dollars from his father’s real estate empire, much of it through tax dodges in the 1990s.

President Trump participated in dubious tax schemes during the 1990s, including instances of outright fraud, that greatly increased the fortune he received from his parents, an investigation by The New York Times has found.

Mr. Trump won the presidency proclaiming himself a self-made billionaire, and he has long insisted that his father, the legendary New York City builder Fred C. Trump, provided almost no financial help.

But The Times’s investigation, based on a vast trove of confidential tax returns and financial records, reveals that Mr. Trump received the equivalent today of at least $413 million from his father’s real estate empire, starting when he was a toddler and continuing to this day.

Much of this money came to Mr. Trump because he helped his parents dodge taxes. He and his siblings set up a sham corporation to disguise millions of dollars in gifts from their parents, records and interviews show. Records indicate that Mr. Trump helped his father take improper tax deductions worth millions more. He also helped formulate a strategy to undervalue his parents’ real estate holdings by hundreds of millions of dollars on tax returns, sharply reducing the tax bill when those properties were transferred to him and his siblings.

These maneuvers met with little resistance from the Internal Revenue Service, The Times found. The president’s parents, Fred and Mary Trump, transferred well over $1 billion in wealth to their children, which could have produced a tax bill of at least $550 million under the 55 percent tax rate then imposed on gifts and inheritances.

The Trumps paid a total of $52.2 million, or about 5 percent, tax records show.

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Looks like almost everyone is now ready to ‘flip’ on Donald Trump

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Allen Weisselberg has served as executive vice president and chief financial officer at the Trump Organization for decades. The Wall Street Journal reported that Weisselberg was once described by a person close to the company as “the most senior person in the organization that’s not a Trump.”

NBC News’ reports that Weisselberg, the longtime chief financial officer of the Trump Organization, is apparently “Executive 1” referenced in the prosecutors’ filing in the Michael Cohen case.

The Wall Street Journal reports today, Allen Weisselberg, Longtime Trump Organization CFO, Is Granted Immunity in Cohen Probe:

Allen Weisselberg, President Trump’s longtime financial gatekeeper, was granted immunity by federal prosecutors for providing information about Michael Cohen in the criminal investigation into hush-money payments for two women during the 2016 presidential campaign, according to people familiar with the matter.

Mr. Weisselberg, who is chief financial officer of the Trump Organization, was called to testify before a federal grand jury in the investigation earlier this year, The Wall Street Journal previously reported, citing people familiar with the investigation. He then spoke to investigators, though it isn’t clear whether he appeared before the grand jury.

The decision by prosecutors in the Manhattan U.S. attorney’s office to grant immunity to Mr. Weisselberg escalates the pressure on Mr. Trump, whom Mr. Weisselberg has served for decades as executive vice president as well as CFO for the Trump Organization. After Mr. Trump was elected, he handed control of his financial assets and business interests to his two adult sons and Mr. Weisselberg.

Mr. Weisselberg didn’t respond to a request for comment. A lawyer for Mr. Trump, who on Thursday said so-called flipping “almost ought to be illegal,” declined to comment.

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