Allen Weisselberg
Born (1947-08-15) August 15, 1947 (age 76)
Brooklyn, New York, U.S.
EducationPace University (BS)
OccupationChief financial officer
OrganizationThe Trump Organization
Criminal chargesTax evasion

Allen Howard Weisselberg (born August 15, 1947) is an American businessman who was convicted of tax evasion in connection with his role as former chief financial officer (CFO) of the Trump Organization. Weisselberg served as a co-trustee of a trust set up in 2017 by Donald Trump before Trump's inauguration as president of the United States. In 2022, Weisselberg pleaded guilty to 15 criminal charges including grand larceny, criminal tax fraud and falsifying business records.[1] In January 2023, he began serving a five-month jail sentence[2][3] and was released the following April.[4] A ruling which was handed down in February 2024 also resulted in Weisselberg being permanently banned from serving in financial control function of any New York corporation or business, and also banned him from being serving as a director or officer for any New York corporation or business for three years.[5]

Early life

Weisselberg was born in Brooklyn, New York, and grew up in the borough's Brownsville neighborhood.[6] He is of Jewish descent.[7] He graduated from Thomas Jefferson High School in nearby East New York, before receiving a Bachelor of Science in accounting from Pace University in 1970.[8][9]

Career

Weisselberg began working as an accountant for Gravesend-based real estate magnate Fred Trump in 1973.[10] By the late 1980s, he was controller of the company (which had relocated its main office to Midtown Manhattan under the auspices of Donald Trump) and reported to Stephen Bollenbach, his predecessor as chief financial officer.[9]

In 2000, Weisselberg was named chief financial officer and vice president of Trump Hotels & Casino Resorts. He also was a board member and treasurer of the Donald J. Trump Foundation. In 2017, Weisselberg said in a deposition to New York State investigators that he was not aware he was a board member "at least for the last 10 or 15 years".[11][12][13] He has also handled the household expenses of the Trump family.[9][14] Along with Donald Trump, he is one of two trustees of a New York-based revocable trust that in turn owns DT Connect Member Corp.[15]

On January 11, 2017, shortly before Donald Trump's inauguration as president of the United States, the Trump Organization announced that Weisselberg would manage the company along with Eric Trump and Donald Trump Jr. during Trump's presidency.[8] A summary of trust arrangements dated February 10, 2018, lists Weisselberg and Donald Trump Jr. as trustees, and Eric Trump as an adviser. The summary also indicated that, as trustees, only Weisselberg and Trump Jr. knew the details of the trust's finances.[16]

Payments to Stormy Daniels

Further information: Stormy Daniels–Donald Trump scandal and New York criminal investigation of The Trump Organization

Michael Cohen, Trump's personal lawyer at the start of his presidency, said that Weisselberg had arranged for the Trump Organization to pay Cohen $35,000 a month, to reimburse him for hush money Trump had asked Cohen to pay adult film actress Stormy Daniels in the weeks before the 2016 election, to keep her from talking publicly about an affair she says she had with Trump.[14][17] In July 2018, Weisselberg was subpoenaed to testify before a federal grand jury regarding the Cohen investigation.[18] Weisselberg was granted limited witness immunity for his testimony.[19][20][21] New York County District Attorney Cyrus Vance Jr. was also investigating Weisselberg. When the federal investigation by the U.S. District Court for the Southern District of New York "effectively concluded" in July 2019, Vance issued new subpoenas in connection with the hush-money payments. Weisselberg's federal immunity does not extend to state investigations.[22]

Tax fraud conviction

Vance stepped up his state criminal investigation in February 2021, after the US Supreme Court authorized Trump's accountants to turn over Trump's personal and business tax records to him. Vance's office then reportedly focused its investigation on Weisselberg, as well as on Donald Trump Jr. and Eric Trump, allegedly with the goal of pressuring Weisselberg to turn state's evidence and testify against his employer.[23] The New York Times reported that investigators had also asked at least one witness about Weisselberg’s sons—Barry, who had managed Wollman Rink, and Jack, who works at Ladder Capital, a Trump Organization lender.[24] By March 2021, prosecutors were examining financial records of Weisselberg and his family members.[25][26] His former daughter-in-law Jen Weisselberg, who was married to Barry Weisselberg from 2004 until 2018, released to the Manhattan DA numerous documents that revealed how some Trump employees received compensation in real estate and other items.[27][28]

