Donald Trump reaches $25mn settlement in university fraud case

byWatson Williams -
0
This 2005 file photo shows Donald Trump before a press conference in which he announced the establishment of Trump University.
US President-elect Donald Trump has agreed to pay $25 million in order to settle the lawsuit against Trump University, according to New York Attorney General Eric Schneiderman.
Schneiderman made the announcement Friday, saying that the settlement amounted to “a major victory for the over 6,000 victims of his fraudulent university.”
The settlement includes all the three lawsuits filed against the university. Trial for one of the cases was slated to begin on November 28.
The money would be split among the suing students. According to Schneiderman, Trump would also pay an extra $1 million in penalties to the state of New York.
The university, which operated between 2004 and 2010, has been accused of being a sham aimed at ripping off students, who claim they were tricked into believing that the New York businessman would handpick the instructors.
Apparently, the students were initially lured through free seminars, where the instructors steered them into higher cost ones.
Later on Friday, Trump’s office confirmed the announcement, saying that Trump agreed to settle the case in order to focus on his presidency.
“We are pleased to announce the complete resolution of all litigation involving Trump University,” the Trump organization said. “While we have no doubt that Trump University would have prevailed at trial based on the merits of this case, resolution of these matters allows President-Elect Trump to devote his full attention to the important issues facing our great nation.”
During the presidential campaign, Trump had accused the federal judge overseeing the case of being hostile to him.
“I believe he happens to be Spanish, which is fine. He is Hispanic, which is fine. And we haven't asked for recusal, which we may do,” He said in May. “But we have a judge who is very hostile. Should've been thrown out. Wasn't thrown out.”
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