Trump And Kids Agree To Sit For Depositions In Yet Another Fraud Case
Former President Donald Trump and his three eldest children have agreed to sit for depositions concerning a class-action civil case accusing the Trumps of fraud for pushing investors on a money-losing marketing company that sold desktop video phones.
Trump’s lawyers have said in the past that his hype of the operation was “puffery” that “no reasonable investor” would have relied on. He has also claimed that the lawsuit is politically motivated.
Trump agreed to a deposition date of June 16 after negotiations with lawyers for four investors who claim he duped them into paying thousands of dollars to become independent sellers with ACN Opportunity LLC, according to a filing Friday in Manhattan federal court, Bloomberg reported. Trump failed in 2018 to get the case dismissed.
Trump touted ACN’s video phones on his reality show “The Celebrity Apprentice.” He also pitched the operation as an “easy” way to make money in promotional videos. Trump was reportedly paid almost $9 million by ACN from 2005 to 2015.
ACN recruits paid hundreds of dollars to join and then hundreds more to attend seminars and national conventions in order to sell the product.
It’s hardly the first time Trump — and his adult children — have been accused of fraud. Trump paid $25 million in 2017 to settle a class-action suit over Trump University, which wasn’t a university.
In 2019, Trump paid a court-ordered $2 million in damages for dipping into the Trump Foundation charity to use donations for himself or his business. The foundation was shut down and his three oldest children were required to undergo mandatory training to “ensure this type of illegal activity never takes place again,” said a statement from New York Attorney General Letitia James.
Tenants who lived in rent-regulated Trump-owned apartments filed an amended class-action complaint this month accusing the former president and a number of relatives of fraud and racketeering, alleging a scheme to hike tenants’ rents by charging inflated prices for major appliances.