Donald Trump got sued big bucks yesterday by New York’s attorney general, for a frauds claim on his learning institution if you can call it that, “Trump University”. The University promised its student’s a bright future, along with a rich one, yet didn’t deliver! Hit the jump for the full story!
Attorney General Eric Schneiderman sued Donald Trump for $40 million on charges of running a “phony” “Trump University” in which students were made numerous false promises.
He stated to the jury: “many of the 5,000 students who paid up to $35,000 thought they would at least meet Trump but instead all they got was their picture taken in front of a life-size picture of “The Apprentice” TV star.
The students were scammed into believing that they were guaranteed an apprenticeship soon after finishing the “program”, and were told that the program would make them rich!
“Schneiderman’s lawsuit covers complaints dating to 2005 through 2011. Students paid between $1,495 and $35,000 to learn from the Manhattan mogul,” himself Donald Trump.
“At the seminars, consumers were told about “Trump Elite” mentorships that cost $10,000 to $35,000. Students were promised individual instruction until they made their first deal. Schneiderman said participants were urged to extend the limit on their credit cards for real estate deals, but then used the credit to pay for the Trump Elite programs. The attorney general said the program also failed to promptly cancel memberships as promised”
He continued in stating: “Trump University engaged in deception at every stage of consumers’ advancement through costly programs and caused real financial harm,””Trump University, with Donald Trump’s knowledge and participation, relied on Trump’s name recognition and celebrity status to take advantage of consumers who believed in the Trump brand.”
Trumps Attorney Micheal D. Cohen, responded by saying that the NY attorney general was trying to “extort the campaign contributions” from Trump, and ultimately said that Schneiderman’s lawsuit was “filled with falsehoods”.
“The attorney general has been angry because he felt that Mr. Trump and his various companies should have done much more for him in terms of fundraising,” Cohen said. “This entire investigation is politically motivated and it is a tremendous waste of taxpayers’ money.”
The State of Boards of Elections records reported that Trump had financed “more than $136,000 on New York campaigns since 2010. He contributed $12,500 to Schneiderman in October 2010, when Schneiderman was running for attorney general”.
“Donald Trump will not sit back and be extorted by anyone, including the attorney general,” Cohen said.
Many of the students were unable to land any real estate careers after their completion of the “Trump University” and only dug themselves deep into debt, states the lawsuit. Schneiderman is seeking for the $40 million suit in restitution for the mis-guided students.
“The fact that he’s still brave enough to follow the investigation wherever it may lead speaks to Mr. Schneiderman’s character,” Schneiderman spokesman Andrew Friedman told AP.
Via USAToday
