A lawsuit filed by the District of Columbia's attorney general claims that Donald Trump’s inaugural committee spent more than $1 million to book a ballroom at the Trump International Hotel in the nation's capital as part of a scheme to “grossly overpay” for party space and enrich the president's own family in the process.
D.C. attorney general, Karl Racine, said the committee misused nonprofit funds and coordinated with the hotel’s management and members of the Trump family to arrange the events, according to the Associated Press.
A former adviser to first lady Melania Trump emailed Gates and Ivanka Trump saying that the hotel's proposed price was at least twice the market rate, Racine said, according to AP. But the lawsuit said Gates went ahead anyway at a cost of $1.03 million.
The lawsuit claims the committee had options to host inaugural events at other sites for cheaper or for free, but didn't consider those, AP reports.
Prosecutors also say the committee used nonprofit funds to throw a $300,000 party for Trump's children -- Donald Jr., Ivanka and Eric -- on the night of the inauguration after the ball was over, according to AP.
“District law requires nonprofits to use their funds for their stated public purpose, not to benefit private individuals or companies,” Racine said, adding that the lawsuit seeks to recover the funds.