CNN reported in May 2021 that the New York State Attorney General had opened a criminal tax investigation into Weisselberg months earlier.[29] The investigation was pursued by the Manhattan District Attorney's office. In June, a grand jury heard evidence against him.[30] Weisselberg surrendered to the Manhattan District Attorney's office in New York City on July 1, 2021,[31] hours before the grand jury's indictments against him and the Trump Organization were unsealed.[32] Weisselberg was charged with 15 felony counts for evading $344,745 in taxes over 15 years. He initially pleaded not guilty,[33] but on August 18, 2022, he pleaded guilty to all 15 counts of grand larceny, criminal tax fraud and falsifying business records.[34] As part of the guilty plea deal, he agreed to testify against The Trump Organization at trial and to pay "almost $2 million in back taxes, interest and penalties and waive any right to appeal."[35]

In November 2022, Weisselberg testified at the Trump Organization's tax fraud trial.[36][37] He stated that the real estate company cleaned up its tax practices in anticipation of additional scrutiny after Trump entered the White House and left his sons, Donald Trump Jr. and Eric Trump, in control. Weisselberg also testified that during the cleanup, Trump's sons knew the company paid executives' personal expenses that were not reported as income, and provided bonuses as if they were independent contractors.[38]

On January 10, 2023, Weisselberg was sentenced to five months in the infirmary unit of Rikers Island.[39][40][3] He was released on April 19, 2023.[4][41][42]

New York civil fraud trial

On October 10, 2023, Weisselberg testified at the civil fraud trial of the Trump Organization. Regarding Trump's 11,000-square-foot apartment on 5th Avenue that had been misrepresented as being 30,000-square-feet, Weisselberg testified, "I never even thought about the apartment."[43] However, he had participated in communications with Forbes between 2009–2017 that had led the magazines' reporters to falsely believe the inflated size of the apartment, as Forbes countered in an article two days after his testimony.[44] As of February 2024, Weisselberg was reportedly in discussions with the Manhattan district attorney's office about pleading guilty to perjury.[43]

The civil trial ruling which was issued in February 2024 resulted in Weisselberg and former Trump Organization controller Jeffrey McConney being the only two defendants who were permanently banned from having financial control in any New York business or corporation.[45]

On March 4, 2024, Weisselberg pleaded guilty to two counts of perjury in the first degree, related to the testimony he gave on July 17, 2020, related to the New York civil investigation of Donald Trump and his company. He will be sentenced on April 10 to five months in prison.[46] The plea deal describes these two counts:

He also admitted that he gave false information in late 2023 at the civil fraud trial. However, he has not pleaded guilty to those additional charges of perjury, and it has been agreed he will not be sentenced for them. As that false testimony occurred after his 2022 guilty plea for tax fraud, a conviction on those counts might be seen as a violation of his parole.[46]

Personal life

In 1978, Weisselberg purchased a modest ranch-style house in Wantagh, New York, a suburban hamlet in Long Island's Nassau County. This would remain his primary residence until 2013, when he and his wife, Hilary, sold the property for $468,000 and "moved into a high floor" of a luxury apartment building in the Trump Organization's Riverside South development on the Upper West Side of Manhattan.[8][48] In 2002, the couple bought a vacation home in Boynton Beach, Florida.[48] Former daughter-in-law Jennifer Weisselberg has asserted that Donald Trump disparaged the Wantagh residence at a 2004 family shiva.[28] She added: "He has more feelings and adoration for Donald than for his wife... For Donald, it's a business. But for Allen, it's a love affair.”[28]

