Trump must testify in New York fraud probe: Judge rules
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State judge Arthur Engoron has ordered Trump and his two eldest children, Donald Jr. and Ivanka, to comply with subpoenas.
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Trump must testify in New York fraud probe: Judge rules
A judge ruled on Thursday that former US President Donald Trump must testify under oath in New York's civil probe into fraudulent practices at his family business.
This ruling deals Trump a mighty legal blow, which constitutes his latest as he fights numerous other cases, including the January 6 attack on the Capitol, that obstructs his path to a new presidency at the White House in 2024.
State Judge Arthur Engoron ordered Trump and his two eldest children, Donald Jr and Ivanka, to comply with subpoenas issued by New York Attorney General Letitia James.
He said the three must sit for depositions within 21 days. It is expected that the Trumps will appeal.
Earlier during oral arguments, the Trumps' lawyers said that the subpoenas should be quashed because having them give evidence in the civil case would prejudice their rights in a parallel criminal investigation.
Engoron said their argument "completely misses the mark," noting that neither the Manhattan District Attorney, which is running the criminal investigation, nor James's office has ordered the Trumps to appear before a grand jury.
In his ruling, Engoron added that the Trumps could invoke their Fifth Amendment right not to incriminate themselves during questioning in the civil case.
In January, New York Attorney General Letitia James revealed new details about her civil investigation into former President Donald Trump's business, saying the investigation has uncovered evidence indicating fraud valuing of multiple assets and false representation of those values to financial institutions for economic gain.
She said that the civil inquiry had found that the Trump Organization fraudulently overvalued multiple assets to secure loans and then undervalued them to minimize taxes.
In the court filing, James, who began her investigation in 2019, also stated that the former {resident "had ultimate authority over a wide swath of conduct by the Trump Organization involving misstatements to counterparties, including financial institutions and the Internal Revenue Service."
The Trumps have claimed the investigation is politically motivated and have urged the court to quell subpoenas against the three.
If James finds evidence of financial misconduct, she can sue the Trump Organization for damages but cannot file criminal charges.
The probe, however, is running alongside a very similar criminal investigation by the Manhattan district attorney for possible financial crimes and insurance fraud.
In July last year, the Trump Organization and its long-serving finance chief, Allen Weisselberg, pleaded not guilty in a New York court to 15 felony fraud and tax evasion charges. His trial is due to begin in the middle of this year.
