Real Estate

Manhattan District Attorney convenes new grand jury in Trump Organization probe, report says

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The entrance to Trump Tower on 5th Avenue is pictured in the Manhattan borough of New York City, May 19, 2021.
Shannon Stapleton | Reuters

The Manhattan District Attorney’s office has convened a new grand jury for its ongoing probe of the company owned by former President Donald Trump, according to a new report Thursday.

The grand jury will hear evidence about the company’s financial practices, and could potentially vote on criminal charges, The Washington Post reported, citing people familiar with the matter.

News of the second grand jury comes months after the first grand jury convened by the DA issued an indictment criminally charging Trump companies and the Trump Organization‘s chief financial officer Allen Weisselberg with a scheme to avoid paying taxes on executive compensation.

The defendants have pleaded not guilty in that case.

One source cited by The Post said the second grand jury is expected to look at how the Trump Organization valued its real estate assets.

The offices of Manhattan DA Cyrus Vance Jr., who is leaving office this winter, and of New York Attorney General Letitia James for more than a year have been eyeing how the company valued such assets, and whether it reported different values for the same properties to lower their tax burden and insurance costs, and maximize the value of loans against them.

James last week announced her run for the Democratic nomination for governor in the 2022 election.

Vance’s spokesman Danny Frost declined to comment on The Post’s report.

A Trump Organization spokeswoman did not immediately respond to requests for comment by CNBC.

This is breaking news. Check back for updates.

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