Congressman Adriano Espaillat Calls for Immediate Resignation of NYC TLC Commissioner Following Driver Suicides

  Today, Congressman Adriano Espaillat issued the following statement calling for the immediate resignation of New York City’s Taxi and Limousine Commission (TLC) top official, Meera Joshi following a number of suicide deaths of NYC taxi drivers.

“I call on TLC Commissioner Meera Joshi to step down immediately,” said Congressman Adriano Espaillat. “Too many fathers have taken their lives due to the untenable working conditions, excessive fines, and oversaturated market created for New York City taxi and livery drivers. Commissioner Joshi needs to resign now because she has failed to resolve or even address this issue, as we continue to witness more lives come to a tragic end. We must address this critical issue before it’s too late for another NYC taxi driver or their family.”

Earlier this year, Congressman Espaillat released a white paper detailing recommendations to restructure the TLC and establish new rules and regulations that would address the challenges facing city drivers, incorporate modern rideshare platforms such as Uber and Lyft, and equalize the market for all driving competitors throughout New York City.

News From Congressman Eliot Engel

Engel Announces $244,789,502 in Title I Funding for Bronx Schools

  Congressman Eliot Engel, a top Member of the House Energy and Commerce Committee, announced the U.S. Department of Education has allocated $244,789,502 in federal funds to schools in the Bronx as part of the Fiscal Year 2018 Title I allocations.

Part of the Elementary and Secondary Education Act of 1965, the Title I program provides financial assistance to school districts with high concentrations of children from low-income families to help ensure that all children meet state academic standards.

“All children, regardless of race, income, language, or ability, should be given an equal playing field and access to the best possible education,” Engel said. “I have believed and fought for that ever since my days as a public school teacher. Unfortunately, our country faces an achievement gap between lower-income students and their more well-off peers. The Title I program provides critical resources to our local school districts to give underserved students the best possible chance to succeed in the classroom and close the gap.

“I will continue to fight for robust funding for our public schools, and advocate strongly for funding to help students achieve their highest potential.”

Engel Receives "Man Power Award" from Change a Life Ministries in the Bronx

  On Sunday, June 10^th Congressman Eliot Engel was awarded the “Man Power Award” by Change a Life Ministries for his outstanding work in both Washington and the community. The award was presented by Pastor Peggy Smalls at a ceremony held at Change a Life Ministries in the Bronx.

“Our Congressman has served with honor and grace, for there is no one greater. I present him with the 2018 Man Power Man of Honor Award,” said Change a Life Ministries Pastor Peggy Smalls.

“I am so proud to receive the Man Power Award and I want to thank Pastor Smalls and everyone at Change a Life Ministries for bestowing it upon me,” Congressman Engel said. “Representing my home borough as a Member of Congress has been my great honor. I have always said that when it comes to my constituents, no problem, care, or concern is too big or too small. I have worked hard to put the interests of the community first and will continue to do all I can to strengthen our neighborhoods.”

Manhattan U.S. Attorney Announces Extradition Of Italian National Implicated In International Money Laundering And Narcotics Conspiracy

Crimes Involved Laundering of Hundreds of Millions of Dollars in Narcotics Proceeds Using a Variety of Methods, Through the United States, Italy, Hong Kong, and Mexico, As Well As Trafficking Hundreds of Kilograms of Cocaine and Heroin

  Geoffrey S. Berman, the United States Attorney for the Southern District of New York, and David J. Downing, Special Agent in Charge of the Los Angeles Division of the U.S. Drug Enforcement Administration (“DEA”), announced today the extradition of FILIPPO MAGNI, who is charged, along with co-defendant GIACOMO MANCI, with money laundering and narcotics offenses in a Superseding Indictment (the “Indictment”).  MAGNI was extradited from Italy to the United States on June 14, 2018, and presented today before Chief United States Magistrate Judge Gabriel W. Gorenstein.  MANCI’s extradition from Italy remains pending.  This case is assigned to United States District Judge Katherine B. Forrest.

