Former Republican President Donald Trump’s accounting firm has let go of its longtime client, saying financial statements it provided for nearly a decade were unreliable, leaked court documents show. Monday.
Last week, Mazars Group informed the Trump Organization in a letter that it would no longer work for the company, which is under investigation for possible tax evasion.
The document was presented to the court by State’s Attorney Letitia James, who asked a judge to compel Donald Trump to comply with invitations to testify as part of the investigation.
Mme James announced last month that his team had uncovered evidence of fraud, including fraudulent asset valuations.
According to Mazars, the prosecutor’s findings led her to consider that Trump’s accounting for the year ending June 30, 2011 through that ending June 30, 2020 “should no longer be deemed reliable.”
The firm added that its own investigation and “information received from internal and external sources” also weighed in its choice.
“Although we have not concluded that the various balance sheets, taken together, contained any material irregularities, given the circumstances, we believe that our advice to no longer rely on these financial records is warranted,” the letter said.
Partly because of this decision, Mazars “is no longer able to supply any new product to the Trump Organization,” it further reads.
These financial statements are at the center of Ms.me James, and another, criminal, led by the Manhattan district attorney.
The Trump Organization is suspected of overstating the value of certain properties when applying for loans from banks and undervaluing those same properties to the taxman in order to pay less tax.
Last July, the Trump Organization and its trusty accountant, Allen Weisselberg, pleaded not guilty in a New York court to 15 counts of fraud and tax evasion.
The Manhattan district attorney’s office received multi-year tax returns from Mazars in January after a legal battle that went all the way to the Supreme Court.
According to Donald Trump, both investigations are motivated by political objectives.
But these legal troubles could complicate a possible second race for the White House.
The 75-year-old billionaire leaves doubts about his intention to run again, or not, for the Republican nomination.