NY sues Trump Foundation for 'illegal conduct'


New York's attorney general claims President Donald Trump's foundation served as a personal piggy bank for his businesses, legal bills and presidential campaign.

Underwood said the foundation engaged in "extensive unlawful political coordination" with Trump's 2016 presidential campaign, conducted "repeated and willful self-dealing" to benefit his personal and business interests, and violated "basic legal obligations" for nonprofits.

Underwood is seeking $2.8 million in restitution plus additional penalties, as well as the dissolving of the Trump Foundation under court supervision.

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NY is also seeking $2.8 million of restitution plus penalties, a 10-year ban on Trump serving as a director of a NY nonprofit, and one-year bans for his children Donald Jr, Eric and Ivanka.

Donald Trump hit back at the lawsuit on Twitter, saying that "sleazy NY democrats" were "doing everything they can to sue me on a foundation that took in $18,800,000 and gave out to charity more money than it took in, $19,200,000". He promised to shut it down in 2016 but could not while the NY investigation was ongoing.

The president quickly took to Twitter to respond to the accusations, hitting out at "The sleazy New York Democrats" and vowing not to settle the case. "I won't settle this case!".

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Underwood also asked that Trump be banned from leading any other state nonprofit for 10 years - seeking to apply a penalty usually reserved for the operators of small-time charity frauds to the USA president.

Trump slammed the suit in series of tweets made nearly immediately after knowledge of it became public. The board, though, had not met since 1999, and Underwood asked that the Trump children be banned from serving as director of any NY nonprofits for a year. Underwood said she has sent letters to the Internal Revenue Service and Federal Election Commission for further investigation.

"As our investigation reveals, the Trump Foundation was little more than a checkbook for payments from Mr. Trump or his businesses to nonprofits, regardless of their objective or legality", Underwood said in a statement.

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In the suit, Underwood noted that the president had already paid more than $330,000 in reimbursements and penalty taxes since 2016. The AG's office wants the foundation dissolved.