The Indictment, which was returned under seal on November 10, 2016, alleges that MAGNI and MANCI were members of an international narcotics trafficking and money laundering organization involved in trafficking hundreds of kilograms of cocaine and heroin, among other narcotics, and laundering hundreds of millions of dollars in narcotics proceeds through a variety of methods, including through seemingly “legitimate” corporations, shell bank accounts, and money couriers based in the United States and Europe.  MAGNI and MANCI were arrested in Italy and taken into custody by the Italian authorities pursuant to an extradition request made by the United States in January 2017. 

U.S. Attorney Geoffrey S. Berman said:  “As alleged, Filippo Magni and Giacomo Manci were key members of an international drug trafficking organization responsible for cleaning more than $250 million of drug dollars, ensuring that their criminal network could spend their illegal profits.  Now, Magni is on U.S. soil and will have to answer for his alleged crimes.”

DEA Special Agent in Charge David J. Downing said:  “This extradition demonstrates the reach of US law enforcement and exemplifies successful collaborations between federal, state, and local as well as international law enforcement.  Targeting the financial components of these organizations – no matter where in the world those components are located – enables us to put drug traffickers completely out of business.”

According to the allegations in the Indictment [1], the previously filed criminal complaints against the defendants, and statements made in Court:

The Investigation

Since July 2013, the DEA has been investigating an international drug trafficking and money laundering organization (the “Organization”) and its cartel clients, which together have been involved in trafficking hundreds of kilograms of cocaine and heroin, among other narcotics, and laundering narcotics proceeds through a variety of methods.  The Organization has ties to Panama, Mexico, Italy, Spain, and the United States, among other locations, and its members are believed to include the defendants.

MAGNI and MANCI are charged with membership in the Organization, which was led by Jesus Rodriguez-Jimenez.  Rodriguez-Jimenez, along with five co-defendants, were charged for their participation in the conspiracy in June 2016 in the Southern District of New York.  In June 2017, Rodriguez-Jimenez pled guilty to offenses stemming from his leadership role in the organization, and for laundering in excess of $250 million in proceeds on behalf of drug cartels in Mexico and Central America. 

This case is also related to the prosecution of Roberto Ponce-Rocha, a large-scale international narcotics trafficker based in Central and South America, who used various methods, including commercial shipments, drivers, and couriers to move narcotics around the world, and to import narcotics into the United States.  Ponce-Rocha and three other individuals were indicted separately in 2016.  In June 2017, Ponce-Rocha pled guilty to conspiring to import narcotics into the United States.

MAGNI and MANCI were essential players in the Organization, providing money laundering expertise in Europe and the United States, and facilitating the European distribution of narcotics provided by Roberto Ponce-Rocha.  For example, in August of 2013, MAGNI met with Ponce-Rocha in Panama to arrange for the shipment of vast amounts of narcotics to Italy; to this end, a test shipment of cocaine was sent to MANCI.

MAGNI facilitated the laundering of narcotics proceeds for the Organization in Italy, Switzerland, and the United Kingdom.

In January 2014, MAGNI and MANCI laundered hundreds of thousands of dollars in narcotics proceeds through a Las Vegas casino, and later deposited the laundered cash into bank accounts controlled by the Organization.

In February 2014, MAGNI and other members of the Organization orchestrated the physical movement of nearly a million dollars in narcotics proceeds across the United States.  MANCI, along with a co-conspirator, was arrested in Chicago while transporting this cash in a roller suitcase through an Amtrak station.

These activities were interconnected with the Organization’s front companies, including an LED screens business in Las Vegas, as well as stash houses operated by the Organization in various cities throughout the United States, including Atlanta and Philadelphia, in order to receive drug proceeds from criminal clients who wanted those proceeds funneled into the international banking system.  The Organization also arranged and facilitated cash money pick-ups in, among other places, New York City and Atlanta, receiving cash from narcotics traffickers and bringing that cash to co-conspirators with directions to wire it to shell accounts in Mexico, Hong Kong, and Italy, among other places.

