Dem
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GOP
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Judge Arthur Engoron is expected to rule this week on how big a fine Donald Trump will get for defrauding banks and insurance companies. But now the plot thickens. The judge already determined that Trump broke the law. That isn't at issue (though there could be a finding of additional lawbreaking). After Engoron ruled that Trump broke the law, he appointed a monitor, former judge Barbara Jones, to keep track of Trump's financial affairs.
On Friday, Jones had a letter delivered to Engoron. In the sixth footnote of the 12-page letter, Jones remarked that Trump apparently claimed $48 million he received was a loan and thus not taxable income. Jones claims that when she asked for the loan agreement, she was told there was no loan. It never existed. If her allegations are true, this means that Trump received $48 million in income that he didn't report on his tax forms. This is tax fraud, pure and simple.
As of this morning, the story is beginning to spread. ABC News has it and by later today it is probably going to be elsewhere as well and NY AG Letitia James is surely going to notice it. We suspect she is going to contact Jones and ask for the details, and then subpoena Trump's New York State tax returns. If he is guilty of evading New York State taxes, well, that falls within the purview of the NY AG, no matter what the feds do. This is what is known as a "developing story." Keep an eye out. There is surely more to come. (V)