A New York jury has found two Trump Organization companies guilty of multiple counts of criminal tax fraud and falsifying business records.
Trump Corp. and Trump Payroll Corp., along with longtime Chief Financial Officer Allen Weisselberg, were accused of failing to report compensation to top executives in a scheme to avoid paying taxes on their earnings. Weisselberg previously pleaded guilty to tax evasion and agreed to testify in exchange for a five-month jail sentence.
During the trial, Weisselberg testified that he received $1.76 million in 'indirect employee compensation," which included expensive cars, a rent-free apartment, and tuition for his granddaughter's private school. He said that other top executives received similar benefits.
“This was a case about greed and cheating,” said Manhattan District Attorney Alvin Bragg. “The Trump Corporation and the Trump Payroll Corporation got away with a scheme that awarded high-level executives with lavish perks and compensation while intentionally concealing the benefits from the taxing authorities to avoid paying taxes. Today’s verdict holds these Trump companies accountable for their long-running criminal scheme.”
The companies face up to $1.6 million in fines. The exact amount will be determined during a hearing in January.
Donald Trump and his children were not charged in the case.