Trump Organization CFO Allen Weisselberg Pleads Guilty To Tax Fraud, Evasion

(Photo by TIMOTHY A. CLARY/AFP via Getty Images)

Nicole Silverio Media Reporter
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A top executive at the Trump Organization pleaded guilty Thursday to 15 counts of tax evasion and fraud in a deal that could allow him to be a witness against the company in an upcoming trial.

Allen Weisselberg, the Chief Financial Officer of the Trump Organization, admitted to evading the payment of $1.76 million worth of unreported income, Manhattan District Attorney Alvin Bragg announced. The Trump Organization provided the executive with untaxed perks, including free rent on his Riverside Boulevard apartment in Manhattan, lease payments on his several Mercedes Benz cars and private school tuition for his grandchildren, the district attorney’s statement read.

The CFO further confessed to withholding income taxes on salaries, wages and bonuses paid by him and other employees, the statement said. He also admitted to another aspect of the scheme that allowed the Trump Organization to evade payroll taxes.

Weisselberg pleaded guilty to one count of second degree Grand Larceny, three counts of third degree Criminal Tax Fraud, one count of a first degree Scheme to Defraud, and one count of Conspiracy, according to Bragg’s office. He additionally pleaded guilty to four counts of Offering a False Instrument for Filing, and four counts of Falsifying Business Records.

“As admitted by the defendant in his plea allocution in court, from 2005 to June 30, 2021, in his role as the Chief Financial Officer of the Trump Organization, and together with the Trump Organization,” the statement read, “[Mr.] Weisselberg engaged in a scheme to defraud federal, state and city tax authorities to enrich himself and other Trump Organization employees.”

Judge Juan Manuel Merchan sentenced the executive to five months in New York City’s Rikers Island jail complex, five years of probation and be required to pay nearly $2 million in taxes, penalties and interest to the New York City and New York State tax authorities, according to Bragg’s office.

The deal is contingent on Weisselberg’s testimony in a trial against the Trump Organization in the fall, the statement read. Jury selection in the upcoming Trump Organization trial will take place October 24, according to Bragg’s office. (RELATED: Allen Weisselberg Called To Testify Before Grand Jury: WSJ)

“This plea agreement directly implicates the Trump Organization in a wide range of criminal activity and requires Weisselberg to provide invaluable testimony in the upcoming trial against the corporation. Furthermore, thanks to the incredibly hard work and dedication of the team prosecuting this case, Weisselberg will spend time behind bars. We look forward to proving our case in court against the Trump Organization,” he continued.

Weisselberg surrendered to authorities over the tax-related charges in July 2021. Manhattan District Attorney Cyrus Vance investigated whether the gifts he received from former President Donald Trump were unpaid for in taxes.