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Saturday, April 14, 2018

Trump Sees Inquiry Into Cohen as Greater Threat Than Mueller - The New York Times

"The documents seized by prosecutors could shed light on the president’s relationship with a lawyer who has helped navigate some of Mr. Trump’s thorniest personal and business dilemmas. Mr. Cohen served for more than a decade as a trusted fixer and, during the campaign, helped tamp down brewing scandals about women who claimed to have carried on affairs with Mr. Trump.

Mr. Trump, Mr. Cohen and their teams were still scrambling on Friday to assess the damage from the raid early Monday morning. They remained unsure what had been taken, an uncertainty that has heightened the unease around Mr. Trump.

Although his lawyers had projected confidence in their dealings with the special counsel, Robert S. Mueller III, they were caught flat-footed by the New York raids. The lawyers fear that Mr. Cohen will not be forthcoming with them about what was in his files, leaving them girding for the unknown.

Mr. Cohen and Mr. Trump, through their lawyers, argued in federal court on Friday that many of the seized records were protected by attorney-client privilege. They asked for an order temporarily prohibiting prosecutors from reading the documents until the matter could be litigated. Mr. Cohen argued that he or an independent lawyer should be allowed to review the documents first.

“Those searches have been executed, and the evidence is locked down,” Joanna C. Hendon, a lawyer for Mr. Trump, said in court. “I’m not trying to delay. I’m just trying to ensure that it’s done scrupulously.”

Mr. Cohen’s lawyer, Stephen Ryan, wrote in a court filing that the search “creates constitutional concerns regarding officers of the executive branch rummaging through the private and privileged papers of the president.”

Prosecutors argued that the previously seized emails revealed that Mr. Cohen was “performing little to no legal work, and that zero emails were exchanged with President Trump.” They said their investigation was focused on Mr. Cohen’s business dealings, not his work as a lawyer.

But it is difficult to extract Mr. Cohen from his work for Mr. Trump. For more than a decade, Mr. Trump has unleashed Mr. Cohen on his foes — investigative journalists, business rivals and potential litigants. And the New York search warrant makes clear that the authorities are interested in his unofficial role in the campaign.

Prosecutors demanded all communication with the campaign — and in particular two advisers, Corey Lewandowski and Hope Hicks, according to two people briefed on the warrants.

Prosecutors also seized recordings of conversations that Mr. Cohen had secretly made, but he told people in recent days that he did not tape his conversations with Mr. Trump. Mr. Cohen frequently taped conversations with adversaries and opposing lawyers, according to the two people briefed.

The raids on Mr. Cohen surprised and angered the president, who has been frustrated with the special counsel investigation into Russia’s 2016 election interference, the Kremlin’s possible coordination with Trump associates and whether the president has tried to obstruct those inquiries.

In response to the raids, Mr. Trump has considered firing Mr. Mueller, Attorney General Jeff Sessions and the deputy attorney general, Rod J. Rosenstein. On Friday, Mr. Trump’s spirits were frayed in the morning as his lawyer battled in the Manhattan courtroom. But he grew cheerier as the day went on, an adviser said, buoyed by a report by the Justice Department’s inspector general that was damning about a former F.B.I. official, Andrew G. McCabe, who he believed had tried to undermine him.

Mr. Cohen’s lawyers have called the raids of his offices and hotel room an overreach of the law. Prosecutors said on Friday that they had used a search warrant, rather than a subpoena, because they had evidence that Mr. Cohen’s files might be permanently deleted — by whom, the documents did not say. Many details in the documents were redacted, but prosecutors said they had found evidence of fraud and a “lack of truthfulness” on his part.

Mr. Cohen wants his lawyers to be able to review the files and withhold privileged material before prosecutors can see them. As an alternative, he asked that an independent lawyer be allowed to review the files first. A judge scheduled a follow-up hearing for Monday and ordered Mr. Cohen to attend. The judge, Kimba M. Wood, was upset that he was not in court Friday.

Federal agents seized documents that dated back years, some of which are related to payments to two women who have said they had affairs with Mr. Trump. Other documents seized included information about the role of The National Enquirer in silencing one of the women, people briefed on the investigation have said.

Communications between lawyers and their clients are normally off limits to prosecutors, but there are exceptions, including when the materials are considered part of a continuing crime.

Mr. Trump has viewed any investigation of his business and private life to be off limits to prosecutors, but the search warrants make clear that investigators consider those topics part of their case.

Agents sought information about Karen McDougal, a former Playboy model who claims she had a nearly yearlong affair with Mr. Trump shortly after the birth of his youngest son in 2006. American Media Inc., which owns The Enquirer, paid Ms. McDougal $150,000. The company’s chief executive is a friend of Mr. Trump’s.

Agents also demanded information related to Stephanie Clifford, better known as Stormy Daniels, a pornographic film actress. Ms. Clifford has said she had sex with Mr. Trump while he was married. Mr. Cohen has acknowledged paying Ms. Clifford $130,000 as part of a nondisclosure agreement to secure her silence days before Election Day."

Trump Sees Inquiry Into Cohen as Greater Threat Than Mueller - The New York Times

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