Stormy Weather: TFG Convicted on 34 Counts of Election Fraud

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Lisa Rubin
@lawofruby
NEW: We just took a brief break because the most composed woman in Trump’s orbit — Hope Hicks — broke down on the stand right as cross examination started. Why would Hicks burst into tears—and why is she struggling to keep it together now? 1/

There are a couple of theories floating around among journalists watching with me. One is that being asked about the Trump family — who plucked her from a private PR firm & turned her into a star — overwhelmed her. Her affection for Trump the man is still evident. (She did PR for Ivanka)

The other is darker. Hicks isn’t out to hurt Trump, but today, she revealed that Trump shared with her that he spoke with Cohen in Feb. 2018, the morning after Cohen told @nytimes that he paid Stormy Daniels without Trump’s knowledge.

Trump told Hicks that Cohen had made the payment to protect Trump from false allegations, never told anyone about it, and did it out of the goodness of his own heart.

Asked whether that was consistent with the Cohen she knew, she said that it was not. “I did not know Michael to be an especially charitable or selfless person; he is a kind of person who seeks credit,” Hicks testified.

In other words, without having to call Trump a liar, Hicks admitted the story Trump told her was a dubious one.

Perhaps even worse, during that same conversation, Trump asked her how she thought the Times story was playing and wondered aloud whether it would have been better for the story to have come out during the campaign or when it had, concluding the real-life timing had been better.

That’s where the prosecutors’ direct examination of Hicks ended and within a minute or two, her emotions bubbled over.

None of us can say why Hope cried or what’s going through her head. But as mysterious as she is, I can’t imagine that as she criss-crossed America at Trump’s side, she ever imagined testifying in a criminal case against a man who saw her as a surrogate daughter.

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George Conway
@gtconway3d
“Conway replied by stating that the testimony heard in court so far corroborates what Cohen has said about the case:

“‘And every bit of testimony that has come out shows that Michael Cohen has come clean and is telling the truth about that. Now, they’re going to go after him, say, “Well, you submitted this form to the taxi commission.” Whatever. They’re going to go through all sorts of stuff. And it’s like, so what, tell me what it is that Michael is lying about on this witness stand that relates to this case?

“‘And they got nothing because he’s been corroborated by Pecker, he’s been corroborated by his banker, corroborated by the texts, he’s been corroborated by the tapes he recorded of Donald Trump, he’s been corroborated by Hope Hicks.’”

“Conway speculated that Trump’s attorneys will try to ‘provoke’ Cohen when he is on the stand, but it will not work because ‘he’s got the truth on his side.’

“He concluded:

“‘I think the Trump people should actually be pretty terrified of Michael Cohen. And this is Michael Cohen’s chance to set it all straight, to set it all straight with Donald Trump. And the way he does that is just by going with the flow, you know, admitting the stuff that he did wrong, and just sticking to the facts. And he’s a smart enough guy that he’s going to do that. And I think people are going to be surprised by that.’”

https://mediaite.com/crime/george-conwa ... ess-stand/

Now that he and Kellyanne are divorced I can take him seriously.

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Adam Klasfeld
@KlasfeldReports
Now:

Prosecutors enter the courtroom, with a member of their staff carrying case files.

Now:

Trump returns to the defense table.

This time, two familiar faces from his civil fraud trial sit in the first gallery row behind him: son Eric Trump and attorney Alina Habba.

Boris Epshteyn sits in the row behind them once again.

"All rise."

Justice Merchan takes the bench and the attorneys register their appearances.

Now—

The judge finds Trump in contempt for a 10th time.

"Going forward, this court will have to consider a jail sanction."

Merchan:

"The last thing that I want to do is to put you in jail," calling it a last resort.

The judge notes that Trump is a former president and possibly a future one.

Merchan:

"The magnitude of such a decision is not lost on me, but at the end of the day, I have a job to do."

Trump's defiance of the gag order threatens the integrity of the proceedings and constitute "direct attack on the rule of law," he says.

