- The Trump Organization tax-fraud case is currently in its second week in Manhattan’s criminal courthouse.
- Tuesday’s evidence was presented to jurors and showed the first link between the alleged fraud and the top of the company.
- Donald Trump and Eric Trump may have signed documents that could refute defense claims that it was stopped with underlings.
The first evidence linking Donald Trump to the case has been presented to jurors at the Trump Organization criminal tax fraud trial. Key documents bear the signature and initials of the ex-president in Sharpie-scrawled format.
This early prosecution breakthrough came Tuesday in the Manhattan courtroom where Trump’s real-estate and golf resort empire — though not Trump himself — is on trial for allegedly helping its executives cheat on their income taxes.
The prosecution gave the jury details and a witness confirmed that Trump had signed a half-dozen important documents and letters. This evidence was intended to refute defense claims about the tax-dodge program stopping one rung below the top of the company. It could also be used to prove that Trump was not involved.
Jeffrey McConney, the first witness in the trial, introduced the documents. McConney is the controller of Trump Organization and responsible for tax reporting and payroll.
McConney would cause a halt to the trial on Tuesday afternoon. Positive for COVID-19During the lunch break. His testimony — and the trial itself — is tentatively scheduled to resume Monday morning.
But during his morning on the stand on Tuesday — and in between bouts of coughing — McConney managed to do some damage to the defense by saying “Donald Trump,” “Mr. Trump” and “President Trump” repeatedly as he was asked to identify the signatures being shown on courtroom screens.
“Who’s signed that?” Joshua Steinglass, one the lead prosecutors, asked McConney while jurors viewed an overhead projection showing a May 1, 2005, letter.
McConney stated that Trump was the signer, identifying the mini mountain range of Sharpie ink below the letter.
“And is that his complete signature?”
McConney responded, “Yes,”
Trump signed a letter dated 17 years ago authorizing a $6500-per-month lease for an apartment at Manhattan’s Hudson River waterfront. Trump’s letter indicated that the apartment would only be lived-in by his chief financial officers.
Steinglass inquired about the contents of the letter and was told that Donald J. Trump had authorized Donald J. Trump’s signing of the lease. The controller who was coughing answered, “Yes.”
“Who signed the lease?” Steinglass asked Steinglass about the apartment and showed him the lease.
McConney responded, “That’s President Trump’s signature.”
The now former CFO who enjoyed that free company apartment — in what was once the Trump Place on Riverside Boulevard — is an even more important prosecution witness, Allen Weisselberg, who started with the company back when Trump’s father was running it in 1973.
He’s now a “special adviser” on leave, but still gets his salary and a defense attorney on Trump’s dime. In August, Weisselberg admitted that he lived in the apartment for many years as part of an “off-the-tax books” package of executive “perks” from Trump Organization.
The entire case is about these “perks” — fringe benefits ranging from luxury cars and apartments to free electronics, carpeting, and private school tuition for Weisselberg’s son and grandkids.
Weisselberg pleaded guilty to the fact that he had pocketed over $1.76 million in perks in the 15-year period of the tax-dodge scheme. While the perks were part of his salary, he did not pay income taxes as required by law.
Weisselberg now is the fall guy in the defense strategy. Trump was not a participant in the tax-dodge program. jurors were told in defense opening statements Monday. Instead, the CFO initiated and ended the scheme.
Trump Organization lawyer Michael van der Veen stated repeatedly to jurors during openings, “Weisselberg did that for Weisselberg.”
On Tuesday the prosecution theory — which alleges that at least on some occasions Trump, and therefore the company, did it for Weisselberg — is being bolstered by a scattering of paperwork in this already document-dense trial.
At one point Tuesday, jurors saw Trump’s black marker initials on two 2011 invoices. One invoice was from P.C. Richard & Son, Trump signed off on $1,954.17 in electronics. On the other hand, he approved nearly $7,000 worth of carpeting from ABC Carpet and Home.
Prosecutors claim that both electronics and carpeting were part Weisselberg’s illegally untaxed perks package.
Eric Trump’s signature was also seen on Tuesday’s 2020 document that jurors saw.
Witnesses and the prosecution confirmed that the document was a record of Eric Trump signing off for Weisselberg’s 2016 pay, which included $640,000 plus $500,000 bonus. McConney would earn $300,000.
Prosecutors claim that Trump personally signed six years of tuition fees for Weisselberg’s grandchildren.
Steinglass asked McConney on Tuesday: “Are your aware that Allen Weisselberg’s grandchildren went to private school” in Manhattan.
The controller replied, “Yes,”
Steinglass asked McConney about the name of the school. McConney responded “Columbia some.” “I don’t recall.”
“Columbia Grammar and Preparatory School?” The prosecutor suggested.
McConney replied, “I believe so.”
“That’s also the place where Donald Trump’s son went?” The prosecutor continued.
McConney replied again, “I believe so.”
The prosecutor asked, “Who paid the tuition?” for Weisselberg’s grandkids.
The controller murmured, “Mr. Trump.”
“You said Mr. Trump?” The prosecutor was asked.
The controller replied, “President Trump.”
“Did that he sign those checks personally?” The prosecutor asked.
The controller replied, “I believe so. Yes.”
“Who decided that Donald Trump would pay Allen Weisselberg’s tuition?” the prosecutor asked.
This was a strategic query. This was a strategic question. Could Weisselberg have done it for Weisselberg? Trump could uncap his marker to sign his own checks.
“I don’t know,” was the answer of the controller, one of many occasions where he didn’t want to implicate “the boss,” which he called the former president.
The jury has yet to see the Trump-signed tuition check, which includes one totaling $89,000, from 2015.
Now sick with COVID, McConney won’t be back on the stand — and the trial will not resume, and the tuition checks will remain in an evidence thumb drive — until Monday morning at the earliest.
