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On March 31, 2023, a grand jury in New York indicted former President Donald Trump on charges of grand larceny, tax fraud, and other financial crimes. The indictment alleges that Trump and his organization engaged in a pattern of "willful and knowing" financial fraud, including inflating the value of his assets to obtain loans and insurance coverage, and deflating the value of his assets to avoid paying taxes.
The indictment is the culmination of a two-year investigation by the Manhattan district attorney's office. The investigation was launched in 2019, after Trump's former personal attorney, Michael Cohen, pleaded guilty to charges of campaign finance violations and lying to Congress. Cohen told investigators that he had made hush money payments to two women who claimed to have had affairs with Trump, and that Trump had directed him to do so.
The indictment charges Trump with 12 counts, including:
Eight counts of grand larceny, for allegedly defrauding banks and insurance companies by inflating the value of his assets.
One count of tax fraud, for allegedly understating his income on his personal tax returns.
One count of conspiracy to commit tax fraud, for allegedly engaging in a scheme to defraud the government out of taxes.
One count of willfully failing to pay taxes, for allegedly failing to pay taxes on $1.4 million in income.
One count of conspiracy to commit insurance fraud, for allegedly engaging in a scheme to defraud insurance companies out of money.
Trump has denied all of the charges against him. His lawyers have said that the indictment is "politically motivated" and that the charges are "baseless."
The indictment is the first time that a former president of the United States has been indicted on criminal charges. It is unclear what the next steps will be in the case. Trump could plead guilty, go to trial, or reach a plea deal with prosecutors. If convicted, Trump could face up to 25 years in prison.