In this way, the Organization laundered hundreds of millions of dollars through the international banking system, and facilitated the distribution of hundreds of kilograms of cocaine and heroin, among other narcotics.

MAGNI, 44, of Rome, Italy, and MANCI, 55, of Rome, Italy, are each charged with one count of conspiracy to commit money laundering, which carries a maximum sentence of 20 years in prison, and one count of conspiracy to distribute narcotics, which carries a maximum sentence of life in prison.  The statutory maximum penalties in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.

Mr. Berman praised the DEA for its work in the investigation.  Mr. Berman also expressed his appreciation to the Italian Government and Italian law enforcement in executing the arrests and preparing for extradition of the defendants to the United States.

The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.

[1] As the introductory phrase signifies, the entirety of the text of the Indictment, and the description of the Indictment set forth herein, constitute only allegations, and every fact described should be treated as an allegation.

Manhattan U.S. Attorney Announces Extradition Of Senior Adviser To The Operator Of The “Silk Road” Website

Roger Thomas Clark Was a Key Figure in the Development of Silk Road and Advised Ross Ulbricht on All Aspects of the Criminal Enterprise

  Geoffrey S. Berman, the United States Attorney for the Southern District of New York, James D. Robnett, the Special Agent-in-Charge of the New York Field Office of the Internal Revenue Service, Criminal Investigation (“IRS-CI”), William F. Sweeney Jr., Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), and Angel M. Melendez, Special Agent-in-Charge of the New York Field Office of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (“HSI”), announced today the unsealing of an Indictment charging ROGER THOMAS CLARK, who was a senior adviser to Ross Ulbricht, a/k/a “Dread Pirate Roberts,” a/k/a “DPR,” the owner and operator of the “Silk Road” online illicit black market that operated from January 2011 until October 2, 2013.  During its operation, Silk Road was used by thousands of drug dealers and other unlawful vendors to distribute illegal drugs and other illicit goods and services to over a hundred thousand buyers, and to launder hundreds of millions of dollars derived from those unlawful transactions.  CLARK was a close confidante of Ulbricht’s who advised him on all aspects of Silk Road’s operations, and who hired and managed a staff of computer programmers who helped develop Silk Road’s technical infrastructure.  CLARK was arrested in Thailand on December 3, 2015, and was extradited to the United States today.  CLARK is expected to be presented this afternoon before U.S. Magistrate Judge Gabriel W. Gorenstein.  CLARK’s case is assigned to U.S. District Judge William H. Pauley III.

Manhattan U.S. Attorney Geoffrey S. Berman said:  “Silk Road was a secret online marketplace for illegal drugs, hacking services, and a whole host of other criminal activity. Roger Thomas Clark allegedly served as a trusted confidante to Silk Road founder and operator Ross Ulbricht, advising him on all aspects of this illegal business, including how to maximize profits and use threats of violence to thwart law enforcement.  Thanks to the investigative work of our fellow law enforcement agencies and our international partners, Clark now faces justice in an American court.”

IRS-CI Special Agent-in-Charge James D. Robnett said:  “The unsealed indictment again shows that the supposed anonymity of the dark web is not a protective shield from prosecution.  Working with our law enforcement partners, IRS-CI used its unique financial and cyber expertise to help shine a bright light on a shadowy black marketplace, and we intend to continue pursuing these kinds of criminals no matter where they hide.”

FBI Assistant Director William F. Sweeney Jr. said:  “Whether on the streets or on the Internet, the illegality of selling unlawful goods remains unchanged.  Under the operation of Ross Ulbricht, the Silk Road was a criminal hub for illicit goods and services.  As Ulbricht’s right-hand man, Roger Clark allegedly advised him of methods to thwart law enforcement during the operation of this illegal ploy, pocketing hundreds of thousands of dollars in the process. Today’s extradition of Roger Clark shows that despite alleged attempts to operate under the radar, he was never out of our reach.”