His son Jack Weisselberg is a loan-origination executive at Ladder Capital, which has acted as a lender to the Trump Organization.[49][50] Another son, Barry Weisselberg, has managed the Trump Organization's Central Park ice rinks.[23]

In 2004, Allen Weisselberg appeared as a judge on the seventh episode of the second season of The Apprentice.[51]

See also

References

  1. ^ Bromwich, Jonah E.; Protess, Ben; Rashbaum, William K. (August 18, 2022). "Allen Weisselberg, a Top Trump Executive, Pleads Guilty in Tax Scheme". New York Times. ISSN 0362-4331. Retrieved August 18, 2022.
  2. ^ Purdue, Ben; Bromwich, Jonah E.; Rashbaum, William K. (January 10, 2023). "Trump's Longtime Finance Chief Sentenced to 5 Months in Jail". New York Times. Retrieved January 11, 2023.
  3. ^ a b "Inmate Lookup".
  4. ^ a b Sisak, Michael (April 19, 2023). "Trump's former financial chief Weisselberg gets out of jail". AP News. Retrieved July 6, 2023.
  5. ^ del Valle, Lauren; Scannell, Kara; Herb, Jeremy (February 16, 2024). "2 former Trump Org executives permanently banned from running finances for New York businesses". CNN. Retrieved February 17, 2024.
  6. ^ Abelson, Max (September 3, 2015). "How Trump Invented Trump". Bloomberg. Retrieved August 22, 2018.
  7. ^ Goldiner, Dave (August 24, 2018). "Who Is Allen Weisselberg, The Third Key Jewish Associate To Flip On Trump". Jewish Daily Forward.
  8. ^ a b c Low-Key ‘Wallpaper’ Jewish Exec Catapults to Top of Trump Organization, Fast Forward, January 11, 2017.
  9. ^ a b c Teitelbaum, Richard (November 5, 2016). "Donald Trump's Loyal Numbers Man". The Wall Street Journal.
  10. ^ Twohey, Megan; Buettner, Russ; Eder, Steve (December 25, 2016). "Inside the Trump Organization, the Company That Has Run Trump's Big World". The New York Times. Retrieved August 22, 2018.
  11. ^ Schneiderman, Eric (July 19, 2018). "In the Matter of The Investigation of The Donald J Trump Foundation, Inc., Exhibit 6" (PDF). State of New York Office of the Attorney General. Archived (PDF) from the original on July 19, 2018. Retrieved July 19, 2018.
  12. ^ Krawczyk, Kathryn (June 14, 2018). "The Trump Foundation's treasurer didn't know he was treasurer until investigators told him". The Week. Archived from the original on July 19, 2018. Retrieved July 19, 2018.
  13. ^ Sugin, Linda (September 30, 2016). "An Uncharitable Foundation". The New York Times. Archived from the original on October 5, 2016. Retrieved October 5, 2016.
  14. ^ a b O'Brien, Rebecca Davis; Ballhaus, Rebecca; Rothfeld, Michael; Berzon, Alexandra (July 26, 2018). "Trump Organization Finance Chief Called to Testify Before Federal Grand Jury". The Wall Street Journal. Archived from the original on July 26, 2018. Retrieved July 27, 2018.
  15. ^ McLaughlin, Martyn (September 18, 2019). "Donald Trump's luxury helicopter charter plans fail to take off". The Scotsman. Archived from the original on September 18, 2019. In a sign of the dense and complex corporate structure set up to accommodate Mr Trump's various business interests, DT Connect II LLC is in turn part owned by an entity known as DT Connect Member Corp, which itself is fully owned by a New York-based revocable trust with just two trustees - Mr Trump and Allen Weisselberg, the Trump Organisation's veteran chief financial officer.
  16. ^ Kravitz, Derek; Shaw, Al (April 4, 2017). "Trump Lawyer Confirms President Can Pull Money From His Businesses Whenever He Wants". ProPublica. Retrieved August 22, 2018.
