Topline
Former President Donald Trump withdrew his lawsuit against New York Attorney General Letitia James—which he filed in response to a $250 million fraud suit against Trump and his business—multiple outlets reported on Friday, one day after a federal judge fined the former president $1 million for a “revenge” lawsuit against Hillary Clinton.
Former President Donald Trump withdrew a lawsuit against New York Attorney General Letitia James on … [+]
Key Facts
James had sued Trump, his children and the Trump Organization last September over allegations he committed “repeated and persistent” fraud, and attempted to bar him from heading any company in the state of New York.
In response to the suit, Trump had tried to shield James from a revocable trust in which he placed ownership of his company after being elected president in 2016, seeking “protection from James’ demand to invade his privacy.”
Trump withdrew that countersuit on Friday, although his attorneys have not commented on why the lawsuit was withdrawn.
Trump had also accused James of leading a “relentless, persistent” and “unapologetic crusade” against him, and that the attorney general was attempting to crush him “personally, financially and politically.”
This is a developing story.
Tangent
The withdrawal comes one day after U.S. District Court Judge Donald Middlebrooks fined Trump and his personal attorney for filing a “frivolous” lawsuit last March that claimed Clinton conspired with the Democratic National Committee to damage Trump’s reputation over an “unthinkable plot” that Trump colluded with Russian officials in the 2016 election. The suit was dismissed in September after Middlebrooks ruled it lacked merit. Middlebrooks warned Trump on Thursday he was “using the courts to seek revenge on political adversaries.”
Key Background
Last November, a New York State Supreme Court justice appointed an independent monitor to oversee the Trump Organization while James’ investigation into the company continued. Justice Arthur Engoron also barred the company from transferring or disposing material assets without first giving notice to the attorney general’s office. James had asked the court to put a temporary stop on the company’s activities that she claims constituted fraud for the duration of the investigation. She specifically accused the organization of inflating the value of its assets. The Manhattan District Attorney’s office, meanwhile, had been conducting a separate investigation into the Trump Organization which led to a five-year sentence for the company’s longtime chief financial officer Allen Weisselberg earlier this month. Weisselberg had pled guilty to criminal tax fraud over a years-long tax evasion scheme by taking gifts and other compensation from the company.
Further Reading
Trump Drops Florida Suit Against New York AG Over Fraud Case (Bloomberg)
Donald Trump withdraws lawsuit against New York Attorney General Letitia James (ABC News)
Source: https://www.forbes.com/sites/brianbushard/2023/01/20/trump-withdraws-lawsuit-against-new-york-attorney-general-letitia-james/