HSI Special Agent-in-Charge Angel M. Melendez said:  “The extradition of this man today should be a reminder to those who think they can hide within the confines of the dark web, that you are never out of reach of the long arm of the law.  These investigations are important in combatting the illicit drug market and we will continue to work with our law enforcement partners to fight this fight.”

According to the allegations contained in the Indictment unsealed today in Manhattan federal court, the previously unsealed criminal complaint, and evidence presented at Ulbricht’s trial in January and February 2015[1]:

Ulbricht created Silk Road in approximately January 2011, and owned and operated the underground website until it was shut down by law enforcement authorities in October 2013.  Silk Road emerged as the most sophisticated and extensive criminal marketplace on the Internet at the time, serving as a sprawling black-market bazaar where unlawful goods and services, including illegal drugs of virtually all varieties, were bought and sold regularly by the site’s users.  While in operation, Silk Road was used by thousands of drug dealers and other unlawful vendors to distribute hundreds of kilograms of illegal drugs and other unlawful goods and services to well over 100,000 buyers, and to launder hundreds of millions of dollars deriving from these unlawful transactions.     

Silk Road enabled its users to buy and sell drugs and other illegal goods and services anonymously and outside the reach of law enforcement.  Silk Road was operated on what is known as “The Onion Router,” or “Tor” network, a special network of computers on the Internet, distributed around the world, designed to conceal the true IP addresses of the computers on the network and thereby the identities of the network’s users.  Silk Road also included a Bitcoin-based payment system that served to facilitate the illegal commerce conducted on the site, including by concealing the identities and locations of the users transmitting and receiving funds through the site.

CLARK – who went by the online nicknames “Variety Jones,” “VJ,” “Cimon,” and “Plural of Mongoose” – was described by Ulbricht as a “real mentor” who advised Ulbricht about, among other things, security vulnerabilities in the Silk Road site, technical infrastructure, management of the Silk Road users, and operating in a manner to attempt to thwart law enforcement.  CLARK provided advice to Ulbricht on developing a “cover story” to make it appear as though Ulbricht had sold Silk Road, and also assisted with hiring programmers to help improve the infrastructure of, and maintain, Silk Road.  CLARK also communicated at length with Ulbricht regarding the rules that governed Silk Road vendors and users, and regarding the promotion of sales on Silk Road, including the sales of narcotics.  CLARK also was responsible for gathering information on law enforcement’s efforts to investigate Silk Road. 

CLARK was paid at least hundreds of thousands of dollars for his assistance in operating Silk Road.

CLARK, 56, a citizen of Canada, is charged with narcotics trafficking conspiracy; narcotics trafficking; distributing narcotics by means of the internet; conspiracy to commit, and aid and abet, a computer hacking conspiracy; conspiracy to traffic in fraudulent identification documents; and money laundering conspiracy.  If convicted, he faces, among other penalties, a mandatory minimum sentence of 10 years in prison and a maximum sentence of life in prison.  The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.

Mr. Berman praised the outstanding joint efforts of the FBI and its New York Special Operations and Cyber Division, HSI Chicago-O’Hare, the DEA’s New York Field Division, and IRS-CI’s New York Field Office.  Mr. Berman also thanked the HSI Attache Bangkok, Thailand, for its assistance and support.  Mr. Berman also thanked the Royal Thai Police and the U.S. Department of Justice’s Office of International Affairs for their support and assistance.

The charges contained in the Complaint and the Indictment are merely accusations and the defendant is presumed innocent unless and until proven guilty.

[1] As the introductory phrase signifies, the entirety of the texts of the Complaint and the Indictment, and the descriptions thereof, constitute only allegations, and every fact described therein should be treated as an allegation.

