Published: Thu, June 14, 2018
People | By Neil Grant

Trump, Children Accused of Breaking New York Charity Laws

Trump, Children Accused of Breaking New York Charity Laws

New York's attorney general on Thursday sued U.S. President Donald Trump and his namesake foundation, saying the nonprofit should be dissolved after more than a decade of illegal conduct, including support for Trump's 2016 U.S. presidential campaign.

The suit centers on a "pattern of illegal conduct by the Foundation and its board members includ [ing] improper and extensive political activity, repeated and willful self-dealing transactions, and failure to follow basic fiduciary obligations or to implement even elementary corporate formalities required by law".

The lawsuit, filed in State Supreme Court in Manhattan, culminated a almost two-year investigation of Mr. Trump's charity, which became a subject of scrutiny during and after the 2016 presidential campaign.

The state's investigation, which stemmed from the Post's 2016 reporting on the charity, found that the Trump family allegedly violated a law that requires tax-exempt foundations to benefit the public good rather than the founders privately. But those presidential powers couldn't be applied to state level prosecutions such as the one in NY. "I won't settle this case!"The sleazy New York Democrats, and their now disgraced (and run out of town) A.G. Eric Schneiderman, are doing everything they can to sue me on a foundation that took in $18,800,000 and gave out to charity more money than it took in, $19,200,000. I won't settle this case!". She's seeking to ban Trump from serving as a director of a NY not-for-profit for 10 years.

The suit also alleges that the Trump charity raised in excess of $2.8m "in a manner created to influence the 2016 presidential election at the direction and under the control of senior leadership of the Trump presidential campaign".

The lawsuit also accuses Mr. Trump of using the foundation's charitable assets to pay his legal bills and promote Trump businesses.

Underwood also sent referral letters to the Internal Revenue Service and the Federal Election Commission for further action.

The president had already paid more than $330,000 in reimbursements and penalty taxes since 2016.

The foundation's mission says its funds are to be used "exclusively for charitable, religious, scientific, literary or educational purposes", either directly or through other organizations, according to the court filing.

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