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Allen H. Weisselberg, one of Donald J. Trump\u2019s most trusted lieutenants, stood before a judge in a Lower Manhattan courtroom on Thursday and admitted that he had conspired with the former president\u2019s company to commit numerous crimes.<\/p>\n
Mr. Weisselberg\u2019s guilty plea, which followed more than a year of the Manhattan district attorney\u2019s office pressuring him to cooperate in a broader investigation of Mr. Trump, painted a damning picture of the beleaguered company, which now faces significant financial penalties if it loses its own trial on similar charges. <\/p>\n
But for prosecutors who have long sought to indict Mr. Trump, Thursday\u2019s hearing was something of a consolation prize. Mr. Weisselberg refused to turn on Mr. Trump himself, something prosecutors had hoped he would do since they charged him with 15 felonies last July.<\/p>\n
Under the plea deal, Mr. Weisselberg must pay nearly $2 million in taxes, penalties and interest after accepting lavish off-the-books perks from Mr. Trump and his company, including leased Mercedes-Benzes, an apartment on Manhattan\u2019s Upper West Side and private school tuition for his grandchildren. <\/p>\n
He also must point the finger at his longtime employer, the Trump Organization, at its trial in October. In exchange, Mr. Weisselberg, who was facing years in prison, is likely to receive a five-month jail sentence, and with time credited for good behavior, he might serve as little as 100 days.<\/p>\n
The deal emerged after weeks of pitched back-and-forth negotiations. They culminated in a crucial meeting on Monday, Mr. Weisselberg\u2019s 75th birthday, when his lawyers gathered with prosecutors in the judge\u2019s chambers, according to people with knowledge of the matter.<\/p>\n
Mr. Weisselberg\u2019s lawyers, Nicholas A. Gravante Jr. and Mary E. Mulligan, pressed for leniency, emphasizing their client\u2019s age, frail health and past service in the National Guard and arguing that the district attorney\u2019s demand for a six-month jail term was excessive.<\/p>\n
The judge had previously warned that Mr. Weisselberg\u2019s only chance for probation was cooperating with the broader investigation into Mr. Trump\u2019s business practices. With that off the table, he proposed a compromise: Over the objections of the district attorney\u2019s office, the judge would agree to the five-month sentence.<\/p>\n
An examination of how the deal took shape, based on interviews with a half-dozen people knowledgeable about the plea negotiations, underscores Mr. Weisselberg\u2019s bottom line: He would not betray Mr. Trump. For now at least, that unflinching loyalty to a family he has served for nearly a half-century has helped stymie the larger effort to indict the former president.<\/p>\n
The interviews also highlight the intense negotiations between Mr. Weisselberg\u2019s lawyers and the district attorney\u2019s office \u2014 and the previously unknown role played by the judge, Juan Merchan, to guide the talks \u2014 once it became clear that the Trump Organization would refuse to sign a plea deal of its own. Had the company agreed to plead guilty, the judge had offered to impose an even shorter sentence on Mr. Weisselberg, the people said.<\/p>\n
Card 1 of 5<\/span><\/p>\n Who is Allen H. Weisselberg? <\/strong>Mr.\u00a0Weisselberg\u00a0was\u00a0the Trump Organization\u2019s longtime chief financial officer\u00a0and for decades, one of former President Donald J. Trump\u2019s most trusted executives.\u00a0He entered the Trump orbit as a junior bookkeeper for Mr. Trump\u2019s father and climbed\u00a0the ranks in the decades that followed.<\/span><\/p>\n What is he accused of? <\/strong>Mr. Weisselberg and the Trump Organization were both charged with participating in a 15-year tax-evasion scheme starting in 2005\u00a0to help executives avoid taxes by compensating them with perks and bonuses that were kept off the books. The charges were the result of an ongoing investigation of Mr. Trump and his company by the Manhattan district attorney.<\/span><\/p>\n Was Mr. Trump also charged? <\/strong>No. Although the former president\u00a0is entwined with the Trump Organization, the indictment, which was unsealed last summer,\u00a0did not accuse him of wrongdoing. No employee other than Mr. Weisselberg was charged.<\/span><\/p>\n What are the implications for Mr. Weisselberg? <\/strong>Mr. Weisselberg has agreed to a plea deal\u00a0with Manhattan prosecutors, and he is expected to receive a five-month jail term\u00a0and could spend as little as 100 days behind bars. The deal, which required him to plead guilty to 15 felonies, could put the Trump Organization at a disadvantage at its own trial in October, where the executive is expected to be a central witness.<\/span><\/p>\n What does this mean for the Trump Organization? <\/strong>Mr. Weisselberg is not expected to implicate Mr. Trump or his family when he takes the stand in October. But his admission of guilt will undercut any effort by the company\u2019s lawyers\u00a0to contend that no crime was committed. If convicted, Mr. Trump\u2019s company could face steep fines or other penalties as well as a fallout from its business partners.<\/span><\/p>\n In a statement on Thursday, Mr. Gravante said, \u201cIn one of the most difficult decisions of his life, Mr. Weisselberg decided to enter a plea of guilty today to put an end to this case and the yearslong legal and personal nightmares it has caused for him and his family.\u201d <\/p>\n He added: \u201cRather than risk the possibility of 15 years in prison, he has agreed to serve 100 days,\u201d and said, \u201cWe are glad to have this behind him.\u201d <\/p>\n Ms. Mulligan declined to comment.<\/p>\n In a statement, the district attorney, Alvin L. Bragg, emphasized how the plea \u201cdirectly implicates the Trump Organization in a wide range of criminal activity,\u201d adding, \u201cWe look forward to proving our case in court against the Trump Organization.\u201d<\/p>\n The district attorney\u2019s investigation into Mr. Trump and his family business began with Mr. Bragg\u2019s predecessor in 2018 and was stalled while Mr. Trump fought a subpoena for his tax returns \u2014 a battle that twice reached the U.S. Supreme Court.<\/p>\nUnderstand the Cases\u00a0Against Allen Weisselberg and the Trump Organization<\/h2>\n<\/p>\n
Understand the Cases\u00a0Against Allen Weisselberg and the Trump Organization<\/h2>\n<\/p>\n
Understand the Cases\u00a0Against Allen Weisselberg and the Trump Organization<\/h2>\n<\/p>\n
Understand the Cases\u00a0Against Allen Weisselberg and the Trump Organization<\/h2>\n<\/p>\n
Understand the Cases\u00a0Against Allen Weisselberg and the Trump Organization<\/h2>\n<\/p>\n