Transcript of Trump Manhattan Trial, April 25, 2024 (2024)

SUPREME COURTCRIMINAL TERMNEW YORK COUNTYPART 59THE PEOPLE OF THE STATE OF NEW YORK-againstDONALD J. TRUMP,: INDICTMENT71543/2023:::Defendant.Page 1097Falsifying Business RecordsFirst Degree100 Centre StreetNew York, New York 10013April 25, 2024BEFORE:HONORABLE JUAN M. MERCHAN,JUSTICE OF THE SUPREME COURTAPPEARANCES:FOR THE PEOPLE:ALVIN L. BRAGG, JR., ESQ.New York County District AttorneyBY: JOSHUA STEINGLASS, ESQ.,MATTHEW COLANGELO, ESQ.,SUSAN HOFFINGER, ESQ.,CHRISTOPHER CONROY, ESQ.,REBECCA MANGOLD, ESQ.,KATHERINE ELLIS,ESQ.,Assistant District AttorneysFOR THE DEFENDANT:BLANCHE LAWBY:TODD BLANCHE, ESQ.EMIL BOVE, ESQ.NECHELES LAW, LLPBY: SUSAN NECHELES,ESQ.GEDALIA M. STERN, ESQ.Lisa Kramsky,Senior Court Reporter

12345сл10678ProceedingsPage 1098THE COURT: Good morning.Please be seated.THE CLERK: Case on trial continued, People versusDonald J. Trump.Appearances, please.Starting with the People.MR. STEINGLASS: Good morning, your Honor.For the People, ADA Josh Steinglass, SusanHoffinger, Matthew Colangelo, Christopher Conroy, BeckyMangold and Katherine Ellis.MR. BOVE: Good morning.Emil Bove for President Trump, who is seated to my910111213left.141516171819202122Honor?232425And I have with me Todd Blanche, Susan Necheles andGedalia Stern.THE COURT: Good morning.Would you like to go over what transpiredyesterday?Do we need to do that, Mr. Bove? Just the emailexchanges that took place yesterday?MR. BOVE: With respect to the exhibits, yourTHE COURT: Yes.MR. BOVE: So we received, your Honor, an emailregarding the embedded hearsay issue that we raised duringLisa Kramsky,Senior Court Reporter

ProceedingsPage 10991Tuesday's proceedings.23And, as I understood it, basically agreeing inprinciple with the defense objection to the concept that a45сл106record that is authenticated at the first level forbusiness record may still present additional embeddedhearsay issues within the record.as a7891011Following that email, at the Court's direction, weconferred with the Government regarding our pendingobjections, many of which we had sent on Monday night cominginto those proceedings.And we clarified some of them based on your Honor's12guidance.13141516171819202122232425We received some feedback from the Government, andI think that the conferral process was helpful.There still are some objections that we have onthat secondary level of hearsay, and I'm prepared to walkthrough those whenever we have the time, given the jury.THE COURT: Are we able to start proceedings todaywith the jury, and going through, then perhaps we can breakat some point and deal with this?MR.STEINGLASS: I think so, Judge.Because I think that in the first hour or two oftestimony there is only one document that was flagged bycounsel that may arise.And it's a document that we agree, that there is aLisa Kramsky,Senior Court Reporter

ProceedingsPage 11001line that they think should not be coming in for the truth23that we agree; so I don't think that there is any impedimentto starting.4MR. BOVE: I think that we're talking about56078People's Exhibit 161, which is an invoice that was offeredthrough Mr. Pecker's testimony on Tuesday.It's an invoice indicating--from InvestorAdvisory Services, and the issue that we have with that9particular exhibit101112131415161718THE COURT:Could that wait until later?MR. BOVE: I would like to raise it now justbecause we don't think that it's enough to just have theJudge instruct the jury that the factual assertion we aretalking about is not being offered for the truth.Our position is that a redaction is necessary.And if I could just put into the record what thefactual assertion is from the invoice.THE COURT: If I could just interrupt you for one19second.202122And we can alwaysBut this won't come up for another hour or two?MR. STEINGLASS: I think that that's about right.I could always let you know if232425it's going to come up.I do feel that the goal posts are being moved,because what they asked for yesterday was to ask for us toLisa Kramsky,Senior Court Reporter

ProceedingsPage 1101they are asking for a redaction.1agree that it's not being offered for the truth, and now2345сл10678910111213141516171819202122232425THE COURT: All right. You both will have theopportunity to be heard.I don't want to the keep the jury waiting.So if we can deal with this during the breakperhaps, I would like to do that.MR. BOVE:Understood.THE COURT: Is there anything that you would liketo say regarding the two exhibits that were received onTuesday?MR. BOVE: No, your Honor. We understand theCourt's rulings.THE COURT: All right.Very well.Let's get Mr. Pecker, please.MR. STEINGLASS: Oh, I'm sorry, Judge.THE COURT: Yes?MR. STEINGLASS: May we have one minute to putsomething on the record?THE COURT: Yes.MR. CONROY: Good morning.MR. STEINGLASS: Mr. Conroy will do that.MR. CONROY: Thank you, Judge.Thank you very much.Lisa Kramsky,Senior Court Reporter

12345106789101112ProceedingsPage 1102I have here, and I am going to hand up to theCourt, another proposed Order to Show Cause that we'reasking the Court to sign with another affirmation.If I may just have a minute or two to just quicklygo through what's contained in there.drive.Judge, I'm sorry, could I just also hand up a thumbThis has full copies of some video clips that wehave transcribed in the affirmation.(Handed.)**1314this Court's April 1st orderMR. CONROY: We are asking the Court to sign thisOrder to Show Cause to hold the defendant in contempt ofthe Order that has been at--1516171819presswhatever they are202122232425issue previously in this casefor submitting fourviolations in the last three days:One on April 22nd. That violation was rightoutside the door to this courtroom in one of the defendant'sconferences that he holds onhis way in and out of court in the area that's set up forthat purpose outside of the door.was:And what he said right after Court on the 22nd"But they call the payments to a lawyer a legalexpense in the books.""They didn't call it construction. They didn't sayLisa Kramsky,Senior Court Reporter

