The media company’s first “catch and kill” involved a janitor at Trump Tower trying to sell a story about a child allegedly born out of wedlock to Trump. The American media paid the doorman $30,000 for the rights to the story, which later turned out to be fake, but never published it. The second “Catch and Kill” was about McDougal, who claimed he had an affair with Trump while he was married in the early 2000s. US media paid McDougal $150,000 to keep the story from going public, prosecutors said.
In a conversation recorded in September 2016, Cohen allegedly told Trump that he would open a bank transfer company for McDougal and said he spoke with the Trump Organization’s chief financial officer about “how to set it all up.”
“So how much do we have to pay for this?” Trump asked, according to the district attorney’s office. “One fifty?” he added before offering to pay in cash.
Prosecutors allege that Cohen disagreed and that Trump offered to pay by check.
After Access to Hollywood a tape of Trump telling host Billy Bush that he was grabbing women “by the pussy” went public in October 2016, according to prosecutors, American Media’s editor-in-chief put Daniels’ lawyer in touch with Cohen to silence her. However, Trump allegedly did not want to pay the $130,000 himself, so Cohen agreed to do it on his behalf.
The men delayed paying Daniels until October 2016, when Cohen opened a Manhattan bank account for the shell company Essential Consultants LLC, prosecutors said. Cohen then transferred $131,000 from his own house line of credit to an account before transferring $130,000 to Daniels’ attorney as a silence payment.
After the 2016 election, Trump paid Cohen monthly payments that prosecutors allege were disguised as legal fees.
After Trump won the election, the US media released the Trump Tower janitor and McDougal from their non-disclosure agreements. Prosecutors say he met privately with Pecker before and after Trump’s inauguration to thank him for destroying the doorman and McDougal stories.
In January 2017, the Trump Organization’s CFO agreed to pay Cohen monthly payments for a year as part of a “withholding agreement” that prosecutors said was a sham. A year later, Trump and Cohen allegedly met in the Oval Office to confirm a debt settlement agreement.
In February 2017, Cohen emailed an invoice requesting payment, which was approved by the Trump Organization and sent to accounts payable with instructions to “Charge for legal fees. In the description, indicate “advance for January and February 2017”.
Prosecutors say Cohen did this 10 more times, and each invoice falsely stated it was for a retainer agreement. Trump also allegedly paid Cohen personally for nine payments, with the checks including false statements.
“A total of 34 false entries were made in New York City business records to cover up the original secret payment of $130,000,” Bragg’s office said in a statement. “Furthermore, the participants in the scheme have taken steps that, for tax purposes, have distorted the true nature of the refund.”
In August 2018, the FBI issued a search warrant for Cohen’s home and office, after which, according to prosecutors, Trump told him during a phone call to “stay strong.”
Cohen eventually pleaded guilty to eight criminal charges, including tax evasion and making false statements to a financial institution. In September 2018, the American media entered into a non-prosecution agreement in exchange for cooperating with the investigation.