A judge ordered President Trump to pay $2 million to a group of charities on Thursday, ruling that the president had broken the law by directing the proceeds from an event advertised as benefiting veterans to his presidential campaign instead.
The lawsuit stems from the wild days of the 2016 Republican primary. Because of a feud he maintained with Fox News at the time, Trump decided to skip a debate hosted by the network just before the Iowa caucuses in January 2016, and hold his own, competing event instead — a televised fundraiser for veterans. But rather than having the foundation run the event and direct all proceeds to the charities, as promised, Trump did something quite different. As New York State Supreme Court Justice Saliann Scarpulla put it in her decision on Thursday:
Mr. Trump’s fiduciary duty breaches included allowing his campaign to orchestrate the Fundraiser, allowing his campaign, instead of the Foundation, to direct distribution of the Funds, and using the Fundraiser and distribution of the Funds to further Mr. Trump’s political campaign.
Though the campaign took charge of the $2.8 million raised at the fundraiser — in violation of the law, which restricted it to the foundation — the money did eventually make its way to veterans groups, as promised. The $2 million Trump was ordered to pay on Thursday, meanwhile, will go to organizations like the United Negro College Fund and the U.S. Holocaust Memorial Museum.
The lawsuit was brought by New York State attorney general Barbara Underwood, who announced last year that the Trump Organization would shut down amid her investigations into its well-documented chicanery. Though Trump had said on Twitter that he would fight the fundraiser case, his lawyers and the state have been in talks for months to negotiate a settlement.
It’s a loss for Trump, but $2 million is a minor blow in his universe — and the judge could have been harsher. She decided not to impose any punitive damages on the president, nor impose lifetime bans on him and his children from serving on the boards of New York–based charities in the future, conditions the state had been seeking. (Though she did put into place other restrictions involving his future charitable endeavors.)
Luckily, Trump Is an Unstable Non-Genius
His mental deficiencies may save American democracy.
The surprising thing about the constitutional crisis we’re now facing is that it took so long to happen. It was obvious from early on that the president of the United States is a would-be autocrat who accepts no limits on his power and considers criticism a form of treason, and he is backed by a party that has denied the legitimacy of its opposition for many years. Something like this moment was inevitable.
What still hangs in the balance is the outcome. And if democracy survives — which is by no means certain — it will largely be thanks to one unpredictable piece of good luck: Donald Trump’s mental deficiency.
I don’t mean that Trump is stupid; a stupid man couldn’t have managed to defraud so many people over so many years. Nor do I mean that he’s crazy, although his speeches and tweets (“my great and unmatched wisdom”; the Kurds weren’t there on D-Day) keep sounding loonier.
He is, however, lazy, utterly incurious and too insecure to listen to advice or ever admit to a mistake. And given that he is in fact what he accuses others of being — an enemy of the people — we should be thankful for his flaws.
Never mind the clear demonstration that the G.O.P.’s Obama-era hyperventilating about deficits was completely hypocritical. The more important point is that $300 billion is a lot of money, and it should have been enough to buy Trump a lot of political gain.
After all, other white nationalists trying to do what Trump is trying to do — subvert the rule of law and convert their nations from democracies on paper to one-party autocracies in practice — have solidified their grasp on power by delivering at least a bit on their populist promises. In Poland, for example, the Law and Justice party has increased social spending and is now promising a big rise in the minimum wage.
Trump’s domestic economic policy, however, has been standard Republican top-down class warfare. None of that $300 billion went for social benefits or even his continually promised, never-delivered infrastructure plan. Instead, it went mainly into tax cuts for corporations and the wealthy that have done little to boost investment.
[For an even deeper look at what’s on Paul Krugman’s mind, sign up for his weekly newsletter.]
At the same time, Trump has pursued his personal tariff obsession despite mounting evidence that it’s hurting growth. The economy was supposed to be his big political selling point. Instead, polls of his net job approval on economic policy are, on average, barely positive even now — and likely to get worse as tariffs on consumer goods bite and the economy slows.But Trump’s squandered economic opportunities are, of course, secondary at this point to his de facto self-impeachment.
Just a few weeks ago it seemed that Trump would skate on charges both of colluding with Russia to subvert the 2016 election and of obstruction of justice; the Mueller report was basically a bust, partly because the story was complicated, partly because of Robert Mueller’s diffidence.
But Trump has managed to make things clear enough for everyone to understand. First he demanded that foreign regimes produce dirt on domestic political rivals, not just in phone calls but right there on camera. Now he’s engaged in a crude, obvious effort to stonewall the House impeachment inquiry that is clearly an impeachable offense in itself.
Why did he hand the defenders of democracy so much ammunition? Partly he seems to have gotten high on his own supply — he actually seems to believe the bizarre conspiracy theories his supporters drum up to excuse his actions. Also, he evidently lacks any kind of self-restraint. Even if he considers any effort to hold him accountable a form of treason, he should have known better than to blurt it out in public.
So Trump’s own actions explain why a vote to impeach, which seemed unlikely just a few weeks ago, now looks almost inevitable. Conviction in the Senate is still unlikely, but not as impossible as it once appeared.
The larger point is that if Trump were cannier and more self-controlled, the march to autocracy might well be unstoppable. He has the backing of a party whose elected representatives have shown no sign of democratic scruples. He has de facto state media in the form of Fox News and the rest of the Murdoch empire. He has already managed to corrupt key government agencies, including the Justice Department.
Indeed, these advantages are so large that the assault on democracy may yet prevail. The only reason it might falter is, as I said, Trump’s own deficiencies.
It says a lot about the modern G.O.P. that the party is still solidly behind a man so obviously, grotesquely, not up to the job (although some rank-and-file Republicans now back an impeachment inquiry). But those of us who want America as we know it to survive should be grateful that Trump is so immature and incompetent. His character flaws are the only thing that gives us a fighting chance.
Trump’s ‘Legitimacy Complex’ At Risk Over NYT Reporting On Financial Losses | Deadline | MSNBC
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