ProceedingsPage 1103they are building a building.""They called it a payment to a lawyer because, you1234the years."5слknow, Cohen is a lawyer representing a lot of people over10678910"I'm not the only one.'""And wasn't very good in a lot of ways in terms ofhis representation, but he represented a lot of people.""But he puts in an invoice or whatever, a bill, andthey pay and they call it a legal expense.""I got indicted for that."And then laterthis was about a nine-minuteevent outsidea few minutes later the defendant went"And when they are going to look at all of the liesthat Cohen did in the last trial, he got caught lying in thelast trial, so he got caught lying, pure lying, and when arethey going to look at that."111213on:141516171819202122232425That same night on a news program the defendantcalled in and said the following, in the course of about a20-minute interview, and this is the second violation we areasking the Court to consider.And the quote is: "But this Judge said that Ican't get away from the trial. You know, he's rushing thetrial like crazy. Nobody has ever seen a thing go likethis. That jury was picked so fast. Ninety-five percentDemocrats. The area is mostly all Democrats.You think ofLisa Kramsky,Senior Court Reporter

12345сл10678ProceedingsPage 1104it as just a purely Democratic area. It's a very unfairsituation, that I can tell you."That was not more than several hours before thehearing on Tuesday related to his previous violations.On Tuesday morning, the 23rd, the day of thathearing, before the hearing, the defendant gave an interviewto a TV station that actually aired that night.And that interview included the following statement9by the defendant:"Well, Michael Cohen is a convicted liar1011121314and he has no credibility whatsoever.""He was a lawyer. And he relied on the lawyers,but Michael Cohen was a convicted liar.""He was a lawyer for many people, not just me, andhe got in trouble because of things outside of what he did15for me."16171819"Largely, it was essentially all because of what hedid in terms of the campaign.""I don't think there was anything wrong with that,with the charges that they made, but what he did is, he did20some pretty bad things, I guess, with banking or whatever,21if that was a personal thing to him."22"David Pecker, I don't know exactly what he's going23to be testifying against, but--or about--but he will be2425testifying today."That's the defendant talking about witnesses in theLisa Kramsky,Senior Court Reporter

ProceedingsPage 110512345слcase, including one on the stand.He's talking about jurors.He's doing what the Order tells him not to do.And there is a decision pending right now onprevious violations.This morning, Judge, the defendant had a pressevent on 49th Street and Park Avenue here in Manhattan.question:In that event he was asked the following"What have you thought of David Pecker'stestimony so far?""When was the last time you spoke to him?"And the defendant said: "He has been very nice. Imean, he has beenDave has been very nice, a nice--I mean,In about five minutes or less, David Pecker's going towalk into this room to continue testifying."1067891011121314guy.1516171819202122232425"This is a message to Pecker: Be nice.""It's a message to others: I have a platform, andI will talk about you and I can say things like this, orthings like what I said about Cohen.""It's a message to everyone involved in thisproceeding, including this Court."We are asking your Honor to sign this Order.We are seeking to have the Court find the defendantin criminal contempt and to impose appropriate sanctions.Thank you.Lisa Kramsky,Senior Court Reporter

12345слProceedingsPage 1106THE COURT:Thank you, Mr. Conroy.Anything else?Just getting back to those two exhibits that wereadmitted on Tuesday.I found that one was a true business record.106The other one--because it was an email that78910basically summarized the transaction.And so that's my ruling on that one.If you want to be heard on my other ruling, though,we can take that up now.11MR. STEINGLASS:We are okay to wait until we take12them all up.13THE COURT: Okay.Very good. Get the witness,14please.151617THE COURT OFFICER:Witness entering.(The witness, David Pecker, enters the courtroomand resumes the witness stand.)18**19THE COURT OFFICER:Step this way, please.20THE WITNESS: Okay.21Good morning, Judge.22THE COURT: Good morning, Mr. Pecker. Welcome23back.2425THE WITNESS:Thank you.THE COURT: I remind you are, sir, that you areLisa Kramsky,Senior Court Reporter

D. PeckerDirect/SteinglassPage 11071still under oath.2345сл1067THE WITNESS: Yes, thank you.THE COURT: Please get the jury.THE COURT OFFICER: All rise. Jury entering.(Jury enters.)8910111213THE COURT: Please be seated.THE CLERK: Continuing case on trial, the Peopleversus Donald J. Trump.All parties and all jurors are present.THE COURT: Good morning, jurors.Welcome back.(Chorus of jurors respond, Good morning.)1415THE COURT: Mr. Steinglass.16MR. STEINGLASS:Thank you.17181920CONTINUED DIRECT EXAMINATIONBY MR. STEINGLASS:Good morning, Mr. Pecker.21AGood morning.2223When we left off, we were talking about June 20th, whenMr. Howard was out in California interviewing Ms. McDougal.Do you remember that?2425AYes,I do.Lisa Kramsky,Senior Court Reporter

D. PeckerDirect/SteinglassPage 11081After Dylan Howard concluded his interview with Karen2McDougal, did you and he speak?3AYes, we did.45A678And what did he tell you?He described to me who Karen McDougal was. He repeatedagain that she was a Playboy model.She claimed that she had a yearlong relationship with DonaldTrump, a sexual relationship.9She claimed she washe said that she was 47 years old.10111213And he said that she was a 12 out of 10.And then he said that he believed the story could be true orwas true, but she had no corroborating evidence.He said to me that she didn't have anything on her14Blackberry.15She didn't have any photos.16She didn't have any expense reports that--she claimed that17181920212223she went to Mar-a-Lago and Trump Tower.So, but he believed the story was true.He went on to say that he offered her, and herrepresentative, $10,000 to buy the story.And it was refused.Did you ever have a three-way call that day withDylan Howard and Michael Cohen?24AYes, I did.25How did that come about?Lisa Kramsky,Senior Court Reporter

D. Pecker Direct/Steinglass1A234Page 1109Michael Cohen was constantly calling me while DylanHoward was in this meeting interviewing Karen McDougal.And I told Michael that as soon as I hear from Dylan, I willset up a three-way call.5And did that three-way call actually happen?6AYes. Yes, it did.7I used--Michael Cohen told me to make sure that I used8Signal.910So I set up the Signal call between myself, Michael Cohenand Dylan Howard.11And tell us about that conversation, please?12131415ADylan described exactly what I just mentioned about whoKaren McDougal was, and all of the details that I just stated.And immediately Michael Cohen said it's not true, which issomething that he always said.16And then he said, let me--let me check it out and I will17come back to you.1819Was there any discussion on that three-way call aboutacquiring the rights to Karen McDougal's story?20AYes. Michael said thatwell, I will takelet me21just clarify:2223When Dylan suggested that he offered $10,000 to buy Karen'sstory, which is including the entire story, what she was24claiming, and she refused, Michael suggested that we should go25ahead to try to buy the story.Lisa Kramsky,Senior Court Reporter