A.G. Underwood Announces Settlement With Queens Auto Dealer Over Deceptive Practices

Following AG Investigation Into Unwanted Charges, Fraudulent Sales Tactics, and Other Deceptive Practices, Nemet Dealerships to Reform Practices and Pay Over $164,000 in Restitution and Penalties

AG Underwood Urges Affected New Yorkers to File for Refund Before July 30 Deadline

  Attorney General Barbara D. Underwood today announced a settlement resolving an investigation of Nemet Hyundai, Nemet Kia, Nemet Nissan, and Nemet Motors, a family of auto dealers located in Queens. The Office of the Attorney General opened an investigation of the dealerships after receiving dozens of complaints from consumers about unwanted charges, fraudulent sales tactics, and other deceptive maneuvers that misled New Yorkers about the products for which they were paying.

In the settlement, the Attorney General obtained restitution for New Yorkers harmed by the dealerships’ fraudulent business practices, a requirement that the dealerships stop any illegal and deceptive activity, and civil penalties for the alleged deceptive acts. Under the terms of the settlement, affected New Yorkers have until July 30^th, 2018 to file a complaint in order to be eligible for a refund. Consumers can file through the Attorney General’s office, either online or by calling 1-800-771-7755.

“We have zero tolerance for those who seek to defraud New York consumers,” said Attorney General Underwood. “This settlement ensures impacted consumers will get the restitution they deserve and put an end to the dealerships’ deceptive practices.”

For example, Shauntel Wilson of Kings County bought a car from Nemet after a manager promised to refinance her loan in six months, dropping her monthly payments from an unaffordable $781 to $548. Wilson complained when Nemet failed to deliver the promised refinancing and the Attorney General found that Nemet had secured Wilson’s unaffordable loan by inflating her income on a credit application by nearly $15,000 per year. On top of that, Nemet slipped $2,600 worth of undisclosed aftermarket products into her contract.

The Attorney General alleges that the dealerships engaged in number of deceptive practices, such as:

• adding unwanted aftermarket items into consumers’ contracts without disclosing the items or their costs to consumers, without obtaining the consumers’ consent, or by misrepresenting that the items were required by lenders;
• preventing consumers from having an adequate opportunity to review their contracts by making them wait for inordinate periods of time, then rushing them through signing their contracts;
• misrepresenting their willingness and ability to refinance consumers’ loans by making fraudulent promises to refinance the loans at specific future dates for particular interest rates; and 
• submitting falsified credit applications with inflated income information for applicants, ultimately obtaining loans the consumer were unable to pay.

Under the settlement, the Nemet dealerships will refund $108,231 to 22 known consumers. In addition to restitution, the dealerships will also pay $56,250 in penalties to New York State. The dealerships’ management has agreed to modify their employee training and to hire an outside monitor for at least three years to ensure compliance with the settlement terms.

Attorney General Underwood encourages any consumers who believe they were deceptively sold unwanted aftermarket items or offered false promises to refinance transactions by Nemet dealerships to file complaints online or call 1-800-771-7755 before the July 30^th, 2018 filing deadline.

New York A.G. Underwood Leads $100 Million 42-State Settlement With Citibank For Manipulating Interest Rate Benchmarks

To Date, State AGs Have Recovered $420 Million from USD LIBOR-Setting Panel Banks for Misconduct 

  New York Attorney General Barbara D. Underwood today announced a $100 million settlement with Citibank for fraudulent conduct involving U.S. Dollar (USD) LIBOR, which is a benchmark interest rate that affects financial instruments worth trillions of dollars and has a widespread impact on global markets and consumers. The investigation was conducted by a working group of 42 state Attorneys General offices, led by New York.

“Our office has zero tolerance for fraudulent or manipulative conduct that undermines our financial markets,” said Attorney General Underwood. “Financial institutions have a basic responsibility to play by the rules – and we will continue to hold those accountable who don’t.”

