It looks like prosecutors are about to indict the Trump Organization. And that could mean great pain awaiting the former president, his family and their business associates.
According to media reports, New York prosecutors have given the Trump Organization’s lawyers a deadline Monday to prove why no criminal charges have been filed. Reports indicate that Manhattan District Attorney Cyrus Vance Jr., and New York Attorney General, Letitia James, are conducting a grand jury investigation into possible tax, insurance and bank fraud by the actions of former President Donald Trump. Among the matters said to be under investigation is whether the Trump Organization violated tax laws by offering employee benefits, such as cars, apartments and private school education, without paying taxes on them. If these reports are correct, then we can make at least three conclusions.
First, the plaintiffs trust their case. They are willing to put their testimony to the test by showing their cards to the organization’s attorneys. In what lawyers sometimes refer to as a “dog and pony show,” prosecutors share documents and testimonies that they believe prove elements of one or more criminal offenses and which defense attorneys dare to punch holes in. White-collar cases are often powerful because they rely on documents rather than eyewitnesses. Unlike human witnesses, documents generally do not lie and are not forgotten. Basically, prosecutors say they believe the evidence proves that a crime has been committed, but are willing to hear any additional facts from the defense that might be tempted to invalidate one or more elements of the crime or provide a valid defense.
The second conclusion we can draw is that fees seem likely. report in The Wall Street Journal He points out that Trump Organization attorney Ronald Fichte did not use Monday’s meeting to contest the evidence, but instead argued that the alleged misconduct should get a clearance. “In more than 50 years of practice, I have never seen an attorney general’s office target a company for employee compensation or fringe benefits,” Fischetti said in a statement. “Even the financial institutions responsible for causing the 2008 financial crisis, the worst financial crisis since the Great Depression, were not prosecuted.” It is worth noting that he did not deny these allegations. This position is unlikely to convince the plaintiffs.
Since the meeting between the lawyers was apparently not productive, we can expect the lawsuit to be filed soon. Prosecutors do not make idle threats about filing charges. That’s because their success depends on their credibility. If the prosecutor develops a reputation by threatening to press charges and failing to follow through, witnesses will be less inclined to expose themselves to criminal liability and to disdain their criminal partners by cooperating with the authorities. If Vance and James had already given the Trump Organization’s attorneys a deadline after which charges would be brought, in the absence of a convincing defense, it’s a safe bet that charges will be filed.
The third conclusion is that if charges are brought against the Trump Organization, it may not be the last. Corporate entities accused of crimes under faith Matches the top, making them responsible for the criminal conduct of their officers or employees. The company may be criminally liable if the employee commits a breach within the scope of his duties, and does so, at least in part, for the benefit of the organization. Sometimes the corporate structure distributes responsibilities, making individual responsibility blurry and allowing officers and employees to evade liability. But since corporations only operate through individuals, suing the corporation is usually not a substitute for suing individuals, but rather a supplement. When legal entities are charged, individual defendants are often charged as well. These charges could come later in what is known as the canceled indictment. So, even if the Trump Organization is the only defendant in this week’s indictment, that doesn’t mean the individuals won’t be charged. It just means that no charges have been brought against them yet. Usually, individual fees are reserved for high-level executives whose actions can be attributed to the company.
One reason for holding back charges against individual defendants is to give prosecutors a chance to persuade them to cooperate by pleading guilty and testifying against the most egregious offenders in exchange for leniency. Even if Trump Organization executives, such as CFO Allen Weiselberg or COO Matthew Calamari, have so far refused to cooperate, seeing an indictment showing criminal misconduct can make the threat of prosecution so real that conversations with their attorneys may not.
The initial indictment against the Trump Organization could be just an opening blow in a barrage of charges, naming executives, Trump family members, or even Trump himself.