D. PeckerDirect/SteinglassPage 11101And did he say why he wanted you to try to buy the2story?3AWell, first he said the story wasn't true.456789101112131415He16171819this is Dylan20a2122Then he said that he thought that having that story outand I should add on, Dylan mentioned that ABC was interested inacquiring the story.He also mentioned that a Mexican group made an offer for thestory for 8 million dollars.Michael and I both said that although we didn't believe thatthere was a Mexican group that was going to buy the story, theABC offer was interesting because they were offering apparentlyKaren a slot on Dancing with the Stars.But I knew from my experience that ABC doesn't buy stories,so I didn't think they were paying cash for the story.--Dylan, also mentioned that Karen McDougal said thatshe didn't want her story to be published.She said she didn't want to be the next Monica Lewinsky.She said that she wanted to restart her career.He said thatapparently aoriginally a fitness model.And she was the first female model on one of the covers ofone of my magazines, for one of American Media's magazines,Dylan said that she was23which was Men's Fitness. This was in--on a cover in 1999.2425So he felt that she would be more interested in cominghaving American Media buying the story than anyone else.--inLisa Kramsky,Senior Court Reporter

D. Pecker Direct/SteinglassPage 11111And when you say "he" in that sentence?2AI'm sorry.I meant Michael Cohen--excuse me, I meant3Dylan Howard.4Thank you.56And to the extent that it's possible, if you could remember,it's better to use names than pronouns, so we don't have to run7into that issue.8AOkay. I'll do that.910withdrawn.111213If you can remember.How did yourWhat was your initial thought after that three-way callabout how to handle the Karen McDougal situation?A14I thought we would have to buy that story. I believedexactly what Dylan said.151617He has a he knows this marketplace. He's the ChiefContent Officer for the company.We should Karen McDougal's attorney was Keith Davidson,and Keith Davidson was one of the major sources for DylanSo I felt that this story should be purchased.Now,1819Howard.202122232425AYes.I think you started to allude to, at the end ofthe day on Tuesday, a conversation that you had with DonaldTrump himself about this.Do you remember that?Lisa Kramsky,Senior Court Reporter

D. Pecker Direct/Steinglass1Page 1112Q So my first question is: Do you remember when thatconversation with Donald Trump happened?234567AIt was the third--I think it was the third week ofJune of 2016.Q So some time was it after Dylan Howard had gone outto interview Karen McDougal on June 20th?AYes.89And after the three-way call that you had had withMichael Cohen and Dylan Howard?10AYes, that's correct.11Where were you when you got this call from Donald12Trump?13AI was at an investor's--at one of my largest1415161718investor's meeting in New Jersey.And how did the call come in?A Oh, I was making a presentation and an update on ourbusiness, and the assistant in the office came into theconference room and said: There is a call for you from Donald19Trump.202122And I left and took the call.And could you tell us about the conversation you hadthat day with Donald Trump?23AYes. When I got on the phone, Mr. Trump said to me:2425"I spoke to Michael.Karen is a nice girl.""Is it true that a Mexican group is looking to buy her storyLisa Kramsky,Senior Court Reporter

D. PeckerDirect/SteinglassPage 111378912345106for 8 million dollars?"I saidI said: "I absolutely don't believe that there isa Mexican group out there to buy a story for $8 milliondollars."And then he said: "What do you think I should do?"I said: "I think you should buy the story and take it offthe market."So when the subject of Karen McDougal came up, DonaldTrump described her as a nice girl?10AYes.111213Based on your conversation with Mr. Trump, did you havean understanding as to whether he was aware of the specifics ofKaren McDougal's description of the affair?14AYes, I did.15What made you come to such an understanding?16AI think that Michael Cohen gave him the--spoke to17Donald Trump, which he said he was going towhich--excuse18me19202122which Donald Trump said on the phone that, "I spoke toMichael."And I believe that when Mr. Trump said that to meover the phone that she was a nice girl, I believe that he knewwho she wasWhy would you recommend to Donald Trump purchasing the23story?24AI believed the story was true.25I think that it would have been very embarrassing to himselfLisa Kramsky,Senior Court Reporter

D. PeckerDirect/SteinglassPage 11141and also to his campaign.2345678After your conversation with Donald Trump, did you haveanother conversation with Michael Cohen?Ame, clearly, that he doesn't buy stories because it always gets.out.And he said to me that Michael Cohen would be calling me.He was going to speak to Michael and he would be calling meYes. On the conversation with Donald Trump, he said to9back.1011A1213A1415Now, you used a pronoun there?I'm sorry.That's okay.I'm sorry about that.When you said "he" in that last answer, were youreferring to Donald Trump?16AYes, I was. I'm sorry.1718It's okay.So did there come a time when Michael Cohen followed up with19you?20AYes. He called me that day or the next day.21Tell us about that conversation?22AHe called me--he called me and he said that we--he23said we should--he said: "You should go ahead and buy this24story."25So I said to him, I said: "I'm going to have Dylan HowardLisa Kramsky,Senior Court Reporter

D. Pecker Direct/SteinglassPage 11151negotiate the terms."2And then I said:"Who's going to pay for it?"3So he said to me:"Don't worry. I'm your friend.The Boss45will take care of it."Who did you understand "The Boss" to be a reference6to?7ADonald Trump.8When Michael Cohen said: "The Boss will take care of9it," what did you understand that to mean?10AThat hethat I would be either reimbursed by the13141112Trump Organization or by Donald Trump.Now, did Mr. Cohen say anything to you on thatfollow-up call one way or the other that led you to believe thathe was aware of your conversation that you had had with Donald15Trump when you were with your investor in New Jersey?16A17Yes. He told me that he was sitting in Donald Trump'soffice when he called me.1819I don't know if he was on speaker phone or not, but he saidthat he was there and he heard.20Did he tell you one way or the other whether he was21able to overhear your conversation with Donald Trump?22AYes, he did.23What did he say about that?24A25He said that: "I heard what you said to The Boss. And--I want you to go forward and negotiate the" excuse me, I'mLisa Kramsky,Senior Court Reporter

D. PeckerDirect/Steinglass123Page 1116sorry "I want you to go forward and negotiate the purchase ofthe story."And did he give you Donald Trump's view on thatquestion of whether to go forward to buy the story?He just said to go forward to buy the story.Did the topic of the $30,000 that you had already laidout on the Dino Sajudin story come up during that conversationwith Michael Cohen?45A6789101112AAAt that conversation, we didn't have what the purchaseprice was going to be for the Karen McDougal story as of yet.Okay.If I can add?15161314Sure.A From that conversation, I was authorized basically togo forward and have Dylan Howard negotiate the price andnegotiate the terms.17And did you, in fact, ask Dylan to go forward and18negotiate the terms?19AI did.20212223Now, you told us that Michael Cohen told you that TheBoss would take care of it, would pay you back.How did you feel about Michael Cohen's representation thatMr. Trump would reimburse you?24A Over the years that I knowthat I worked with25Michael Cohen, I know he didn't have any authorization to spendLisa Kramsky,Senior Court Reporter

