“Sir, You Have the Most Overinflated Values on Your Properties”: Trump Organization Corporate Controller Weeps During Testimony in NY Trial

Jo ShawDec 1, 2023

Minute Read

Trump Org.’s former corporate controller, Jeff McConney, wiped away tears during his testimony for the defense as the pressures of the fraud trial began to show. During his testimony, he declared his love for his job but admitted the numerous investigations and accusations had finally led to his departure from the company.

McConney Couldn’t Do It Anymore

McConney stated, “I just couldn’t do it anymore.” According to the Courthouse News Services, McConney used a tissue handed to him by a court officer to wipe away tears. When Judge Engoron inquired about his well-being and ability to proceed, McConney reassured the judge that he was fine.

Why He Left Trump Org

McConney reportedly broke down in response to Trump’s lawyer, Jesus Suarez, questioning why he had left the company, Trump Org. McConney’s emotional response was, “I just wanted to relax and stop being accused of misrepresenting assets for the company that I loved working for. I’m sorry,”

His Role in Fraudulently Inflating Assets

The attorney general’s office had previously interrogated McConney, questioning him about his involvement in artificially inflating assets on the Trump Organization’s financial statements.

Mar-A-Lago Was Listed as Private Residence

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Attorney General Letitia James extensively questioned McConney regarding the valuation of the Mar-a-Lago estate by the Trump Organization. The AG asserted that Trump represented the property as a private residence on financial statements instead of acknowledging it as a private club. The Attorney General alleges that the classification of Mar-a-Lago as a private residence was a deliberate attempt to inflate its value despite its operational status as a corporate entity.

It Should Have Been Listed as a Club

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McConney had previously claimed he could not remember why the Trump Organization valued it as a residence. “I don’t remember off the top of my head,” he said. “We didn’t value it as an operating club.”

No Wrongdoing in the Valuation

In his testimony, reported by the Courthouse News Service, he stated Mar-a-Lago was “a social club.” The Courthouse News Service added that McConney “denied any intentional wrongdoing when it came to valuing the estate.”

Reflecting the Best Value of Properties

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McConney had told the court, “Our intention was always to reflect as best we could the value of these properties.” The former President’s son, Eric Trump, had also testified that Mar-a-Lago was “a private residence, not a club.” But later conceded that it was “used as a private club.”

Valuations Were Legitimate

During McConney’s various statements and testimonies, he staunchly defended the fact that the valuations were legitimate. The AG James refuted McConney’s testimony and argued that the valuations were over-inflated to gain favorable deals.

McConney Took Pride in His Work

McConney said during his testimony for the defense, “I feel proud of what I did. I think everything was justified. Numbers don’t represent fully what these assets are worth,” and explained, “I got to do a lot of things normally an accountant wouldn’t be able to do. I’m very proud of the work I did for 35 years.”

McConney Gave Up

Following numerous years of investigations accusing him of artificially inflating asset valuations on Trump’s financial statements, McConney acknowledged that he had “given up.” Additionally, McConney revealed that he had received a severance package of $500,000 from the Trump Organization.

McConney Pushed Blame to Mazars

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McConney had previously testified that Mazars, an external accounting firm, had included most of the disclaimers on Trump’s statements. McConney blamed Mazars and Donald Bender during his testimony, claiming they should have advised if any of the properties were over-valued.

Trump’s Celebrity Was the Reason

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In their article, the Associated Press stated that McConney had “disclosed, for example, that the estimate for the boss’s Trump Tower penthouse was increased by $20 million partly because of the value of Trump’s celebrity. Meanwhile, the triplex also was valued for years at three times its actual size — a discrepancy that McConney attributed to information from a colleague he believed ‘knew the property a lot better than I did.’”

Tax Benefits for Keeping Mar-A-Lago a Club

McConney stated that he assessed the value of Trump’s Mar-a-Lago club as if the property were eligible for sale as a private residence. Despite Trump benefiting from tax advantages by maintaining the property as a club, thanks to an arrangement with the National Trust for Historic Preservation.

Trump Valued Property as a Home

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In previous testimony, Trump asserted that he had the authority to reclassify the property as a residence.

Appraisals Don’t Properly Reflect the Value

Regarding Trump’s financial statements, McConney testified that “just because there’s an appraisal done doesn’t mean it properly reflects the value of that property.”

Trump Would Occasionally Have Suggestions Over Valuations

McConney had previously stated that Trump would examine statements before their finalization. In response to the testimony, Trump said, “I would see them, and I would maybe, on occasion, have some suggestions.”

Trump’s Underlings Bear the Consequences

Users went online to comment on McConny’s emotional testimony. One user posted, “There’s one thing that I’ll agree with and that is that it’s always Trump’s underlings who take the heat and bear the consequences for his criminal enterprises.”

The Greatest Fabrication of All Time!

Another responded with humor, posting, “he said to me ‘sir, you have the most overinflated values on your properties! Just the greatest fabrication of all time!’”