In a shocking admission this week, Michael Cohen, the former attorney for Donald Trump, conceded to having misappropriated funds from the Trump Organization.
Fox News reported that Michael Cohen had acknowledged stealing a substantial sum from the Trump Organization by inflating the costs associated with a technology service provider.
Michael Cohen was questioned on Monday regarding discrepancies in payments made to a tech company, Red Finch, which he had hired on behalf of the Trump Organization. Todd Blanche, Trump's attorney, established that Cohen had siphoned off tens of thousands of dollars during these transactions.
According to Cohen, a scheme was devised with the organization's former Chief Financial Officer, Allen Weisselberg, to cover a personal expenditure on adult film actress Stormy Daniels, amounting to $130,000.
This expenditure was later adjusted to $420,000 to cover taxes and additional costs. This adjustment was made to mitigate any potential tax liabilities on Cohen.
When Blanche pressed him during cross-examination, Cohen admitted to pocketing approximately $30,000 from the $50,000 he claimed to have paid to Red Finch. After withdrawing these funds from TD Bank, he temporarily stored them in a brown paper bag.
Cohen confirmed he never reimbursed the Trump Organization for the unspent amount despite the substantial misrepresentation. He rationalized his actions by citing a significant reduction in his annual bonus, which he claimed led him to commit the theft as a form of "self-help."
Cohen's emotional response to his decreased compensation was evident. He expressed deep frustration and anger over the decision, which he said significantly impacted his financial stability.
This testimony marks Cohen's fourth day on the witness stand. The proceedings are set to conclude with closing arguments next Tuesday, following the Memorial Day holiday. Cohen's testimony has focused not only on his financial misdemeanors but also on the broader implications for the Trump Organization.
Trump has vigorously denied any wrongdoing, pleading not guilty to the allegations surrounding his involvement with Daniels and refuting any claims of a sexual encounter.
Adding to the drama in the courtroom, Robert Costello, Cohen's former advisor, testified last week, branding Cohen a "serial liar." This character assessment came after Costello's own appearance before the grand jury led by Manhattan District Attorney Alvin Bragg earlier this year.
In conclusion, Michael Cohen's courtroom admissions add a significant chapter to the ongoing investigations into financial practices at the Trump Organization.
His testimony, marked by admissions of theft and deception, raises serious questions about the integrity and internal controls within Trump's business empire. As the case progresses, all eyes will be on the final arguments and the subsequent verdict that could have far-reaching consequences for all involved.