D. PeckerDirect/SteinglassPage 11171or to disburse any funds from the Trump Organization.2345Every time that we went even out for lunch, I always paid.He never paid.So I didn't think that he had any authorization to buy oracquire or spend any monies.106Without Mr. Trump's approval?7ADuring the timeWithout Mr. Trump's approval.withdrawn.I'm sorry.--101112A131489You told us that you gave Dylan Howard the authority to goahead and negotiate a deal with Karen McDougal.Is that right?That's correct.Was Dylan Howard giving you periodic updates duringthose negotiations?15AYes, he did.1617And did there come a time when you discussed with DylanHoward some of the terms of the potential deal?18AYes.19What were some of the terms?20ADylan Howard gave me the following terms: To purchase2122the lifetime rights from Karen McDougal was going to cost$150,000.23Plus Karen wanted to restart her career.24She wanted to write for the celebrity magazines.25She wanted to be on the cover of some of the health andLisa Kramsky,Senior Court Reporter

D. PeckerDirect/SteinglassPage 1118She had a major problem when her breast implants wereremoved and she wanted to write some articles about that inShape and in some of the other magazines.--And she also wanted to launch a clothing line, a fitnessclothing line, as well as a beauty product company beautyproducts.1fitness titles.234567891011A12And she wanted to--let me justoh, she wanted to be an13anchor for the red carpet events with Radar Magazine.Did you update Michael Cohen on the negotiations?Yes, I did.How often did you speak with Michael Cohen during theperiod when Dylan Howard was negotiating this deal with Karen14McDougal?15A16We we spoke very frequently, probably, at least,probably daily.1718A19202122232425How would you describe his tone?Michael was very agitated. Why is this taking so long?Why didn't we acquire why didn't we buy the story yet? Whydidn't we finish the agreement?So he was pretty agitated.Did you discuss with Michael Cohen the manner of whowould be paying Karen McDougal?AYes. Now that we had the price, that it was $150,000,I said: "Who is going to pay for this?"Lisa Kramsky,Senior Court Reporter

D. Pecker Direct/SteinglassPage 1119So he said: "You should pay.""Michael"I said--paid $30,000 for the doorman story."12I said:34567"why would I pay? I justI said: "Now you're asking me to pay $150,000 for the Karenstory, plus all of these other additional items that she wantsto do.""I don't have a problem in doing everything else that sherequested about writing for the magazines, to be on the cover of89the books101112of the fitness titles. That's not an issue. ThatI don't have a problem with.""The $150,000, who is going to reimburse me for this?"So he said, again: "Don't worry about it. I'm your friend.The Boss will take care of it."And, again, not to beat a dead horse, but when youwhen Michael Cohen told you: "Don't worry, The Bosswill take care of it," what did you understand that to mean?"The Boss" would have been Donald Trump.131415have1617A18And "take care of it" means what?19AThat eitherthat I would be reimbursed either from20the Trump Organization or from Donald Trump.21Okay.22232425MR. STEINGLASS: I am now going to display toeveryone what's in evidence as People's Exhibit 173A.You can start with Page 1.(Displayed.)Lisa Kramsky,Senior Court Reporter

D. Pecker Direct/SteinglassPage 11201234***Q Is this a series of texts between you and Dylan Howardfrom 2016 regarding Karen McDougal?5AYes, it is.And I should just clarify.6078Are portions of phone numbers and email addresses redactedin this exhibit to protect personal information of the partiesto this text chain?9A(No response.)10Did you understand my question?11ACan you repeat it?I'm sorry.12131415Yeah, of course.My question was: Are portions of the phone numbers andemail addresses redacted on this exhibit to protect personalinformation of the parties to this text chain?16AYes,that's correct.17181920Okay. So I want to zoom in on the last column of thelines marked DOC 47-240 to 241.Let me first ask you, is this last column basically asummary of the date, the time of the text, who it's from, who21it's to,as well as the body of the text itself?22AYes, it is.23If you look at the--what does the date and time24marked say on this top text?25A2016/07/23, 19:21:45 UTC.Lisa Kramsky,Senior Court Reporter

D. Pecker Direct/SteinglassPage 11211QNow, do you understand that to mean July 23rd, 2016,2at 7:21 p.m. UTC time?3AYes.4Do you know what UTC time is?5AUTC time is four to five hours ahead of Eastern6Standard Time, depending on what season it is.7Okay. So UTC time is four or five hours ahead of New8York time?9ANew York.1011A121314Depending on whether it's Daylight Savings or not?Yes.Got it.In July of 2016, was the East Coast, if you know, observingEastern Standard Time or Eastern Daylight Time in July?15AI'm not sure.16Okay. Let me ask it a different way. Wasis17Daylight Savings Time in effect in the summer?18AIn the summer? Yes, that's correct.19202122Okay. So is it your understanding that during DaylightSavings Time, New York time was four hours behind UTC, but thenwhen you fall back in the fall and for the winter, New York timeis five hours behind?23AThat's correct.2425Okay. So does this exhibit contain the exact copy oftext messages that you and Dylan Howard sent to each other onLisa Kramsky,Senior Court Reporter

D. Pecker Direct/SteinglassPage 11221July 23rd, 2016?2AYes, it is.3And does the substances of these messages appear on45678Ayour cell phone exactly as they do on this exhibit?A Yes, they do.Has the substance of any of these text messages beenaltered in any way?No, they have not.9Okay. So let's start with the first text, that is107:21 p.m. UTC, which I guess is throughno, just a second.11I'm sorry, I don't like to do math on the spot3:21 p.m.12New York time?13ANew York time.14Is that right?15AThat's correct.1617Okay. Can you read us the substance of that text.Oh, I'm sorry, one more thing.18Who is the text from?19AIt's from Dylan Howard.20Okay. And who is it to?21AIt's to me.22Okay. And can you read us the substance of the text,23please?24A"Spoke to Michael Cohen about that other issue.25Obviously concerned that it is proceeding with filming dates,Lisa Kramsky,Senior Court Reporter

