THE TRUMP ORGANIZATION — WHICH OPERATES HOTELS, GOLF COURSES AND OTHER PROPERTIES AROUND THE WORLD — HAS BEEN

Case centred on perks, bonuses for top execs

NEW YORK • Donald Trump's real estate company was convicted on Tuesday of carrying out a 15-year-long criminal scheme to defraud tax authorities, adding to the legal woes facing the former U.S. president as he campaigns for the office again in 2024.

The Trump Organization — which operates hotels, golf courses and other real estate around the world — faces fines over the conviction. The exact amount will be determined by the judge overseeing the trial in New York State Court at a later date.

The company had pleaded not guilty. Trump himself was not charged in the case.

The judge set a sentencing date of Jan. 13.

While the fine is not expected to be material for a company of the Trump Organization's size, the conviction by a jury could complicate its ability to do business by spooking lenders and partners.

The case centred on charges that the company paid personal expenses like free rent and car leases for top executives, including former chief financial officer Allen Weisselberg, without reporting the income, and paid them bonuses as if they were independent contractors.

“The smorgasbord of benefits is designed to keep its top executives happy and loyal,” prosecutor Joshua Steinglass told jurors during his closing argument on Friday.

The Trump Organization separately faces a fraud lawsuit brought by the New York state Attorney.

Trump himself is being investigated by the U.S. Department of Justice over his handling of sensitive government documents after he left office and attempts to overturn the 2020 election.

Weisselberg, 75, testified as the government's star witness as part of a plea deal that will allow him to spend no more than five months in jail.

The Trump Organization argued that Weisselberg carried out the scheme to benefit himself. He is on paid leave from the company and testified that he received more than $1 million in salary and bonus payments this year.

“The question here is not whether as a byproduct the company saved some money,” Susan Necheles, a defence lawyer, said in her closing argument on Thursday.

Trump wrote on his Truth Social platform on Nov. 19. that his family got “no economic gain from the acts done by the executive.”

Weisselberg, who pleaded guilty to concealing $1.76 million in income from tax authorities, testified that Trump himself signed the Christmas bonus cheques and personally paid hundreds of thousands of dollars in private school tuition for Weisselberg's grandchildren.