The idea that Donald Trump had a sister who was a federal appellate judge always seemed somewhat brain bending. That’s no longer a problem, because Trump’s sister, Maryanne Trump Barry, has resigned her court position in the middle of an investigation into tax fraud.
The resignation follows complaints that were filed in October after a New York Times investigation revealed that both Donald Trump and his sister engaged in a series of tax schemes in the 1990s to undervalue their properties and reduce inheritance taxes by 90 percent. According to the Times report, that manipulation of values rose to the level of criminal fraud. Maryanne Trump Barry didn’t just receive millions through that fraud, but helped to plan it.
Now, as the Times reports, Barry is stepping down from her position specifically to head off an investigator into that tax fraud. Because this was a judicial investigation and not a legal prosecution, leaving her position as a judge will immediately end the action. The matter has been “dropped without findings.”
The earlier investigation showed that a shell company set up by the Trump family, All County Building Supply & Maintenance, was being used to inflate the apparent cost of services and materials at Trump properties and route funds to the Trump siblings without paying gift taxes. That same scheme also allowed Trump to charge higher rates to the government for projects collecting federal revenue. And the higher reported costs were used to justify raising rents in rent-controlled buildings. Ultimately, low-income renters paid higher monthly fees and the government picked up more payments to help Donald Trump and his siblings collect more behind the scenes cash while dodging taxes and padding their profits.
Now, by moving from the status of “inactive” to “retired” Barry is free from further judicial review, but still eligible for retirement benefits. Barry will continue to collect a salary of somewhere between $184,500 and $217,600 in retirement.