The Trump Hush Money Saga: When a Nonexistent Problem Becomes a Mountain

Donald Trump, the 45th President of the United States, has always been a lightning rod for controversy. From his reality TV days to his tumultuous presidency, every move he made was microscopically scrutinized. One particular episode was the Stormy Daniels affair? 

A sexual encounter that has become emblematic of how a seemingly minor issue can snowball into a legal and political storm. Let’s explore why Trump found himself in trouble over hush money and how his lawyer inadvertently turned a molehill into a mountain.

An encounter typically refers to a brief or casual meeting or interaction between two people. It can be a chance meeting, a conversation, or any form of contact. The term does not necessarily imply any ongoing relationship or emotional attachment.

  • In the context of Stormy Daniels and Trump, the phrase “sexual encounter” suggests a single, isolated incident without further commitment.

An affair is a more complex and sustained relationship. It often involves secrecy, intimacy, and emotional involvement. In the context of extramarital relationships, an affair implies ongoing interactions, shared experiences, and a level of commitment beyond a mere encounter.

For Stormy Daniels, it was not an affair. It was an encounter

  • In 2006, pornographic actress Stormy Daniels claimed in her own words she had a sexual encounter with Trump.
  • The alleged encounter occurred at a celebrity golf tournament in Lake Tahoe.
  • Daniels signed a nondisclosure agreement (NDA) in 2016 to keep quiet about the encounter.

The alleged encounter took place in 2006. In 2016, just before the presidential election, Trump’s lawyer, Michael Cohen, arranged a payment of $130,000 to Daniels, known as The Hush Money Payment. 

Why?

The purpose was to prevent her from publicly discussing the affair? What affair? She says it was an encounter. Why did payments for the encounter happen in 2006, based on ‘he says she says’ evidence? Trump denied it. Why didn’t Cohen tell Daniels to spill the beans or take a hike? Or did he see this as an opportunity to make himself important and fill his coffers in the name of fixing Trump’s so-called nonexistent sexual affairs and so that his wife does not know the nest egg he is building for himself? He was paid $420,000, which he would not have had, had he not creatively reinterpreted Daniels’ sexual encounter into a full blown affair and took care of the NDA, etc.

Cohen and at least one of the women, porn actress Stormy Daniels, who received $130,000, have appeared before the grand jury. The other woman, Playboy model Karen McDougal, received $150,000.

Cohen told the House panel he was reimbursed a total of $420,000 for his role in the payments, in part to cover his taxes and a $60,000 bonus for himself. The payments were made – some in checks signed by Trump – in $35,000 monthly installments under the guise of a legal retainer.

Cohen explained that he created a shell company called Essential Consultants to pay Daniels and hide the deal from his wife.

$420,000. That’s how much Trump allegedly repaid Cohen for his $130,000 payment to Daniels, prosecutors allege, which was paid out in 12 monthly payments of $35,000 throughout 2017. In addition to the $130,000 that Cohen paid Daniels, Trump and the Trump Organization also reimbursed Cohen $50,000 for a separate charge he had made, and that $180,000 amount was then doubled to $360,000, because Trump assumed Cohen would have to pay 50% income tax on the payments. The Trump Organization’s CFO then allegedly added an additional $60,000 as a year-end bonus.’

Forbes
Forbes

The payment raised legal questions about campaign finance violations and obstruction of justice.

Why Did Cohen Create a Shell Company?

Legal Manoeuvring

  • Cohen, a seasoned lawyer, likely saw this as an opportunity.
    • Using the term ‘Avoiding Scandal’: During the election, any affair revelation could harm Trump’s campaign. When It was not an affair, but a one-time sexual encounter in 2006.
    • Protecting Reputation: The NDA aimed to prevent unfavorable publicity? Which is not necessary. The sheer mention of NDA was something significant when, in reality, it was only one encounter.