  17. ^ Palazzolo, Joe; Hong, Nicole; Rothfeld, Michael; O'Brien, Rebecca Davis (November 9, 2018). "Donald Trump Played Central Role in Hush Payoffs to Stormy Daniels and Karen McDougal". The Wall Street Journal. Had he just paid the ex-adult film star himself, Mr. Trump would have been out of pocket $130,000. Instead, Mr. Weisselberg authorized a reimbursement of twice that much, characterized in Mr. Trump's records as legal fees, to cover the income tax hit Mr. Cohen would take. He also added a $60,000 bonus. Mr. Cohen received the money in monthly installments of $35,000.
  18. ^ Mangan, Dan; Breuninger, Kevin (July 26, 2018). "Trump Org. CFO mentioned in Michael Cohen tape called by grand jury to testify: WSJ". CNBC. Retrieved August 22, 2018.
  19. ^ Hong, Rebecca Ballhaus and Nicole (August 24, 2018). "Allen Weisselberg, Longtime Trump Organization CFO, Testified and Was Granted Immunity in Cohen Probe". Wall Street Journal. ISSN 0099-9660. Retrieved November 13, 2021.
  20. ^ Schmidt, Michael S.; Eder, Steve (August 24, 2018). "Allen Weisselberg, Top Trump Organization Official, Was Granted Immunity for Testimony". The New York Times.
  21. ^ Waldman, Paul; Sargent, Greg (March 1, 2019). "Opinion | Meet the man who could bring down Trump". The Washington Post. Retrieved July 1, 2021.
  22. ^ Elkind, Peter (November 21, 2019). "Prosecutors Investigating the Trump Organization Zero In on Trump CFO Allen Weisselberg". ProPublica.
  23. ^ a b Fahrenthold, David A.; O'Connell, Jonathan; Jacobs, Shayna; Hamburger, Tom (March 3, 2021). "In Trump probe, Manhattan district attorney puts pressure on his longtime chief financial officer". The Washington Post. Retrieved March 6, 2021.
  24. ^ Protess, Ben; Rashbaum, William K.; Haberman, Maggie (March 1, 2021). "Prosecutors investigating Trump focus on his finance chief". The Baltimore Sun. Retrieved July 1, 2021.
  25. ^ Protess, Ben; Rashbaum, William K.; Bromwich, Jonah E.; Haberman, Maggie (March 31, 2021). "N.Y. Seeks Trump Insider's Records, in Apparent Bid to Gain Cooperation". The New York Times.
  26. ^ Fahrenthold, David A.; Jacobs, Shayna (April 1, 2021). "New York attorney general probes finances of key Trump aide". The Washington Post. Retrieved June 28, 2021.
  27. ^ "New York attorney general says Trump Organization probe now criminal". Honolulu Star-Advertiser. The Associated Press. May 19, 2021.
  28. ^ a b c Mayer, Jane. "Can Cyrus Vance, Jr., Nail Trump?". The New Yorker. Archived from the original on March 12, 2021. Retrieved March 14, 2021.
  29. ^ Scannell, Kara; Moghe, Sonia (May 20, 2021). "NY attorney general has been looking into the taxes of Trump Organization CFO for months, sources say". CNN. Retrieved July 5, 2021.
  30. ^ Rashbaum, William K.; Protess, Ben; Bromwich, Jonah E. (June 15, 2021). "Trump Executive Could Face Charges as Soon as This Summer". The New York Times. Retrieved June 30, 2021.
  31. ^ Protess, Ben; Rashbaum, William K.; Bromwich, Jonah E. (July 1, 2021). "Top Trump Executive Allen Weisselberg Surrenders to Face Charges". The New York Times. Retrieved July 1, 2021.
  32. ^ Rothfield, Michael; Bromwich, Jonah; Protess, Ben (June 30, 2021). "Trump Organization and Top Executive Are Indicted in Tax Investigation". The New York Times. Retrieved July 1, 2021.
  33. ^ Orden, Erica; Scannell, Kara (July 1, 2021). "Prosecutors charge Trump Organization with a 15-year tax scheme". CNN. Archived from the original on July 1, 2021. Retrieved July 1, 2021.
  34. ^ "Trump Organization official Allen Weisselberg pleads guilty in tax case". CBC News. August 18, 2022. Retrieved October 7, 2023.