D. PeckerDirect/SteinglassPage 1123etc., and wants me to handle. I'm on it."What did you understand Dylan Howard to be referring towhen he said "that other issue?"AI don't recollect. Can wecan you clarify that?Well, I can't testify.123456A78910No, no.But why don't we move on and see if the context willhelp you answer this question.AOkay.A1314151617181112And just while we're here, we have this displayed, whatwas your response to Dylan Howard on July 23rd?I said: "Good move and follow up."And as you sit here, Mr. Pecker, do you recall whethera contract was signed at some point with Karen McDougal?AYes. It would have been signed the first week ofAugust of 2016.Okay. So did you have any concerns about the legalityof AMI paying to kill a story regarding a political candidate?19AYes, I did.20Why did you have those concerns?21AIn 20between 2002 and 2003, I had an issue when I22acquired a story for Arnold Schwarzenegger, when he was running23 for Governor of California.24Can you explain a little bit more about that to the25jury, please?Lisa Kramsky,Senior Court Reporter

D. PeckerDirect/SteinglassPage 11241AYes.In 2002, the Weider Magazines, which was Shape,2Muscle and Fitness, Flex, Health and Fitness titles, were up for3sale.4Joe Weider was the founder.5He developed--he founded all of those magazines.6--71112138910He also found he also discovered Arnold Schwarzenegger,and those guys.I should say that Joe Weider and Arnold Schwarzenegger had arelationship for 50 years.So when the magazines were being sold, and I went to seeJoe Weider right before the sale, he said to me:"Before wefinalize this transaction, you have to meet with ArnoldSchwarzenegger."14So I--he gave me his phone number.15161718192021I called up Schwarzenegger.I went to see him, and he had the following conversationwith me:He said that, you know, "I have been on the covers of MuscleFitness and Flex, two of the primary magazines you are buying,70 to 80 times."He said: "I want to be an Editor-at-Large for both22magazines."23And I would like a"I want an agreement."24And he said:"I'm"25And he said:"You bought the tabloids."Lisa Kramsky,Senior Court Reporter

D. Pecker Direct/SteinglassPage 11251He's referring to primarily the Globe and the National2Enquirer.34And he said, and as I mentioned, I think, on Monday, weacquired them in March of 1999.5678910He said that: "I've had a number of litigation and lawsuitsagainst both magazines because you always run negative storiesabout me. ""And he said: "I plan on running for Governor, and I wouldlike for you not to publish any negative stories on me now.I should say: "Any negative stories about me now or in thefuture, and I will continue on being the editor for Muscle1112Fitness and Flex, as the spokesperson."13So I agreed.1415And shortly after, he announced on the Jay Leno Show that hewas running for Governor.16And a numberafter he made that announcement, a number of1718192021--2223women called up the National Enquirer about, about aboutstories that they had that they have, I should say, to sellon different relationships or contacts and sexual harassmentthat they felt that Arnold Schwarzenegger did.And the deal that I hadthe agreement, I should say, thatI had with Arnold is that I would call him and advise him of anystories that were out there.24And I ended up acquiring--buying them for a period of25time.Lisa Kramsky,Senior Court Reporter

D. PeckerDirect/SteinglassPage 1126And then as he became Governorand one of the storiesthat I acquired, I wasn't going to publish, and the person who--and since we didn't--since the companysince we didn't publish it, she brought it to the Los Angeles123took that story45678のTimes and the LA Times published the story.It was very embarrassing.Most of the press approached Arnold Schwarzenegger when hewas Governor about this story.And his comment was: "I didn't know."He said: "Ask my friend David Pecker."So it was very embarrassing to me and the company.And at that time there was an investigation by the Statewith respect to Arnold being the editor of being anEditor-at-Large for these two titles.He had to resign.And it was a difficult situation.--And it gave me the sensitivity about buying any stories in1011121314151617181920topic.2122232425the future.So that's where--that's how I became sensitive on thisSo let me just ask you one more question about the endof what you were just saying.Did--as a result of your agreement to purchase stories,negative stories about Arnold Schwarzenegger on behalf of ArnoldSchwarzenegger when he was running for Governor of California,Lisa Kramsky,Senior Court Reporter

D. Pecker Direct/SteinglassPage 112712did you come to appreciate the legalities surrounding such anarrangement with a political candidate?3AYes. That was the first time I ever came across a4 political violation--a political contribution, what a5violation was.106789And what, if anyMR. BOVE:and move to strike.Judge, I object to the word "violation"12131415161011THE COURT:Sustained.What did you, in your mind, take away from thatexperience that you had as a result of the Arnold Schwarzeneggersituation?A Based on what happened 14 years ago, I wanted to becomfortable that the agreement that we were going to prepare forKaren McDougal met all all the obligations with respect to acampaign contribution.17Now, you told us that there waswithdrawn.1819Did there come a time, and I don't want to get into what youdiscussed with any attorney20AYep.21But, did there come a time that someone at AMI22consulted with an election law attorney?23AYes.24And did there come a time that you finalized a deal25with Karen McDougal?Lisa Kramsky,Senior Court Reporter

1AYes.D. PeckerDirect/SteinglassPage 1128567234Did you tell Michael Cohen that you had finalized adeal with Karen McDougal?AYes. I called Michael Cohen and I told him that wefinalized the agreement with Karen McDougal.That the contractwas bullet proof. And we consulted with a campaign attorney.And, to your knowledge, what did the campaign attorney8review?9AThe agreement.10And the contract?11AI'm sorry, the contract.1213And was that all the campaign attorney reviewed, as faras you know?14AAs far as I know, yes.15And do you recall how much time was billed for that16review?17AThe dollars were--1819202122I don't remember the exact dollars,but they were small amounts of money.Directing your attention to People's Exhibit 156, whichis in evidence.I'm going to ask you if you recognize this document.(Displayed.)2324A25Yes.What is it?Lisa Kramsky,Senior Court Reporter

D. Pecker Direct/Steinglass1AThis is the Karen McDougal contract.2345сл106Page 1129MR. STEINGLASS: This is in evidence so we candisplay it to everyone.Thank you.(Displayed.)7I'm sorry. Go ahead.8AI am sorry.I said that this is Karen McDougal's9agreement.10Can youwhat was the effective date of the11Agreement?12AAugust 5th, 2016.13MR. STEINGLASS:And I'm going to ask that1415paragraphs 1 and 2 be blown up.(Displayed.)16171819I'm not going to ask you to read this entire thing, butcan you just give us some of the highlights of what the dealinvolved?20AYes. It was a two-year agreement.21222324And McDougal was going to get a monthly column on aging andfitness for Star Magazine; a monthly column on aging and fitnessin OK Magazine.She was going to post on aging and fitness on Radar.25AMI was going to hire ghost writers.Lisa Kramsky,Senior Court Reporter

