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New York attorney general investigating if President Trump inflated assets for loans

New York attorney general probes if President Trump inflated assets for loans
Posted at 11:42 AM, Aug 24, 2020

NEW YORK (AP) — New York’s Democratic attorney general asked a court to enforce subpoenas into an investigation into whether President Donald Trump and his businesses inflated assets on financial statements.

Attorney General Letitia James filed a petition Monday in state trial court in New York City naming the Trump Organization, an umbrella group for the Republican president’s holdings. It also included other business entities.

The filing also named Eric Trump and Seven Springs, a New York estate owned by the Trump family.

“I took action to force the Trump Organization, and specifically EVP Eric Trump, to comply with my office’s ongoing investigation into its financial dealings,” wrote James on Twitter on Monday. “For months, the Trump Organization has failed to fully comply with our subpoenas in this investigation.”

The attorney general’s office is investigating whether the Trump Organization and the president improperly inflated the value of assets to secure loans and obtain economic and tax benefits.

James says their investigation began after Michael Cohen, the president’s former lawyer, testified before Congress that Trump’s annual financial statements inflated the values of his assets to obtain favorable terms for loans and insurance coverage, while also deflating the value of other assets to reduce real estate taxes.

“We are seeking thousands of documents and testimony from multiple witnesses regarding several Trump Organization properties and transactions, including from Eric Trump, who was intimately involved in one or more transactions under review,” wrote James.