Merchan:

"I cannot allow that to continue."

After that warning, Merchan hands physical copies of his decision to the parties.

Note:

Prosecutors explicitly did not seek Trump's incarceration on this contempt motion, which predated the judge's last warning.

Merchan's ruling from the bench puts an exclamation mark on his previously unspoken and written warning.

"All rise."

The jury is entering.

"The People call Jeffrey McConney."

That's the Trump Org's former controller and Trump's civil fraud trial co-defendant.

As usual during direct examination, McConney describes his background and his job routine — here, at the Trump Organization.

McConney continues to describe the daily operations of the Trump Organization.

Now, questioning turns to approval for paying invoices.

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Adam Klasfeld
@KlasfeldReports
Asked if Allen Weisselberg sometimes approved invoices by email, McConney answers: "Yes."

Prosecutor Matthew Colangelo hands a thumb drive the witness.

McConney identifies it by his "scribble."

They contain emails, notes, reports from the general ledger, and Form 1099s regarding payments, the witness agrees.

The prosecutor leads McConney through the usual, detailed, and exacting questions for authenticating records.

McConney confirms that he communicated to Michael Cohen and Allen Weisselberg through his Trump Organization account and personal Gmail account.

Trump's attorney objects to the admission of certain exhibits in thumb drive — but not all.

The judge admits the evidence with no objections, and he allows the defense to object to the others if prosecutors fail to lay the foundation.

Testimony turns to Michael Cohen.

Asked what Cohen did, McConney replies: "He said he was a lawyer."

The prosecutor asks what Allen Weisselberg said about paying Michael Cohen.

McConney mentions the complaint about his end of year bonus, and there was other money Cohen was "owed."

Analysis: That appears to be a blow in favor of the prosecution — because Trump's defense claimed during opening statements that Cohen's payments were all legal fees.

McConney makes another self-effacing remark about his "chicken-scratch" handwriting as he identifies his notes.

McConney agrees that his and Allen Weisselberg's notes of Cohen's reimbursements were kept "in a locked drawer" of the witness's office.

The jury sees the notes — jotted on the Essential Consultants LLC account statement for First Republic Bank.

Weisselberg notes begin:

"$180,000," which McConney says include the Stormy reimbursement plus RedFinch. (Other notations confirm RedFinch expense.)

"Grossed up to $360~," which McConney says is for "tax purposes."

ADD: Add'l/Bonus 60~"

The notation adds the sum total to $420,000, the figure representing Cohen's total reimbursement.

Prosecutors say that was paid in monthly increments of $35,000, masked by 34 falsified business records.

A separate document on **Trump Organization letterhead** further breaks down this arithmetic.



After a sidebar conference, the judge overrules a defense objection and accepts more exhibits into evidence.

They are emails.

McConney to Cohen in February 2017

"Just a reminder to get me the invoices you spoke to Allen about."

Cohen thanked him for the reminder.

Michael Cohen sent his invoice to Allen Weisselberg, via Jeff McConney, that day: Feb. 14, 2017, email evidence shows.

McConney to accounts payable supervisor Deborah Tarasoff on Feb. 14, 2017:

"Please pay from the Trust. Post to legal expenses. Put 'retainer for the months of January and February 2017' in the description."

More emails.

Trump's lawyer Emil Bove has the same objection as before. Prosecutors have the same response.

Same result: Overruled. The emails are entered into evidence.

In this line of questioning, the jury is seeing some of the invoices and records at the heart of the 34 felony charges.

McConney to Tarasoff, forwarding another invoice:

"Please pay."

In one email, McConney instructed Tarasoff to stop payment after the original check for April was lost, according to his testimony.



We're now up to the September invoice.

Michael Cohen wished Allen Weisselberg a happy Thanksgiving on the November invoice, per another email.

Michael Cohen sends Allen Weisselberg another happy holiday (apparently in advance), on Dec. 1, 2017, in an email for the final invoice.