D. PeckerDirect/SteinglassPage 11301A ghost writer is someone who would write the article for2them and then Karen McDougal would approve it, and--which was3an important point.45сл10678And that any time Karen's photo was used in any digital siteor in the magazine, she had to have approval of her image.Okay. So now I'm going to blow up Paragraph 3.(Displayed.)910112 I will just ask you to read it to yourself.And I will highlight a little portion of it in the middle.(Displayed.)1213AYes.1415You don't have to read the whole thing to the jury.It's in evidence.1617AOkay.But I just want to ask you--I'm directing your18attention to the highlighted portion.19AI see it.2021222324--25What did you understand this paragraph to mean, andwhat did you understand specifically the highlighted portion tobe referring to?A This paragraph and the highlights here arespecificallyis referencing that we were acquiring her rights--for her story on the relationship that she had with a withLisa Kramsky,Senior Court Reporter

D. Pecker Direct/SteinglassPage 11311any married man.23And who did you understand the any then-married man tobe referring to?4AThat she was referring to Donald Trump.5678A9rights?So what does it mean to acquire someone's limited lifeCan you explain that to the jury?Yes. It means that you buy the rights for thisspecific story and it cannot be published by any other10publishing company.11You cannot discuss it with any other media.121314And that it was exclusively owned by American Media.So would you describe this paragraph as the truepurpose of this agreement?15AYes.16171819So why include that other stuff about the articles thatshe was going to have a ghost writer for and the covers that shewas going to appear in front of?Why include that stuff?20AI wanted to substantiate the $150,000 payment.2122A2324What do you mean "substantiate?"With respect to campaign laws, I wanted to have thecontract be a record that stipulates that for the services thatshe was going to perform for American Media, American Media has25a basis for it, for the $150,000.Lisa Kramsky,Senior Court Reporter

D. PeckerDirect/SteinglassPage 11321So when you23when we talked about in the previousparagraph all of the articles she was going to run,the photosthat she was going to do for the magazines, the posts that she4was going to write, I was looking at an amount of money that I5would have to acquire or pay for freelancers or other writers orreporters or digital people, and that was to validate, to comeup with the $150,000.So was it your primary purpose in entering into this678910AYes, it was.11deal to buy the life rights?12Were the other provisions about the columns placedthere to disguise the true nature of this contract?13AYes, it was.1415So I want to show you Paragraph 4.(Displayed.)16*17This one is short. Maybe you could just read it.18AYes.1920212223"In connection with all the rights granted herein to AMI byMcDougal, AMI shall pay McDougal the sum of $150,000 payablewithin two business days following the execution of thisagreement."So this was the price?24AYes.25Okay. I want to display Page 2, Paragraph 6.Lisa Kramsky,Senior Court Reporter

D. PeckerDirect/SteinglassPage 11331(Displayed.)2345A678Q Can you read this to the jury and tell us what itmeans, please?"All decisions whatsoever, whether of a creative orbusiness nature, regarding any of the rights granted by McDougalto AMI herein, or any rights derived or ancillary thereto, shallbe made by AMI in its sole discretion."9Can you explain to us what that means?10AThat means that AMI would make the decision whether we11would publish anythingany story on Karen McDougal.12So by purchasing her life rights, you were not13obligated to actually print them?14ANo.1516A1718Did you have any intention of printing them?No, we did not.Paragraph 7.(Displayed.)192021Can you read that paragraph to yourself and tell uswhat it means.22AAll right.23(Pause.)2425AThis paragraph clearly states that American Media hasLisa Kramsky,Senior Court Reporter

D. Pecker Direct/SteinglassPage 11341sole rights for McDougal's story, and she is not allowed under2any circ*mstances to write her own book, post any, any to--3post anything onon any digital site and not to give any45interviews.So we wanted, as American Media, we wanted to control6anything to do with this--with respect to the $150,000 that we78are paying for a story.And if she breached it, she would have to pay the money9back.101112(Whereupon, Official Senior Court Reporter SusanPearce-Bates relieved Official Senior Court Reporter LisaKramsky.)13*141516171819202122232425Lisa Kramsky,Senior Court Reporter

