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The criminal trial in which the Trump Organization is accused of carrying out tax fraud between 2005 and 2021 is set to begin.
Jury selection will take place Monday at Manhattan's New York State Supreme Court building. Based on a long-running probe into the business dealings of the former president's company, prosecutors accuse the Trump Organization of carrying out a 15-year scheme to defraud tax authorities by evading taxes by compensating employees through "off-the-books" benefits such as luxury items and apartments.
The Manhattan District Attorney's Office has charged the Trump Organization with nine counts of tax fraud, conspiracy and other offenses, such as falsifying business records for allegedly making the off-the-books payments to executives.
The company has pleaded not guilty to the charges, none of which are directed against Donald Trump personally.
In August, the Trump Organization's longtime chief financial officer, Allen Weisselberg, pleaded guilty to 15 counts relating to tax evasion, including conspiring to carry out the scheme. He is expected to be a star witness during the trial as part of his plea deal.
Here are five things to keep in mind as the trial proceeds. It is expected to last four weeks.
What Is the Trump Organization Accused Of?
The Trump Organization is a major company that comprises more than 500 corporate entities. Prosecutors allege that two of these entities—the Trump Corp. and Trump Payroll Corp.—helped executives evade taxes on compensation by hiding a number of perks and bonuses beginning in 2005.
For instance, Weisselberg pleaded guilty in August to accusations that he avoided taxes on more than $1.7 million of untaxed benefits, including school tuition for his grandchildren, rent for a Manhattan apartment and a luxury car.
The scheme allowed Trump Organization executives to pay significantly less taxes than they should have, according to the allegations.
Will Trump Be Made to Testify?
Despite signing some of the checks at the center of the case's evidence, Trump has not been accused of any crime and is not expected to testify or attend the trial.
However, Manhattan District Attorney Alvin Bragg, who took over the case from Manhattan District Attorney Cyrus Vance Jr., has said that the investigation is ongoing and that Trump could still face criminal charges. Previously, there were indications that the probe into the former president could be winding down, with no decision to indict him.
What Will Weisselberg Testify About?
Weisselberg is not expected to implicate Trump or the former president's family when he takes the stand. However, his testimony may help further implicate the real estate company if it can be shown that others were aware of the alleged tax fraud crimes.
Weisselberg's testimony could also help the defense's argument that the alleged crimes were carried out by just a few rogue executives who lied on their tax returns, as opposed to any culture of criminality within the Trump Organization.
When Weisselberg pleaded guilty in August, he named Jeffrey McConney, the Trump Organization's longtime senior vice president and controller, as an executive he conspired with.
McConney, who was granted limited immunity to testify, could also appear during the trial to answer questions under oath.
What's at Stake for the Trump Organization?
The company faces a maximum fine of $1.7 million if it is found guilty of the charges. The Trump Organization would then have trouble obtaining future loans and making business deals. A guilty verdict would also damage Trump's reputation ahead of a potential run for president in 2024, which he has teased.
The results of the trial would also have a knock-on effect on the civil case led by New York Attorney General Letitia James. Her probe, which is running in parallel to Bragg's investigation, is looking into allegations that the family company exaggerated the value of a number of assets, to the tune of billions of dollars, to obtain better loans and other financial benefits.
James' investigation is looking to bar the former president and the Trump Organization from entering into any New York real estate acquisitions for five years.
Could Anyone Go to Jail?
Following his guilty plea in exchange for testifying at the trial, Weisselberg will serve five months in prison and be put on probation for five years.
Because the criminal trial involves charges against a corporate entity, neither Trump nor his sons Eric and Donald Trump Jr., who took over running the company when their father ran for president in 2016, will be held personally liable if a jury returns a guilty verdict.
The Trump Organization has been contacted for comment.
About the writer
Ewan Palmer is a Newsweek News Reporter based in London, U.K. His focus is reporting on US politics, and Florida ... Read more