Asked whether the emailed invoices were consistent with the $35,000 monthly payments to Michael Cohen, totaling $420,000, McConney agrees that they were.

McConney agrees they satisfied Cohen's reimbursements.

Morning recess.

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Adam Klasfeld
@KlasfeldReports
We're back:
"Witness entering," the court officer says, as McConney takes the stand once again.
Now, we're moving onto the ledger entries.

Per the hallway press pool over the morning recess, Trump didn't take the bait after Justice Merchan's threat of incarceration:

"Trump walked into the courtroom at about 11:35 a.m. and did not respond when a pooler shouted: 'Mr. Trump, what do you think of jury?'"

The jury is viewing the ledger entries for the Donald J. Trump - Revocable Trust Account.

McConney points out the code for legal expenses.

McConney says that there were no legal expenses to Cohen logged in the account for 2018.

(Prosecutors say all the reimbursements were paid, and completed, the year before in 2017.)

Reminder:

Trump's attorney Todd Blanche previously said that his client can't simply give no-comments to press inquiries like this, but the former president confirms once again that he can.

Back to the trial.

McConney is asked about form 1099, the tax forms for payments made to individuals or businesses who aren't one's employer.

Cohen's form 1099 is now in evidence.

Reminder:

In order to elevate the falsifying business records charges to felonies, the DA must show Trump's intent in those records to commit a separate crime.

Prosecutors have permission to argue three statutes: federal election law; state election law; and tax fraud.





Trump's attorney Emil Bove began his cross with a series of questions suggesting the records were legal expenses — but the witness's answer gives him something of a false start.

Q: In 2017, Michael Cohen was a lawyer, correct?
A: OK. Sure. (Laughter)

Another question noted Cohen's signature line identifying himself as Trump's personal attorney.

McConney agreed that the line didn't say "fixer."

Asked if there was a real risk about adverse publicity, McConney replied he wasn't a marketing person.

The defense attorney notes that the Trump Org had employees handle publicity, and bad press about Trump could threaten business. McConney agrees.

Bove shows McConney his own notes of the system of Cohen's reimbursements on Trump Organization letterhead.

McConney agrees that he was just writing what Weisselberg explained to him.

Asked whether he knew what Weisselberg meant by "[g]rossed up" payments to Cohen, McConney answers no.

He says he also doesn't know what RedFinch is.

(Context: It's reportedly the IT firm that rigged online polls for Trump in early 2015.)

Bove seeks to mitigate the blow of McConney's testimony that he kept the notes of Cohen's reimbursement system in a locked drawer.

Q: Isn't it a fact that most of the drawers in your office were locked?
A: Yes.

McConney agrees with the attorney's argument that this was because payroll records contained sensitive information.

The defense turns to the 1099 forms, from Trump and his trust, noting the vendor name on both is "Michael D. Cohen, Esq."

Bove's questions circle around his argument that these are, in fact, for legal fees.

Asked to confirm he did not know what Cohen did with his taxes, McConney says he doesn't.

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One key difference between the two sets of handwritten notes: McConney wrote explicitly that the "[g]ross[ing] up" was "FOR TAXES."

Stay on this thread for coverage of the afternoon session.

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Adam Klasfeld
@KlasfeldReports
Next witness:

Deborah Tarasoff, accounts payable supervisor at the Trump Organization

Tarasoff says she's currently employed by the Trump Organization, which she says is paying her legal expenses.

She's worked there for 24 years.

Prosecutor Christopher Conroy questions the witness, first with some preliminaries about her background and employer.

Tarasoff identifies various Trump Org employees: exec assistant Rebecca Manochio, general counsel Alan Garten, and Michael Cohen.

"He was a lawyer that worked there," Tarasoff says of Cohen.

Tarasoff confirms the general practice of stapling the invoices to the checks.

"The check is on top of the invoice."

