NY Accuses Trump Of Forming New Company To Hide Assets, Motions To Block

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Devan Bugbee Contributor
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The New York attorney general’s office motioned Thursday to block former President Donald Trump from moving his assets to a new company amid an investigation spearheaded by New York attorney general (AG) Leticia James into Trump and his children.

James asked judge Arthur Engoron of the New York Supreme Court’s 1st Judicial District to bar Trump from moving his holdings to his Delaware-based company “Trump Organization II LLC,” which he allegedly formed Sept. 21, the same day James reportedly sued Trump and his children, CNBC reported. In the case that Trump loses the lawsuit from the New York AG, it would become purportedly challenging to force a fine onto the Trump Organization if its holdings are in a company not mentioned in the defendant’s case, James stated, according to the outlet.

“Beyond just the continuation of its prior fraud, the Trump Organization now appears to be
taking steps to restructure its business to avoid existing responsibilities under New York law,” James’ lawyers claimed in a Manhattan Supreme Court filing, the outlet noted.

In addition to the motion to hold, James apparently asked the court to “appoint an independent monitor to oversee any new financial disclosures made to banks and insurers to ensure they are not fraudulent,” she tweeted. (RELATED: ‘Political Hit Job’: Bill Barr Rips Letitia James Over Trump Lawsuit)

James accused Trump, his three oldest children, the Trump Organization, former Trump Organization CFO Allen Weisselberg, and its controller Jeffrey McConney of manipulating asset values to pay lower taxes, satisfy loan agreements, and secure better insurance deals and loans. James’ lawsuit aims to ban Trump, Donald Jr., Eric, and Ivanka from serving as officers or directors of any New York-registered or licensed corporation and prohibit the former president and the Trump Organization from starting any acquisition or applying for loans from any financial institution statewide for five years.