12D. Pecker Direct/SteinglassPage 1135(Continued from the previous page.)So, this paragraph, basically, meant that KarenMcDougal was not allowed to take her story anywhere else?34AThat is correct.5And if she did, she had to return the entire $150,000?6AThat's right.7Even though she was still doing the columns and8magazine covers?9AYes.1011you12Okay. I am going to turn to page three and just askcan we blow up the very bottom?Did Karen McDougal sign this agreement?13AYes.14And who, if anyone, signed the agreement on behalf of15AMI?16ADylan Howard.17Do you recognize his signature?18AThe signature, and he also put down Chief Content19Officer.2021And at the time, August 5th, August 6, 2016, DylanHoward was the Chief Content Officer of AMI?22AYes. He had authorization to sign this agreement.23To your knowledge, who was aware of this agreement in24AMI?25MR. BOVE: Objection.Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/SteinglassPage 113612A34THE COURT: If you know.It would be, other than myself, it would be,obviously, Dylan Howard and Cameron Stracher, General Counsel.And who was aware of this agreement on the Trump side,5 to your knowledge?1067MR. BOVE: Objection.THE COURT: Again, if you know.MR. STEINGLASS: You can answer.89AMichael Cohen.10What about Mr. Trump himself?11MR. BOVE:Objection to leading.12THE COURT:Sustained.13Q Do you--14well, if you know, do you know whetheranyone else besides Michael Cohen had knowledge of this15contract?16MR. BOVE: Objection. Asked and once answered.17THE COURT:Overruled.You can answer.18A19202122A2324Okay. Can you repeat that question again?Probably not. Can you read it back, maybe, please?(The testimony as requested was read by thereporter.)Yes. I think Donald Trump did.During your time as CEO of AMI, were you familiar withAMI's accounting practices?25AYes, I was.Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/SteinglassPage 11371Including the general ledger?2AYes.34567Very briefly, can you tell the jury what it is, ageneral ledger?A All of the financial disbursem*nts, the receivables,all of the monies that are transacted because the company isrecording the entries in the general ledger or revenuesor8expenses.910As part of the accounting process, did AMI retaincopies of invoices sent to AMI for payment?11AYes, they were.121314I am showing you People's 158 in evidence, and I amgoing to ask you if you recognize this.It's in evidence. So, we can display it to everyone.15AYes.1617A18192021What is it?This is an invoice from Keith Davidson and Associates,which is Karen McDougal's attorney, for the purchase of thelifetime rights for $150,000.So, I am just going to ask to blow it up.And I will ask you, who is the payor or the subsidiaryThank you.22on this invoice.23AIt's AMI, American Media.24And that means you are the one being billed?25AYes. The invoice is coming to American Media.Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/Steinglass1Page 1138And who is the vendor, and what does vendor mean?2A Vendor is the accounts payable for services for the3contracts that we purchased, and Keith Davidson is Karen4McDougal's attorney.5So, in laymen's terms, this is a bill from Keith6Davidson to AMI?7AIt's a bill from Keith Davidson to AMI for Karen's8 lifetime rights, and we sent a wire transfer, $150,000, to hisの101112escrow account.AWe will get to that in one minute.What's the invoice date?8/9/2016, which is two days, I guess, four days fromthe date they signed, that we had the signed agreement.1314With the effective date?15AYes, the effective date.1617A1819What's the invoice amount?$150,000.Okay. I am going to move down this exhibit a littlebit and just ask you, what is the account?20AThe account is where wewhere it would be coded in212223the general ledger. This would be coded to the generaladministration, and it says, outside services. And the outsideservices, we take it one more, this is the President's24Department.25Q So, is it fair to say that this line that we haveSusan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. PeckerDirect/SteinglassPage 1139the accountThat's AMI's internal recordkeeping of1blown up has the account information2information, et cetera?34how they are kind of recording this expense in their own books?5AThat's correct.Why was this amount coded to the President's6Department?7AFrom a budgetary standpoint, the editor's budget is8very limited.As I previously mentioned the other day, they9I should say today, you--they can spend no more than $10,00010on their own.11This is a very, very large purchase.And from the121314budgetary standpoint, I budget in the President's account anoverall number budget that during the year if there are greatphotos to buy, something unusual, unique, the President's15budget has the expense for it.16And, incidentally, is that the same way you accounted17for payment to Dino Sajudin?18AYes, it was.19So getting back to this, did Karen McDougal--did20AMI, in fact, pay the $150,000 for Karen McDougal's lifetime21rights?22AYes, we did.23I believe you said you accomplished that by a wire24transfer?25AYes.Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. PeckerDirect/Steinglass1QPage 1140Okay. I am going to show you People's Exhibit 159 in2evidence.3Briefly, for the jury, what is this?4AThis is the general ledger detail for the--for this5678A9101112transaction.And when you say, the general ledger detail, you aretalking about AMI's general ledger detail?Yes. American Media's general ledger detail of thistransaction.I will just ask to blow it up a little bit. It'sstill very small.Does it contain a department that this is being billed13to?14AYes. It says,President's Department.15And does it also contain the vendor's name?16AYes, it does.17And so, you record Keith Davidson into the general18 ledger books at AMI?19AYes.20It includes the amount of the payment?21AYes.22And the date of the payment?23AThat's correct.24And what was the date of the payment?25AThe date of the payment is--Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/SteinglassPage 11411QWould you need to look at another document to2determine that?3AOh, I am sorry. Date of payment was--I was just4checking. It was August 9th.56Do you know if that's the date of the invoice or thedate of the payment or are you not sure?7AThatI--that I am not sure.8Okay.Let's just take a look at Exhibit 160, also in9evidence.1011A1213AA payment voucher is when all of the141516171819I am going to ask you first, do you recognize this?Yes. This is a payment voucher.Briefly, for the jury, what is a payment voucher?the documentsfor a payment are approved. The invoice, the contracts areprepared. The contract was approved. The invoice from KeithDavidson was approved for over $150,000.The next step would be to create a payment voucher soyou can actually wire a check.Okay. Who is the payee listed here?20AKeith Davidson and Associates.2122A23And, again, what is the amount billed?$150,000.Date of the bill?24A8/9, August 9th.25The date of the payment?Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/SteinglassPage 11421AThe date of the payment would have been August 10.23A45слThat's 2016?2016.Turning your attention to page two of the samedocument, do you know what this is?1011121314106AYes.78A9What is it?Yes. It's to actually disburse a check. You create apayment voucher, payment request and the payment request hereis $450,000 to Keith Davidson and Associates, and it wasapproved by Chris Polimeni who is the Chief Financial Officerof American Media.Just to clarify for the record, did you say that itwas $450,000 or for $150,000?15AIt was 150, it was for $150,000.1617AYou have toIt's $150,000.18Thank you.Now, I am not going to walk you through19every entry on this page.20Does it contain the statement account code and the21same department code as the general ledger?22AYes, it does.2324And, finally, does this appear to be a sticker at thetop that says, high priority?25AYes.Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. PeckerDirect/SteinglassPage 1143Do you know who placed that sticker up there?--normally, it would be Liz Routolo. It's ChrisPolimeni's assistant and also the accounts payable clerk.12AI345слOkay. You can take that down.Thank you.Did you ever have any intention of printing Karen6 McDougal's story about her affair with Mr. Trump?7ANo, we never did. No, we did not.89Was your principle purpose in entering into theagreement with Karen McDougal to suppress her story as toprevent it from influencing the election?1011AYes, it was.14A15161718191213As of 2016, were you aware that corporations,including AMI, are subject to Federal campaign finance laws?Yes, I was.Were you aware that expenditures by corporations madefor the purpose of influencing an election made in coordinationwith or at the request of a candidate are unlawful?MR. BOVE:THE COURT:Objection.Grounds.20MR. BOVE:May I be heard?2122232425THE COURT:Sure.(Discussion is held at side-bar, on therecord.)MR. BOVE: My objection is, right now there is aruling in place and that limits the extent to which we canSusan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