Quick breakdown of why this is important:

Prosecutors say that Trump signed nine of the reimbursement checks, which were stapled on top of the invoice.

Both were falsely marked legal expenses, prosecutors say.

That Trump received the checks attached to the invoice for their signatures goes to the former president's knowledge of both sets of documents.

Tarasoff just testified that Trump could, and had, declined to sign certain checks.

When he did, he marked them: "Void," she says.

The prosecutor's point in that line of questioning appears to be: Trump read the checks and invoices, and he apparently didn't void them here.

Tarasoff says that Trump signed all of the checks for his personal account.

The prosecutor shows the witness a thumb drive for identification.

As the witness reviews payment vouchers, the evidence flashes on screens throughout the courtroom.

Some monitors are at the defense and prosecution tables; some large ones hang on the side and rear walls of the courtroom for the gallery.

Also: Every juror has one.

Some jurors share a screen with their peers, but they're available for up-close inspection.

That the jurors are closely inspecting these monitors shows they're paying attention.

Over in the overflow room, members of the press and public receive the same view of the evidence — and certain trial participants, like Trump — via CCTV.

Now on the screen: A check to Michael Cohen via Trump's trust.

Eric Trump and Allen Weisselberg signed it, Tarasoff says.

Eric Trump, seated in the front of the gallery, also appears to be looking at the evidence on the screen.

The check says "VOID" in three places only because it was photocopied; it was never voided, the witness says.

Tarasoff next inspects some emails related to monthly payments to Cohen.

This one is stamped with "ACCOUNTS PAYABLE" and the $35,000 amount. The witness confirms: That's her stamp.

As the records get repetitive, some of the jurors' attention wanes occasionally.

But most still have their eyes locked on their screens — showing the same records prosecutors want them to find Trump falsified.

Tarasoff confirms one check was voided: the April 2017 one, which was lost and then reissued.

The prosecutor enters a stop payment report into evidence.

Another exhibit: Another reimbursement record to Cohen marked "Retainer" for May 2017.

Shown to the jury:

Another check to Michael Cohen bearing Trump's signature, this one from June 2017.

We're now up to the August 2017 check to Cohen, bearing Trump's signature.

Again, $35,000.

Afternoon recess.

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Adam Klasfeld
@KlasfeldReports
We're back.

Another $35,000 check to Cohen, signed by Trump again with a marker.

The same drill, with an invoice, stamp, ledger entry, and check:

Another $35,000 to Michael Cohen for November, again signed by Trump with a marker.

The same drill, with a stamped invoice, ledger entry, and check:

Another $35,000 to Michael Cohen for December 2017, again signed by Trump with a marker.

So ends Cohen's reimbursement checks — and with them, direct examination.

Trump's lead attorney Todd Blanche starts cross.

Tarasoff agrees with the lawyer that the Trump Organization is a "family business."

Blanche does most of the talking at the beginning: Trump used to be around a lot, until he campaigned for and became president. Then, he was around less.

The witness agrees with all that.

Brief cross-ex. No redirect.

Tarasoff exits the courtroom.

The parties approach for a sidebar conference.

.And we're done for the day for witness testimony.

Justice Merchan gives his usual instruction to jurors.

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Adam Klasfeld
@KlasfeldReports

After the jury leaves, Assistant DA Joshua Steinglass pushes back against the defense's implication that the prosecution is "sandbagging" them.

Trump's defense has the full witness list, just not the order, he says.

Steinglass says that prosecutors will be recalling their paralegal who authenticated Trump's social media posts, clarifying her testimony ended early to accommodate Hope Hicks' schedule.

But there's more Trump social media to enter into evidence, he says.

Note:

The social media in question isn't for alleged contempt; it's evidentiary.

Todd Blanche argues against recalling the witness.

The judge appears skeptical that there's any prejudice to the defense to let her back on the stand.

Judge: Generally speaking, how are we doing on schedule?

ADA: Well.

