New York (AP) — Michael Cohen once famously pledged his unwavering loyalty to Donald Trump, even going so far as to claim he would “take a bullet” for him. However, the tables have turned, as Cohen has now turned against his former boss in their ongoing legal battles. This Tuesday, Cohen will take the stand as a crucial witness in a civil fraud trial that threatens to undermine Trump’s real estate empire and tarnish his affluent image.
Trump himself is expected to be present in court for this highly-anticipated testimony, breaking away from his usual campaign activities to attend proceedings for the sixth time this month. Last week, Cohen canceled their anticipated confrontation due to a health issue, meaning it will be the first time he sets eyes on Trump in five years.
During the trial, Trump has verbally expressed his dissatisfaction to TV cameras within the hallways of the courthouse. He has derided the trial as a “sham,” “scam,” and “a continuation of the single greatest witch hunt of all time,” creating a spectacle with his frequent complaints.
The lawsuit, filed by New York Attorney General Letitia James, alleges that Trump and senior executives from his company, the Trump Organization, engaged in a conspiracy to inflate the former president’s net worth by billions of dollars on financial statements submitted to banks, insurers, and other parties in order to secure loans and make business deals.
Although Judge Arthur Engoron has already made a ruling stating that Trump and his company committed fraud, the trial will focus on the remaining claims of conspiracy, insurance fraud, and falsification of business records.
As part of the judgment, Engoron ordered the appointment of a receiver to oversee certain Trump companies, raising questions about the future management of prominent properties such as Trump Tower. However, for the time being, an appeals court has blocked this decision.
Trump vehemently denies any wrongdoing, arguing that his assets were undervalued. He maintains that disclaimers on his financial statements effectively instructed banks and other recipients to verify the numbers independently.
Cohen, who served as Trump’s long-standing personal lawyer for a decade, dramatically switched sides in 2018 amid a federal investigation that ultimately led to his imprisonment. He also plays a significant role as a prosecution witness in Trump’s separate criminal case involving hush-money payments in Manhattan, which is scheduled for trial next spring.
Attorney General Letitia James, a Democrat, credits Cohen as the catalyst for her civil investigation, which culminated in the trial for the fraud lawsuit. She invoked Cohen’s testimony before Congress in 2019, where he claimed that Trump had a history of inflating asset values to obtain favorable loan terms and tax benefits.
Cohen provided the House Committee on Oversight and Reform with copies of three of Trump’s financial statements. Trump had allegedly presented these statements to Deutsche Bank in an effort to secure a loan to purchase the NFL’s Buffalo Bills, as well as to Forbes magazine to support his claim for a spot on its list of the world’s wealthiest individuals.
Cohen’s fraudulent schemes resulted in his conviction in 2018 for tax evasion, lying to Congress, and campaign finance violations related to facilitating hush-money payments to women during Trump’s 2016 presidential campaign.
Earlier this month, Trump temporarily dropped a $500 million lawsuit against Cohen, accusing him of spreading falsehoods and damaging Trump’s reputation. However, a spokesperson for Trump clarified that they plan to resume the lawsuit at a later date, while Trump campaigns for the White House and defends himself against four criminal cases.
As Cohen prepares to testify, Trump will make another appearance in court. This marks Trump’s first time attending the trial since being fined $5,000 by Judge Engoron for failing to remove a disparaging social media post about a key court staff member from his campaign website, which remained online for weeks despite the court’s order for its deletion.
___
Follow Sisak at x.com/mikesisak and send confidential tips by visiting https://www.ap.org/tips.
