Judge asks group in Trump lawsuit to justify right to sue
NEW YORK (AP) — A federal judge on Wednesday pressed government lawyers to explain why President Donald Trump’s ownership of hotels patronized by foreign government officials didn’t violate the Constitution, a key question that could shed light on Trump’s finances if a civil lawsuit heard in New York is allowed to proceed.
At issue in the case brought by the left-leaning public policy group Citizens for Responsibility and Ethics in Washington is the interpretation of the socalled foreign “Emoluments Clause” of the Constitution, a provision meant to prohibit bribery of federal officials by foreign governments.
A lawyer for CREW, which represents competing restaurateurs, hotel owners and others in the industry, said during oral arguments in Manhattan federal court that by doing business with foreign officials with an interest in currying favor with the White House, Trump runs afoul of the Constitution. A lawyer for the Department of Justice disagreed, saying a violation only happens if an actual act is done in exchange for a payment. U.S. District Judge George B. Daniels said he’d rule on whether the case can go forward in the next 30 to 60 days. The government has sought to dismiss the case.
If Daniels allows the case to proceed, it could reveal much about Trump’s business and personal finances, possibly forcing him to disclose tax returns and other financial information in the course of discovery. Trump, who made his fortune in real estate, marketing and entertainment, bucked decades of precedent by refusing to release his tax returns during the 2016 presidential elections. That has fueled suspicions about his possible conflicts-of-interests as well as concerns about the source of his income, including whether any of it comes from sources abroad.
Government lawyer Brett Shumate argued for a precise definition of the Emoluments Clause, saying that because an emolument includes the exchange of payment for an official act, Trump’s business income couldn’t qualify as such a payment.