The Attorneys General alleged that Citibank misrepresented the integrity of the LIBOR benchmark to state and local governmental, not-for-profit, private, and institutional trading counterparties by concealing, misrepresenting, and failing to disclose that: (a) Citibank, at times, made USD LIBOR submissions to avoid negative publicity and protect the reputation of the bank; (b) Citibank’s USD LIBOR submitters, on occasion, asked Citibank personnel in other units of the bank to avoid offering higher rates than Citibank’s USD LIBOR submissions; and (c) Citibank expressed belief that other banks, at times, made USD LIBOR submissions that were inconsistent with their borrowing rates and contributed to inaccurate LIBORs.

Given this conduct, Citibank had reason to believe that its and other banks’ LIBOR submissions did not reflect their true borrowing rates in accordance with the established public guidance.  Citibank did not disclose this to the governmental and not-for-profit counterparties with which Citibank executed LIBOR-referenced transactions, even though these rates were material terms of the transactions.

As a result of its fraudulent conduct, Citibank made millions in unjust gains when government entities and not-for-profit organizations entered into swaps and other financial contracts with Citibank without knowing that Citibank and other banks on the USD LIBOR-setting panel were manipulating LIBOR submissions.

Governmental and not-for-profit entities with LIBOR-linked swaps and other investment contracts with Citibank will be notified if they are eligible to receive a distribution from a settlement fund of $95 million.  The balance of the settlement fund will be used to pay costs and expenses of the investigation and for other uses consistent with state laws.

Citibank is the third of several USD LIBOR-setting panel banks to resolve claims following investigation by state Attorneys General. With the Citibank settlement, the Attorneys General have collected $420 million in payments from the three banks, almost all of which will be distributed to state and local government entities and not-for-profits. Pursuant to the settlement agreement, Citibank will continue to cooperate with the states’ ongoing investigation into other USD LIBOR-setting panel banks.

Other states joining New York in the Citibank settlement include Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, District of Columbia, Delaware, Florida, Georgia, Idaho, Illinois, Indiana, Iowa, Kansas, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Missouri, Montana, Nebraska, Nevada, New Jersey, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, Tennessee, Utah, Virginia, Washington, West Virginia, and Wisconsin.

A.G. Underwood Announces Lawsuit Against Donald J. Trump Foundation And Its Board Of Directors For Extensive And Persistent Violations Of State And Federal Law

Lawsuit Seeks Restitution of $2.8 Million Plus Penalties

AG’s Office Sends Referral Letters to Internal Revenue Service and Federal Election Commission for Further Investigation and Legal Action

In Light Of Misconduct And Total Lack of Oversight, Lawsuit Seeks To Dissolve Donald J. Trump Foundation and Bar Donald J. Trump And Members Of Trump Foundation’s Board Of Directors From Serving On Board Of Any Other New York Charity

  Attorney General Barbara D. Underwood today announced a lawsuit against the Donald J. Trump Foundation, and its directors, Donald J. Trump (“Mr. Trump”), Donald J. Trump, Jr., Ivanka Trump, and Eric Trump. The petition filed today alleges a pattern of persistent illegal conduct, occurring over more than a decade, that includes extensive unlawful political coordination with the Trump presidential campaign, repeated and willful self-dealing transactions to benefit Mr. Trump’s personal and business interests, and violations of basic legal obligations for non-profit foundations. The Attorney General initiated a special proceeding to dissolve the Trump Foundation under court supervision and obtain restitution of $2.8 million and additional penalties. The AG’s lawsuit also seeks a ban from future service as a director of a New York not-for-profit of 10 years for Mr. Trump and one year for each of the Foundation’s other board members, Donald Trump Jr., Ivanka Trump, and Eric Trump. The Attorney General also sent referral letters today to the Internal Revenue Service and the Federal Election Commission, identifying possible violations of federal law for further investigation and legal action by those federal agencies.

As alleged in the petition, Mr. Trump used the Trump Foundation’s charitable assets to pay off his legal obligations, to promote Trump hotels and other businesses, and to purchase personal items. In addition, at Mr. Trump’s behest, the Trump Foundation illegally provided extensive support to his 2016 presidential campaign by using the Trump Foundation’s name and funds it raised from the public to promote his campaign for presidency, including in the days before the Iowa nominating caucuses.

