State attorneys general to investigate reports Trump lawyer funneled cash from nonprofit: report

Two state attorneys general are probing a nonprofit led by President Trump’s conservative attorney, Jay Sekulow, following reports that he had directed millions of dollars from the charity to his own family and business.

According to a report by The Guardian on Wednesday, North Carolina Attorney General Josh Stein (D) and New York Attorney General Eric Schneiderman (D) confirmed they are examining Sekulow’s nonprofit, Christian Advocates Serving Evangelism (CASE).

“The reports I’ve read are troubling. My office is looking into this matter,” Stein said in a statement, the news outlet reported.

“We’re reviewing their filings,” Amy Spitalnick, a spokeswoman for Schneiderman, told The Guardian in an email.

{mosads}Both attorneys decided to act after learning that Sekulow, his family members and companies, who hold senior positions in the nonprofit, have been paid over $60 million by CASE and an affiliate since 2000.

Legal Times first reported the payments in 2015.

The Guardian report detailed the payments, offering examples of improper payments, including when the nonprofits paid Regency Productions, a company owned by Sekulow, over $11 million by production services.

The report also details millions of dollars Sekulow, his wife, his children and other members of his family took in both personal and compensation payments.

Federal law prohibits nonprofits from receiving payments or compensation that exceed fair market value, or “excessive benefit,” from their organizations.

In the report Tuesday, a spokesman for Sekulow defended the payments in question. Gene Kapp said such payments are “regularly reviewed by outside independent compensation experts” to make sure they comply with the law.

Sekulow and Kapp did not immediately respond to The Guardian’s request for comment.