{"slug":"trump-pre-presidency-trump-foundation-fraud","title":"Trump Foundation: New York AG Found Persistent Illegal Conduct, Ordered Dissolution","date":"1987-01-01","lastUpdated":"2019-11-07","description":"The Donald J. Trump Foundation, Trump's charitable foundation, was found by the New York Attorney General to have engaged in persistent illegal conduct over more than a decade, including self-dealing, using charitable funds for personal and business purposes, and being used as a vehicle for Trump's political campaign activities in violation of rules governing charitable organizations. In December 2018, Trump agreed to dissolve the foundation under judicial supervision and to pay $2 million in damages to legitimate charities. The AG also filed a lawsuit against Trump and his three eldest children for misuse of charitable assets.","summary":"The New York AG's investigation found: Trump used foundation funds to settle legal obligations of his businesses (including a $100,000 payment from the foundation to settle a lawsuit against Mar-a-Lago), purchased items for personal use (including a $10,000 portrait of himself and a $12,000 signed Tim Tebow helmet), directed foundation funds to charities at political events in exchange for applause in possible violation of campaign finance law, and improperly used the foundation to pay a $25,000 contribution to a political organization supporting Florida Attorney General Pam Bondi — who subsequently declined to investigate Trump University fraud claims. Trump did not have meaningful control over the foundation, which was run largely by his children without proper board oversight.","category":"corruption","severity":"major","ongoing":false,"sources":[{"url":"https://www.nytimes.com/2018/12/18/nyregion/trump-foundation-dissolve.html","title":"Trump Agrees to Dissolve His Charitable Foundation Under Judicial Supervision","publisher":"The New York Times"},{"url":"https://www.washingtonpost.com/politics/trump-foundation-new-york-attorney-general/2018/12/18/story.html","title":"Trump to dissolve foundation after charity found to be used for personal, political purposes","publisher":"The Washington Post"},{"url":"https://apnews.com/article/trump-foundation-new-york-attorney-general-investigation","title":"NY AG: Trump foundation used as 'personal checkbook' for Trump","publisher":"The Associated Press"},{"url":"https://ag.ny.gov/sites/default/files/charities_petition_and_exhibit_in_the_matter_of_the_donald_j._trump_foundation.pdf","title":"Petition: In the Matter of the Donald J. Trump Foundation","publisher":"New York Attorney General"}],"draft":false,"status":"published","tags":["foundation","charity-fraud","pre-presidency","corruption","New-York-AG","self-dealing","Bondi"],"relatedEntries":[],"timeline":[{"date":"1987-01-01","title":"Trump Foundation established","summary":"The Donald J. Trump Foundation is established as a charitable organization in New York. It is intended to serve as a vehicle for Trump's philanthropic activities. Over subsequent decades, it receives donations from outside entities and is used in ways the New York AG will later find violate charitable law."},{"date":"2013-09-01","title":"Foundation donates $25,000 to Bondi re-election PAC","summary":"The Trump Foundation makes a $25,000 contribution to a political committee supporting Florida Attorney General Pam Bondi's re-election, in violation of rules against political contributions by charitable foundations. Trump pays a $2,500 IRS fine. Bondi's office subsequently declines to investigate Trump University fraud claims."},{"date":"2016-01-28","title":"Iowa veterans fundraiser — foundation donations used for political benefit","summary":"Trump holds a fundraiser for veterans instead of attending a Fox News debate. The event raises $5.6 million in pledges. The New York AG later finds that Trump personally directed foundation donations at the event and received political credit, raising potential campaign finance violations."},{"date":"2018-06-14","title":"New York AG files lawsuit against Trump and children — dissolution sought","summary":"New York AG Barbara Underwood files a lawsuit against Trump, Ivanka Trump, Donald Trump Jr., and Eric Trump for misuse of charitable assets, self-dealing, and using the foundation for political purposes. The AG seeks dissolution of the foundation and $2.8 million in damages."},{"date":"2018-12-18","title":"Trump agrees to dissolve foundation under judicial supervision — $2 million in damages","summary":"Trump agrees to dissolve the Donald J. Trump Foundation under judicial supervision. He agrees to pay $2 million in damages to eight charities. The AG retains oversight of the dissolution. Trump's children continue to face individual claims in a separate proceeding."},{"date":"2019-11-07","title":"Trump pays $2 million in court-ordered damages — children complete nonprofit training","summary":"A New York judge orders Trump to pay $2 million in damages, finding that he had misused the foundation for personal and political purposes. Trump's three eldest children are required to complete training on the obligations of nonprofit board members."}],"location":{"name":"New York, NY","lat":40.7128,"lng":-74.006},"custom":{"era":"pre-presidency","posture":"judicial-finding","warCrimeClassification":"enabling","internationalLaw":[],"iccRelevance":false,"victims":"Donors who contributed to the foundation believing funds would go to legitimate charitable purposes; legitimate charities whose reputations were tarnished by association with the foundation's misuse of charitable law; veterans organizations that Trump claimed to benefit while using political events for personal fundraising credit","structuredPerpetrators":[{"name":"Donald Trump","role":"Founder and president of the Donald J. Trump Foundation; directed or authorized use of charitable funds for personal and business purposes; used foundation for political campaign purposes; agreed to dissolve the foundation and pay $2 million in damages under judicial oversight","institution":"Donald J. Trump Foundation"}],"updateLog":[{"date":"2019-11-07","summary":"Updated with November 2019 court-ordered $2 million damages finding."}]}}