“As our investigation reveals, the Trump Foundation was little more than a checkbook for payments from Mr. Trump or his businesses to nonprofits, regardless of their purpose or legality,” said Attorney General Underwood. “This is not how private foundations should function and my office intends to hold the Foundation and its directors accountable for its misuse of charitable assets.”

The Attorney General’s investigation found that Trump Foundation raised in excess of $2.8 million in a manner designed to influence the 2016 presidential election at the direction and under the control of senior leadership of the Trump presidential campaign. The Foundation raised the funds from the public at the nationally televised fundraiser Mr. Trump held in lieu of participating in the presidential primary debate in Des Moines, Iowa, on January 28, 2016.  In violation of state and federal law, senior Trump campaign staff, including Campaign Manager Corey Lewandowski, dictated the timing, amounts, and recipients of grants by the Foundation to non-profits, as evidenced by communications between Campaign staff and Foundation representatives:

At least five $100,000 grants were made to groups in Iowa in the days immediately before the February 1, 2016 Iowa caucuses. 

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The Trump Foundation also entered into at least five self-dealing transactions that were unlawful because they benefitted Mr. Trump or businesses he controls.  These include a $100,000 payment to settle legal claims against Mr. Trump’s Mar-A-Lago resort; a $158,000 payment to settle legal claims against his Trump National Golf Club in 2008 from a hole-in-one tournament; and a $10,000 payment at a charity auction to purchase a painting of Mr. Trump that was displayed at the Trump National Doral in Miami. Following commencement of the Attorney General’s investigation, the Foundation paid excise taxes on three of the transactions and Mr. Trump restored funds for the transactions to the Foundation, but the Foundation has not paid excise taxes on the Mar-A-Lago or Trump National Golf Club transactions. 

As described in the Attorney General’s petition, none of the Foundation’s expenditures or activities were approved by its Board of Directors.  The investigation found that the Board existed in name only: it did not meet after 1999; it did not set policy or criteria for choosing grant recipients; and it did not approve of any grants. Mr. Trump alone made all decisions related to the Foundation.  

The Attorney General’s lawsuit seeks an order finding that the Foundation’s directors breached their fiduciary duties requiring them to make restitution for the harm that resulted, requiring Mr. Trump to reimburse the Foundation for its self-dealing transactions and to pay penalties in an amount up to double the benefit he obtained from the use of Foundation funds for his campaign, enjoining Mr. Trump from service for a period of ten years as a director, officer, or trustee of a not-for-profit organization incorporated in or authorized to conduct business in the State of New York, and enjoining the other directors from such service for one year (or, in the case of the other directors, until he or she receives proper training on fiduciary service). To ensure that the Foundation's remaining assets are disbursed in accordance with state and federal law, the lawsuit seeks a court order directing the dissolution of the Foundation under the oversight of the Attorney General's Charities Bureau. 

In addition to filing its dissolution petition, the Office of the Attorney General sent referral letters to the Federal Election Commission and the Internal Revenue Service. These letters set forth in specific detail the underlying facts that have led the Attorney General to conclude that additional investigation and potential further legal action by these federal authorities are warranted.  

 Documents

 Affirmation

 Ex.1 - Verified Petition

 Ex. 2 - Certificate of Incorporation dated 2/2/1987

 Ex. 3 - 2016 CHAR 500

 Ex. 4 - Schedule of donations to the Foundation, 1987 - 2016

 Ex. 5 - 2006 CHAR 500

 Ex. 6 - Weisselberg Tr., excerpts

 Ex. 7 - McConney Tr., excerpts

 Ex. 8 - Sitarchuk email to Sheehan dated 12/7/16

 Ex. 9 - Tarasoff Tr., excerpts

 Ex. 10 - 2016 Form CHAR 410-A

 Ex. 11 - DJT Jr. Email. DJTF-VETS381

 Ex. 12 - Eric Trump Email. DJTF-VETS373

 Ex. 13 - ABC News Photo of Iowa Fundraiser

 Ex. 14 - Veterans Fundraiser Donors. DJTF-VETS001

 Ex. 15 - Weisselberg Email. DJTF-VETS378

 Ex. 16 - Lewandowski Email. DJTF-VETS739 (native) or 397 (.pdf)