Judge: Well. Can you give me any more than that? (Laughter)

Steinglass estimates that the prosecution's case will last for two more weeks from tomorrow.

With that, happy Monday to all — and see you again on Tuesday.

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Andrew Weissmann (weissmann11 on Threads)
@AWeissmann_
Trump trial update: The falsity of the invoices is made crystal clear by the fact that if it were just a reimbursement is would be paid 1 for 1 and recorded as such (ie Trump wd owe Cohen $130,000), but the reimbursement had to be doubled because it was disguised as income on which Cohen would have to pay taxes. Weisselberg and McConney BOTH took notes that reflect that scheme.

The invoices also includes language that says they are payments for "services rendered" during that month, which is also something the DA will argue is false, since they included reimbursement (and Trump has admitted) for the $130,000, and not a payment for ongoing services.

Trump trial update: Exhibits 35 and 36 are key - they are the bank statement showing Cohen paid Stormy $130,000 hush money, and the notes by McConney (36) and Weisselberg (35) calculating the amounts Cohen needs to be reimbursed to make him whole after disguising the reimbursements as legal fee income.

[Owendonovan]

They might get him on this one.

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They might get him on this one.

No jinx

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Adam Klasfeld
@KlasfeldReports
·
8h
Good morning from New York.

It's a sunny and temperate morning outside the lower Manhattan courthouse for Trump's criminal trial, but reportedly, we're in for a Stormy day in court, Daniels' attorney told the AP.

Follow along here.





Assistant DA Susan Hoffinger says certain details are necessary.

Justice Merchan asks for specifics.

Hoffinger says it's "very basic."

"It's not going to involve any descriptions of genitalia or anything of that nature."

Necheles: "This case is a case about books and records."

Justice Merchan: "I'm satisfied about the representations that Ms. Hoffinger has made."

"I agree with you that she has credibility issues," the judge adds, saying that makes it more important for prosecutors to be able to establish her credibility.

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Adam Klasfeld
@KlasfeldReports
·
7h
Next witness: Sally Franklin, a VP and executive managing editor for publisher Penguin Random House

She's a custodial witness for records to be submitted into evidence.

Q: Are you familiar with the title "Trump: How to Get Rich"?
A: Yes.

The witness identifies passages from that book.

Jurors see the cover, the title page, the copyright page, and page with the subtitle: "Be a General."

"I am the chairman and president of The Trump Organization. I like saying that because it means great deal to me."

From of a chapter: "Sometimes You Still Have to Screw Them"

"For many years, I’ve said that if someone screws you, screw them back.
[…] As it says in the Bible, an eye for an eye."

Next book: "Trump: Think Like a Billionaire"

Sharing an author line with Trump, below his name in smaller text, is Meredith McIver

Chapter title: "How to Pinch Pennies"

Trump recounts the company depositing a check for 50 cents.

"Calling it penny-pinching if you want to. I call it financial smarts."

Another chapter, “How to Stay on Top of Your Finances,” recounts Trump telling his former controller Jeff McConney that he was fired after his cash balances went down.

McConney, who stayed an employee for years longer after that, testified about this on Monday.

Trump's lead attorney Todd Blanche begins cross-examination by asking the witness about ghostwriters.

Q: You're trying to make money off the book, correct?
A: (emphatically) That is correct.

(Laughter)

Cross-ex was brief.
Redirect begins.

Q: In your experience, do ghostwriters ever write entire books without the author's knowledge?
A: No.

"The ghostwriter works for the author," the witness says later, in response to a different question.

The parties meet at sidebar to argue a defense objection—overruled.

After they wrap, prosecutors display another chapter title getting to the ghostwriter issue: "The Mother of All Advice."

The chapter begins with two epigrams: one quoting Trump's mother and the other "DJT."

The prosecutor also shares the "Acknowledgements" section showing Trump's handiwork in his books.

The custodial witness concludes her testimony.

Stormy Daniels up next.

Lengthy sidebar before her testimony.