Per a report by Dan Alexander of Forbes Magazine, Donald Trump used his charity to launder other people’s money into Trump money. It is explained in this CNN interview. http://www.cnn.com/videos/politics/2017/06/07/dan-alexander-forbes-eric-trump-charity-golf-tournament-donald-j-trump-foundation-ctn.cnn
The scam was quite simple.
Objective: Convert other people’s money to your money.
Step 1: Establish “charity” (The Trump Foundation)
Step 2: Charity collects other people’s money.
Step 3: Charity donates other people’s money to another charity run by your son (Erik Trump Foundation).
Step 4: Charity run by your son uses the money your charity donated to buy services (previously provided for free) from one of your businesses (a golf course) at inflated prices.
Objective Reached: Other peoples money, that they donated to your charity, is now your money.
This is the same Trump Foundation that previously illegally used donated money to pay off settlements from lawsuits against Trump, illegally donated to the campaign of a Florida Attorney General candidate (who then dropped her Trump University fraud investigation against Trump), and illegally used to buy paintings of Trump to decorate his golf resorts and hotels.
Next up: The spin cycle.