DA Vance subpoenas NYC tax agency in Trump Org criminal probe

Discrepancies in property values could lead to fraud charge

New York /
Feb.February 22, 2021 09:45 AM
Donald Trump, Manhattan District Attorney Cy Vance and Trump Tower in New York (Photos via Getty, Wikipedia Commons)

Donald Trump, Manhattan District Attorney Cy Vance and Trump Tower in New York (Photos via Getty, Wikipedia Commons)

Manhattan District Attorney Cy Vance’s investigation into the Trump Organization may be ramping up.

Vance’s office subpoenaed the New York City Tax Commission, which reviews property tax assessments, as part of its criminal investigation into former President Donald Trump’s company, Reuters reported.

The subpoena would likely force the agency to provide Vance’s office with documents the Trump Organization filed with the agency in an effort to lower tax assessments for its portfolio, including Trump Tower and Trump Plaza.

The action suggests that Vance may be looking at the values assigned to the company’s commercial properties and whether there were any instances of fraud or falsification of records.

Vance, who declined to comment on the subpoena, hasn’t disclosed the focus of the investigation.

Daniel J. Horwitz, a white-collar defense lawyer, told Reuters that if Trump claimed a substantially lower value for a property in its tax filings than it did in documents it submitted to creditors, the discrepancy could help back up a fraud charge.

Vance subpoenaed at least two creditors — Deutsche Ban and Ladder Capital — that helped finance Trump’s real estate holdings.

The Manhattan DA scored another win against the former president today: The Supreme Court rejected Trump’s efforts to shield his tax returns from Vance, effectively ending the legal battle over his financial records. Vance responded to the news with three words, according to the Washington Post: “The work continues.”

New York State Attorney General Letitia James is leading a separate civil probe into whether Trump’s company falsely reported property values to secure loans and obtain economic and tax benefits. [Reuters] — Akiko Matsuda





    Related Articles

    arrow_forward_ios
    Make Greenland Great Again? Trump wants to buy Arctic territory
    Make Greenland Great Again? Trump wants to buy Arctic territory
    Make Greenland Great Again? Trump wants to buy Arctic territory
    Hamptons’ priciest summer rental to host MAGA extravaganza next month
    Hamptons’ priciest summer rental to host MAGA extravaganza next month
    Hamptons’ priciest summer rental to host MAGA extravaganza next month
    Mack Real Estate CEO Richard Mack and one of his new hotels at 51 Nassau Street. (Getty, ING)
    Mack Real Estate takes over 7 distressed Manhattan hotels
    Mack Real Estate takes over 7 distressed Manhattan hotels
    1440 Broadway and CIM Group’s Shaul Kuba (Google Maps, Getty)
    CIM closes on $400M refi for 1440 Broadway
    CIM closes on $400M refi for 1440 Broadway
    Theaters in some cities are opening with restrictions. (Getty, Photo Illustration by Alison Bushor for The Real Deal)
    Coming attraction: Movie theaters reopen in New York, San Fran
    Coming attraction: Movie theaters reopen in New York, San Fran
    Innovo Property Group's Andrew Chung with 23-30 Borden Avenue in Long Island City (Google Maps)
    Innovo lands $155M construction loan for LIC warehouse
    Innovo lands $155M construction loan for LIC warehouse
    Restaurants and bars accounted for a majority of the gains in February (iStock)
    Leisure, hospitality big winners in February job gains
    Leisure, hospitality big winners in February job gains
    The company currently operates 761 stores, and intends to open 100 new stores this fiscal year. (iStock)
    Retailer Burlington plans to double store count
    Retailer Burlington plans to double store count
    arrow_forward_ios

    The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

    Loading...