  35. ^ Scannell, Kara (August 18, 2022). "Former CFO of Trump Organization pleads guilty for his role in tax fraud scheme and agrees to testify against company". CNN. Retrieved August 18, 2022.
  36. ^ Durkin, Erin (November 15, 2022). "Ex-Trump Org. CFO Allen Weisselberg testifies against the company". Politico. Retrieved November 27, 2023.
  37. ^ Kates, Graham (November 18, 2022). "Trumps had role in fraud scheme, Allen Weisselberg testifies at company's trial". CBS News. Retrieved November 18, 2023.
  38. ^ Karen Freifeld; Luc Cohen (November 18, 2022). "Trump's ex-CFO says he received a raise after company was aware of tax scheme". Reuters. Retrieved December 2, 2022.
  39. ^ "Longtime Trump executive sentenced to 5 months in jail for dodging taxes". CBC News. January 10, 2023. Retrieved October 7, 2023.
  40. ^ Kara Scannell; Lauren del Valle (January 10, 2023). "Allen Weisselberg, former Trump Org. CFO, sentenced to 5 months in jail". CNN.
  41. ^ Kates, Graham (April 19, 2023). "Allen Weisselberg, former Trump Organization CFO, released from jail". CBS News. Retrieved November 29, 2023.
  42. ^ "Ex-Trump Organization CFO Allen Weisselberg is released from jail". NBC News. April 19, 2023. Retrieved November 24, 2023.
  43. ^ a b Katersky, Aaron; Charalambous, Peter (February 2, 2024). "Ex-Trump Organization CFO Allen Weisselberg in perjury plea talks, sources say". ABC News. Retrieved February 2, 2024.
  44. ^ Alexander, Dan (October 12, 2023). "Trump's Longtime CFO Lied, Under Oath, About Trump Tower Penthouse". Forbes. Retrieved February 2, 2024.
  45. ^ Prater, Nia (February 16, 2024). "Trump Banned From His Company, Fined $355 Million for Fraud". New York. Archived from the original on February 16, 2024. Retrieved February 17, 2024.
  46. ^ a b Scannell, Kara; del Valle, Lauren (March 4, 2024). "Ex-Trump Org. CFO pleads guilty to perjury charges". CNN. Retrieved March 4, 2024.
  47. ^ "New York v. Weisselberg, SCI 70913-24" (PDF). Documentcloud.org. March 4, 2024. Retrieved March 4, 2024.
  48. ^ a b "The Point: Trump's accountant has LI connection". Newsday. March 1, 2019.
  49. ^ Finch, Gavin; Arons, Steven; Nasiripour, Shahien; Basak, Sonali (February 20, 2019). "Deutsche Bank Weighed Extending Trump Loans on Default Risk". Bloomberg News. In the four years before his election, Trump borrowed more than $620 million from Deutsche Bank and a separate lender, Ladder Capital, to finance projects in Manhattan, Chicago, Washington and a Miami suburb, federal documents and property records show. Jack Weisselberg, a top loan-origination executive at Ladder, is the son of Allen Weisselberg, the Trump Organization's longtime chief financial officer who previously worked for Donald Trump's father, Fred. Ladder loaned Trump $282 million for four Manhattan properties, records show.
  50. ^ Craig, Susanne; Cohan, William D. (May 23, 2016). "Trump Boasts of Rapport With Wall St., but the Feeling Is Not Quite Mutual". The New York Times. Ladder Capital happens to employ Jack Weisselberg, the son of Allen Weisselberg, chief financial officer of the Trump Organization.
  51. ^ "The Apprentice: Season 2 - Episodic". Seattle Post-Intelligencer. September 8, 2004. Retrieved July 28, 2018. 200 Flanked by this week's field judges, Trump Organization CFO Allen Weisselberg and Carolyn Kepcher, Donald Trump assigns the latest task to the revamped teams gathered in Central Park[...]

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