 Ex. 17 - Lewandowski Email. DJTF-VETS400

 Ex. 18 - Hope Hicks Email. DJTF-VETS371

 Ex. 19 - McConney Email. DJTF-VETS535

 Ex. 20 - McConney Email. DJTF-VETS196

 Ex. 21 - Lewandowski Email. DJTF-VETS644

 Ex. 22 - List of Contributors to Veterans 2016, DJTF-VETS032 & checks

 Ex. 23 - McConney Email. DJTF-VETS206

 Ex. 24 - Burr Email and Metadata DJTF-VETS740 (native) or 677 (.pdf)

 Ex. 25 - A.P. Photo Support Siouxland Soldiers

 Ex. 26 - Lewandowski Email. DJTF-VETS470

 Ex. 27 - McConney Email. DJTF-VETS432

 Ex. 28 - 2013 IRS Form 990-PF

 Ex. 29 - Form 4720 (attached as Ex. 3 to ML letter.)

 Ex. 30 - Accounts Payable File, And Justice for All

 Ex. 31 - Trump Foundation General Ledger and Bank Statements

 Ex. 32 - Joint Motion to Approve Settlement Agreement.

 Ex. 33 - Handwritten Memo by DJT Authorizing FH Payment DJTF-FH173

 Ex. 34 - Greenberg v. AMC Settlement Agreement

 Ex. 35 - Side Agreement AMC and TNGC

 Ex. 36 - Charitybuzz - Foundation Auction Service Agreement

 Ex. 37 - Charitybuzz Website Printout

 Ex. 38 - 2012 IRS Form 990-PF

 Ex. 39 - D.C. Preservation League Commemorative Program

 Ex. 40 - IRS 2014 Form 4720

 Ex. 41 - IRS Amended 2015 Form 4720

BRONX MAN INDICTED IN ATTEMPTED MURDER OF PREGNANT FIANCEE AND KILLING OF THE FETUS

Defendant Stabbed Woman And Kept Her From Medical Care For Some 30 Minutes While He Accused Her of Infidelity

  Bronx District Attorney Darcel D. Clark today announced that a Bronx man has been indicted on Attempted Murder, Abortion and Assault in the stabbing of his pregnant fiancée which resulted in the death of their unborn child. The defendant is also charged with Unlawful Imprisonment for holding the wounded woman in their apartment, preventing her from receiving medical attention. 

 District Attorney Clark said, “The brutality and cruelty of this alleged crime amounted to butchery. The killing of the unborn child and the severe injuries inflicted on the mother are compounded by the trauma she and her family will suffer. We will do everything we can to bring justice for them and assist in their needs as victims.” 

 District Attorney Clark said the defendant, Oscar Alvarez, of 1027 Walton Avenue, has been indicted on second-degree Attempted Murder, first and second-degree Abortion, first and second-degree Assault, and Unlawful Imprisonment. He was arraigned today before Bronx Supreme Court Justice William Mogulescu and remand was continued. He is due back in court on June 22, 2018. 

 According to the investigation, on the night of May 21, 2018 and into the next morning, in the apartment in 1027 Walton Avenue that he shared with his fiancée, Livia Abreu, 30, the defendant accused Abreu of cheating on him, and stabbed her six times in the torso and chest with a household knife. She was 26 weeks pregnant. For over 30 minutes, Alvarez prevented Abreu from calling 911 or leaving the apartment to seek medical attention. Their unborn child died and Abreu was hospitalized with injuries for about two weeks.

 District Attorney Clark thanked NYPD Detective Michael Diskin of the 44th Precinct Squad. 

An indictment is an accusatory instrument and not proof of a defendant’s guilt