Privacy and Discretion

  • By creating the shell company, Essential Consultants, Cohen could:
    • Shield the Transaction: Keep it confidential and away from public scrutiny.
    • Disguise the Payment: Present it as a retainer fee for legal services.

Avoiding Personal Embarrassment

  • Cohen keeping it hidden from his wife and the public minimized personal embarrassment. He has openly said he was hiding it from his wife. Why though? Because it’s a nest egg? Was there any personal connection developing between him and the attractive porn star that he did not want his wife to know? It is just supposed to be a business transaction for Trump. 
  • All in the name of Trump, but in reality, was it for his own benefit?

A 2006 one-time sex encounter with Daniels did not need any hush funds or an NDA as it was not of importance. Was it because Cohen saw a chance to build a nest egg without his wife’s knowledge? He used Trump as a scapegoat, scared him or his other advisers, and he, as a fixer, would handle everything at a cost, may have told him about the shell company. Trump, being busy, may have told him to just fix it, without realizing the real motive may have been for Cohen to establish a nest egg hidden by a shell company. 

It’s often the case that clients are not fully aware of the specific actions their lawyers take on their behalf. Lawyers handle many details behind the scenes, and while they should keep their clients informed, sometimes the complexity and volume of legal work mean that not every action is communicated in detail. It’s important for clients to have regular check-ins with their lawyers to stay updated and ensure their interests are being represented accurately. But if you are busy like Trump he may have opted for the ‘trust factor’ while dealing with Cohen as most clients do.

  • Cohen’s actions inadvertently elevated his importance:
    • He positioned himself as a trusted confidant willing to handle sensitive matters.
    • Sometimes, creating a solution where there’s no problem can backfire.

Is it possible that Cohen established a shell company to hide his own $420,000 bill, which he received from Trump and his organization, and also tried to add other fees to it and hide them from his Ukrainian wife? Did he want a nest egg for himself so his wife wouldn’t know and used the elaborate legal manoeuvres using Daniels, McDougal, the doorman’s story of a love child, in order to make himself more important to Trump as his fixer? In fact, was he using Trump’s name without his knowledge, filling his personal coffers and hiding funds from his wife?

In the avalanche of women coming after Trump (whom he might have slept with or not), would the public have cared if Daniels or McDougal had come forward with their story? Or, would it have just been a pebble thrown into the sea?

Cohen aimed to protect Trump’s reputation during the 2016 election. Was Cohen so concerned about keeping Trump’s image pure, holier than thou even, that he did not think when Daniel threatened to reveal all about her one-time sexual encounter? Did he get scared and momentarily lose his street smarts? Did he believe only a legal approach would solve the problem, not realizing it would have been just a pebble thrown in the ocean had she spilled her story? Was it a misstep or a calculated move? The legal process led it from being a molehill to a mountain.

In 2018, Stormy Daniels sued Cohen for defamation, citing a statement he made to the media in which he said, “Just because something isn’t true doesn’t mean that it can’t cause you harm or damage.” Daniels’s lawsuit alleged that Cohen’s comments were meant to convey that Daniels was a liar about her relationship with Trump and that the lie caused Trump harm. The case was dismissed. 

Wikipedia

Or did he think he had an opportunity for self-indulgence behind his Ukrainian-born wife’s back? Did Trump become the scapegoat for his personal greed and ambition?

Why did he want to hide his transactions with Daniels from his wife if it was just a business deal?

In hindsight, Cohen’s actions—whether driven by personal ambition, legal strategy, or both—have left a lasting impact. The Stormy Daniels case serves as a cautionary tale about the complexities of loyalty, legal manoeuvring, and the allure of scandal. Is Trump in trouble for blindly trusting his lawyer? It’s often the case that clients are not fully aware of the specific actions their lawyers take on their behalf. Lawyers handle many details behind the scenes, and while they should keep their clients informed, sometimes the complexity and volume of legal work mean that not every action is communicated in detail. It’s important for clients to have regular check-ins with their lawyers to stay updated and ensure their interests are being represented accurately.

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