Business

Judge issues one-day pause of NY prosecutors’ subpoena for Trump’s tax returns

A federal judge on Wednesday issued a one-day stay of New York prosecutors’ subpoena to President Trump’s accounting firm for the president’s personal and business tax returns.

Judge Victor Marrero, an appointee of former President Clinton, issued an order blocking enforcement and compliance of the subpoena until Thursday at 5 p.m. He ordered lawyers for Trump and the Manhattan district attorney’s office to send the court a letter by 4 p.m. Thursday about whether they’ve agreed on how to proceed after the stay expires and before he rules in the dispute.

The order was filed after a hearing Wednesday in federal court in New York.

{mosads}Trump last week filed a lawsuit against his accounting firm, Mazars USA, as well as Manhattan District Attorney Cyrus Vance (D). The lawsuit challenges a subpoena Vance’s office issued late last month, as part of a grand jury investigation, to Mazars for Trump’s tax returns and other financial information.

In court documents filed ahead of Wednesday’s hearing, Trump’s personal lawyers argued that presidents can’t be criminally investigated and prosecuted while in office, so the subpoena violates the Constitution. But the district attorney’s office disagreed, saying there is no such immunity under the law. 

Trump’s lawyers and the district attorney’s office also disagreed about whether the president would suffer “irreparable harm” if Mazars complied with the subpoena.

Additionally, the district attorney’s office argued that Trump’s lawsuit should be dismissed because it was filed in federal court rather than state court, but Trump’s lawyers argued that restrictions on the court hearing federal claims don’t apply to cases like this one.

The Department of Justice (DOJ) issued its own brief in the case on Tuesday, saying it supported a temporary restraining order because it’s considering whether it wants to weigh in on whether Trump should be granted a preliminary injunction.

Marrero on Wednesday said in his order that the DOJ has until Monday to decide whether it wants to participate in the case. Marrero said that if the federal government decides to get involved, it has until the close of business on Oct. 2 to file a brief.

Updated at 3 p.m.