The Trump Organization is being sued for tax fraud.
If his company is found guilty, Trump could be barred from doing business with the government.
The Secret Service agents who protect him at his resorts would no longer be billed by him.
Donald Trump's real-estate and golf-resort empire goes on trial in New York on Monday, kicking of proceedings in a low-level corporate fraud case with high financial stakes.
It's something government spending watchdogs have been urging for a long time.
The Trump Organization could be barred from doing business with the government if it is found guilty.
After his many brushes with fraud allegations and given federal regulations requiring "an excellent standard of conduct," Trump is not the ideal government contractor.
"Debarment," or blacklisting, of any company convicted of business-related crimes is recommended by those regulations.
Steven L. Schooner is a professor at George Washington University Law School.
Despite two impeachments, an inauguration scandal, and questions over his Trump International Hotel in DC, the feds continued to do business with Trump.
The Trump Organization billed the Secret Service more than one million dollars to stay at Trump properties during the former president's term.
The Secret Service paid Trump as much as $1,185 per night for a single room at his DC hotel, and once signed a $179,000 contract for golf cart rentals at his golf resort.
The rules that apply to typical government contractors have never been applied to the Trump Organization.
He said the government's apparent refusal to stop stuffing taxpayer dollars into Trump's pocket was as mind-breaking as it was heartbreaking.
The jury that will be chosen in a downtown Manhattan courtroom starting Monday will determine if the Trump Organization defrauded tax authorities by paying executives some of their compensation off the books.
Allen Weisselberg, the former CFO of the company, will be the key witness against the company.
Free use of Trump- branded apartments on the Hudson River, as well as Mercedes-Benz luxury cars for himself and his wife, were some of the perks Weisselberg received.
The cars, apartments and tuition were considered part of Weisselberg's $940,000-a-year income, according to prosecutors.
The Trump Organization is accused of knowingly and repeatedly filing inaccurate tax documents to avoid payroll taxes on their extra compensation.
Weisselberg will have to pay back $2 million and serve five months in jail as part of his plea.
If the three tax fraud counts and six other counts in the indictment are found to be true, the Trump Organization could face stiff tax penalties and fines.
The Manhattan District Attorney's office is pursuing a penny-ante fringe benefits case out of political bias against Trump according to their lawyers.
The Secret Service billing revelations and the trial starting in Manhattan have made it more likely that those calling for and ending Trump's government contracts will succeed.
Noah Bookbinder is the president of Citizens for Responsibility and Ethics in Washington.
He told Insider that it was hard to imagine how the federal government could not debar someone if they were convicted of a crime.
The government was asked to cut ties with Trump's company in October of 2021.
The Department of Homeland Security, which oversees the Secret Service, is one of the agencies that has done business with Trump.
The Project on Government Oversight is one of the groups that signed on to the letter.
Debarment is a foregone conclusion if the organization is found guilty on any of the charges.
The GSA and the Trump Organization did not reply to Insider's questions.
The Secret Service would only respond to the congressional investigation into Trump's billing, and not speculate on a potential debarment.
It's difficult to target Trump's Secret Service billing.
Under federal acquisition regulations, an agency can continue to use a blacklisted company if they say they have compelling reasons to keep doing business with them.
In the case of the Secret Service, that would mean saying there is no way to protect Trump and his family without staying at one of his resorts.
Schooner said that the agency can say they need the contractor.
Donald Trump's Secret Service spigot may well remain open if he allows the Secret Service to stay at his properties for free or if he forgos Secret Service protection.
Future self-dealing in other types of contracts would be prevented if Trump were blacklisted.
The Secret Service may be able to say that they need to be close to the former president in order to do their job.
I remember when Trump was trying to get the G-7 to hold a conference at his property.
The US was to host the 2020 G-7 summit at the Trump National Doral golf resort in Miami, an idea quickly abandoned after critics accused the president of self-dealing and other ethics violations.
Air Force crews enjoyed lodging at Trump's luxury golf resort in Scotland while Vice President Mike Pence stayed at a Trump hotel in Ireland.
The idea of holding official events at his properties could be raised if there was a future Trump administration.
I believe a debarment would come into play there.
Business Insider has an article on it.
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