Daniel Goldman – a former federal prosecutor who served as a member of the House Democrats’ impeachment counsel team during former President Donald Trump’s second impeachment trial last year – said on Friday that if reports indicating that criminal indictments are imminent against the Trump Organization are accurate, they would be a “death blow” to Trump’s business empire.
Goldman explained that the public warnings by attorneys may be an attempt to negotiate a plea deal, however, he stressed that prosecutors only pursue those options when the evidence weighs heavily in their favor.
“It’s interesting to me — and it doesn’t seem to be coming from the Manhattan DA’s office — but it’s interesting and not surprising they would approach the Trump Organization to tell them that they’re considering to charge them, because that would be almost a death blow to the Trump Organization,” Goldman said on MSNBC’s Deadline White House.
“Every single bank would call their loans if the Trump Organization is indicted. No bank will ever do business with an indicted company and there’s no way the Trump Organization has enough capital to pay off all their loans. So they would be in default of their loans and would almost certainly have to go into bankruptcy,” he continued.
“That’s a huge step and there are all sorts of protocol and there’s all sorts of evaluation that any prosecutor’s office would do before they did that. In this case, New York state has a memo with five factors and without going through all of them, none of the factors really favor the Trump Organization. So it’s not surprising they would approach them with a heads up and perhaps engage in settlement negotiations to avoid indictment,” Goldman added.
Following his appearance on MSNBC, Goldman reiterated his assessment on Twitter.
“I can’t underscore enough how devastating an indictment would be to the Trump Org. Every lender would call their loans and no way Trump Org can pay them all, likely leading to bankruptcy. Weisselberg may not cooperate without more serious charges, but any charge will doom the TO,” he wrote.
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I can’t underscore enough how devastating an indictment would be to the Trump Org. Every lender would call their loans and no way Trump Org can pay them all, likely leading to bankruptcy. Weisselberg may not cooperate without more serious charges, but any charge will doom the TO. https://t.co/Zu9ksiVUBl
— Daniel Goldman (@danielsgoldman) June 25, 2021
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Brandon is a political writer for the Hill Reporter specializing in current events, breaking news, and scientific discovery. Brandon holds a Bachelor of Music degree from Indiana University. He lives in New York City.