Two former employees of the Trump Organization have filed a lawsuit in federal court alleging that the former president’s former business associate and her former manager used their positions at the Trump organization to take advantage of them for personal gain, the New York Times reports.
The complaint filed Monday alleges that Stephanie “Sue” Drexler, the president of the company that owns the Trump Tower hotel, and her then-boss, Mark Zaid, conspired with each other to commit “defraud, misappropriation of trade secrets, and false statements of material fact” against Drexlers husband, Stephen, according to the Times.
Drexler and Zaid are accused of stealing $4 million in profits from a $20 million development in Las Vegas and then funneling the money into Drexley’s personal bank account.
Zaid is also accused of making false statements about a $1 million settlement in a lawsuit Drexlars attorney filed against him in a separate lawsuit.
“The Defendants conspired to defraud Plaintiffs of Plaintiffs’ business profits and profits from the hotel, which Plaintiffs were then unable to recover, resulting in Plaintiffs suffering a loss of $4.3 million,” the lawsuit reads.
“These Defendants’ conduct occurred at the direction of the President, the President’s personal representative, the former President, and/or the former CEO of the Company.”
The lawsuit alleges that Zaid and Drexllys actions violated the Emoluments Clause of the U.S. Constitution and the Federal Constitution, and also alleges that they violated the False Claims Act, which forbids the making of false or misleading statements.
In a statement, Zaid’s lawyer said the allegations are “unfounded.”
“The claims that these defendants are responsible for violating federal and state law are totally false and defamatory, and the claims are baseless,” the statement read.
“These are the exact same defendants who made false claims against our client during the presidential campaign.”
Drexlers lawyer, Alan S. Shapiro, did not immediately respond to requests for comment on the lawsuit.