Trump Foundation to shut down amid fraud allegations

Rasa - US President Donald Trump has agreed to shut down his personal charity – Trump Foundation – following allegations that it misused funds for his political and business gains.

News ID: 442523

Date: 20 December 2018 - 00:57

RNA - New York State Attorney General Barbara Underwood announced on Tuesday that the foundation would be dissolved and its remaining assets distributed to other charities under judicial supervision as it had engaged in a "shocking pattern of illegality."

Underwood filed a lawsuit against the foundation in June, claiming that Trump had been misusing the charity to promote his business interests and his candidacy during the US 2016 presidential elections.

Underwood argued that the charity “was little more than a checkbook for payments to not-for-profits from Mr. Trump or the Trump Organization.”

“This resulted in multiple violations of state and federal law because payments were made using Foundation money regardless of the purpose of the payment,” she said in the court filing.

“Mr. Trump used charitable assets to pay off the legal obligations of entities he controlled, to promote Trump hotels, to purchase personal items, and to support his presidential election campaign,” Underwood added.

The New York State attorney general also stressed that her office would continue to pursue its lawsuit against the foundation, which seeks $2.8 million in restitution plus penalties as well as an order barring Trump and his three oldest children – Donald Trump Jr., Ivanka Trump and Eric Trump – from serving on the boards of other New York charities.

Trump Foundation officials first announced their intention to shut down more than a year ago.

During the 2016 presidential race, Trump frequently derided a charity run by the family of his Democratic rival, Hillary Clinton, saying without proof that the former secretary of state gave favorable treatment to the Clinton Foundation’s wealthy donors.

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