A judge has decided enough is enough, holding Cushman & Wakefield in contempt for failing to comply with a subpoena in the investigation into Donald Trump and the Trump Organization.
Judge Arthur Engoron signed the contempt order on Tuesday, The Daily Beast reported. The commercial real estate giant will be fined $10,000 per day until it hands over evidence to state investigators. The judge said in the order the company “fails to identify any good cause” for missing the June 29 deadline.
Lawyers for the company filed for an extension on the deadline with fewer than 30 minutes left on the clock, but the attorney general’s office later asked the judge to step in. An affidavit from the third party assisting Cushman with compiling evidence seemed to hint that its appeal of the subpoena would be successful, as it dismissed the eight weeks it was given to comply.
In a statement, Cushman said it “has gone to great expense and effort to identify, collect, review and produce the massive set of documents.” It also accused the attorney general of “misleading the court” on the company’s efforts to comply with the subpoena.
Cushman has spent weeks resisting the subpoena, which came about due to a civil inquiry being led by New York Attorney General Letitia James. She has been seeking information regarding Cushman’s appraisals of several Trump properties, including 40 Wall Street.
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Cushman appraised several Trump properties, James has said since announcing a probe into whether the Trump Organization misstated real estate values for favorable loan terms or tax purposes.
The judge in the case previously accused Cushman of inconsistencies in “adhering to its internal quality control practices when conducting appraisals on behalf of the Trump Organization.”
James claimed in January investigators “uncovered significant evidence” suggesting misleading or fraudulent valuations helped to woo lenders, insurers and the IRS. Cushman has repeatedly stood behind its appraisals and appraisers as the case has unfolded.
The former president and the Trump Organization have denied the allegations in the civil probe. They have also denied the allegations in an ongoing criminal investigation being led by the Manhattan district attorney’s office.
[The Daily Beast] — Holden Walter-Warner