The criminal investigation of Donald Trump’s alleged tax and bank fraud dealings has ratcheted up as the Manhattan District Attorney’s Office subpoenaed records from a New York City property tax agency. Cyrus Vance, Jr. is looking to examine documents from the New York City Tax Commission related to Trump’s valuation of some of his commercial properties in New York City.
It’s believed that the Manhattan DA’s inquiry is focused on the allegations made by former Trump “fixer” Michael Cohen that the real estate developer assigned a high value to his holdings in New York City, including Trump Tower and Trump Plaza, to secure favorable loan terms, but a much lower value on the same properties when real estate tax calculations were being made.
New York City Tax Commission President Frances Henn confirmed the subpoena in response to an inquiry from Reuters.
The subpoena likely would compel the agency to provide detailed income and expense statements the Trump Organization would have filed as part of an effort to lower tax assessments on some of its commercial properties. Subpoenas also have been issued to at least two creditors that helped finance Trump’s real-estate holdings, Deutsche Bank AG and Ladder Capital Finance LLC.
Vance’s office has not commented on the focus of his investigation but noted in court filings that his office is exploring “possibly extensive and protracted criminal conduct” at the Trump Organization, including possible falsification of records as well as insurance and tax fraud.
Mark Pomerantz, who was responsible for the prosecution of John “Junior” Gotti who took over the Gambino crime family from his father in 1992, has recently joined Vance’s Trump investigative team. Pomerantz interviewed Cohen last Thursday.