1234D. PeckerDirect/SteinglassPage 1144put on expert testimony to explain these concepts.So I think these questions, if they arepermitted, are opening the door to a lot more explanation.I think we are on the precipice of that right now.5слMR. STEINGLASS:Judge, first of all, the law is106the law.That's the basis of our motions in limine.78910I don't think that we are opening the door to anyBut, anyway, the morekind of expert testimony on the law.important thing here is that this witness' understanding ofwhether his own conduct violated the law is highly11relevant.121314151617181920I don't think it opens the door.THE COURT: I agree. He's not asked to providethe law. He is asked if he has awareness of the law.MS. NECHELES: I think he was asked, were youaware that there was a law that did the following, and wedisagree that the law did the following.Did you think what you were doing was illegal?THE COURT: I am going to allow it.MS. HOFFINGER: We dispute that that's the law,21your Honor.222324(Discussion at side-bar concluded, and thefollowing occurred in open court.)THE COURT: Objection is overruled.25Q Do you remember the question?Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/Steinglass23451AI would have to ask you to repeat it again.Page 1145Were you aware that expenditures by corporations madefor the purpose of influencing an election, made incoordination with or at the request of a candidate or acampaign, are unlawful?6AYes.789Did either you or AMI ever report to the FederalElection Commission in 2016 that AMI had made a $150,000payment to Karen McDougal?10ANo, we did not.111213141516171819story?Why did AMI make this purchase of Karen McDougal'sA We purchased the story so it wouldn't be published byany other organization.Q And why did you not want it to be published by anyother organization?A I didn't want we didn't want the story to embarrassMr. Trump or embarrass or hurt the campaign.When you say, we, who is we?20AMyself and Michael Cohen.21But for Mr. Cohen's promise to reimburse AMI222324withdrawn.But for Mr. Cohen's promise that Mr. Trump wouldreimburse AMI, would you have entered into this agreement?25ANo.Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

12345D. PeckerDirect/SteinglassPage 1146Now, did you have any discussions with any one in theTrump camp about Donald Trump reimbursing AMI for the moneypaid to Karen McDougal?AI had conversations with Michael Cohen.Did those conversations continue after AMI, actually,106laid out the money?7AYes.8How? Tell us about some of those conversations?9AWhen we signed theafter we signed the contract,10and after I paidafter the American Media made the11121314disbursem*nt which we just saw on August 10th, I asked MichaelCohen on a number of occasions how the company would bereimbursed.My the issue that the company has is that September1530th is the end of a quarter and I wanted16we always reflectthe proper true-ups of all of the various different accounts.17And I wanted to make sure that the funds were back and the18accounts were properly stated in the quarterly financial19202122A232425statements.Can you elaborate a little bit on that?What do you mean, true-up?The records. True-up the records.Normally, most companies just only speak about ourown. And when a payment or a disbursem*nt is made, it isusually put into an expense account. And then, after theSusan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. PeckerDirect/SteinglassPage 11471payment was made and it is put in the President's account.234And then at the end of a quarter here, I wasI waswe were planning that the $150,000 would be recovered, andthe actual expense would be reported as editorial expenses or5other services depending on this, but here the money was67891011Arecovered.The expense would not be recorded at all in the books,other than the articles and the other services that Karen wasgoing to be providing that had billed dollars behind them.So, I don't want toWell, if I could clarify a little bit more?12Sure.13141516A So, what I am saying is, that is where I kept ondiscussing this with Michael Cohen. I wanted to explain to himwhy it was so important to getto be reimbursed.And we had a number of conversations at the end of17August, September.1819And he, basically, said at the end of eachconversation, why are you worried? I am your friend.The boss20will take care of it.21Was there ever any discussionwithdrawn.2223Cohen in August and September.24You said you had a lot of conversations with MichaelWas there any conversationabout candidate Trump actually acquiring Ms. McDougal's25lifetime rights from AMI?Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/SteinglassPage 11481AYes.In September Michael Cohen said that Mr. Trump2wants to acquire the lifetime rights of the Karen McDougal3story, and I should assign the contract over to him.45678910York City111213When I say, over, to Michael Cohen, and I would bereimbursed--the company would be reimbursed. And he alsoadded on that Mr. Trump wanted all of the content that theNational Enquirer had or developed and retained on Mr. Trump.I told Michael that, you know, these are old files andboxes that are in Florida. The company has been moved to Newand there is nothing in those boxes but old newsarticles, magazine articles, old files.He insisted that he wanted those boxes, and he wantedthe content. And Michael Cohen called me constantly in the14month of September toto review and to send those boxes to15his office.161718AYes.1920212223Did Michael Cohen say why Mr. Trump wanted those boxesand why he wanted the rights to Karen McDougal's story?He said that The Boss said that if I got hit bya bus, and/or if the company was sold, he did not want forsomeone else to potentially publish those stories.And, now, in terms of selling the rights to Ms.McDougal's story to Mr. Trump, did you have one or severalconversations with Michael Cohen about that?24A25We had several conversations.Did there come a time when you communicated to MichaelSusan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/Steinglass1Page 1149Cohen a willingness to sell Mr. Trump the rights to KarenMcDougal's story, the lifetime rights?23AYes.4Tell us about that?5AI told Michael Cohen that I would sign--I would sign6the rights over to--I would sign the rights. And he asked7me, it's $150,000?8910I said, look, I said, you know, Karen is going to bewriting for the various magazines and visual sites. She isgoing to appear on a couple of covers of the magazines. I1112131415value that at $25,000. So, I will retain, $25,000 as editorialexpenses, and I will bill you for the lifetime rights for$125,000.So, did you value the portion of the contract, the$150,000 you had paid to that AMI had paid to KarenMcDougal, did you value the lifetime rights at $125,000?Yes, I did.1617A1819And was that the price that you were willing to sellthe lifetime rights to Michael Cohen on behalf of Donald Trump20for?21AYes.22Did you discuss the timing of the assignment of23 rights?2425AMichael Cohen wanted the contract done, yesterday, andthis is going towards the end of September. So, I facilitatedSusan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. PeckerDirect/Steinglass1234567891011Page 1150to have the agreement, the assignment of the rights, sent overto him.I told him, I told Michael Cohen that we would have itdone by the end of September, first week of October of 2016.Did you see this as a way to recoup the money, or atleast some of the money, that you had laid out on behalf ofMr. Trump to buy the story?AYes. I, as I said, it was coming towards the end ofSo I wanted to see if I could get the fundthe quarter.re-funded before September 30th.Was there an invoice prepared for this reimbursem*nt?STEINGLASS: May we approach?THE COURT: Sure.(Discussion is held at side-bar, on therecord.)MR. STEINGLASS: So, this is the one that I canprobably go another half hour without getting into this.12AYes.13MR.141516171819202122232425If I getSo, this is the one document that was referencedearlier that may come up in the next half hour.through this document, I can get through the initial halfwithout taking a break if you want.Last night, counsel told us that they did notwant this line here, agreed upon a flat fee for advisoryservices to be offered for the truth.Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

12345слD. Pecker Direct/SteinglassPage 1151This morning they said they don't want it to comein at all. We don't even think it's true. It is a bogusinvoice. But, now, it sounds like this morning they wantit redacted, which we think is ridiculous.MR. BOVE: I guess he thinks I am a worse guy106than I am.78910111213141516171819202122When I said we didn't think it should come in forthe truth, it is that we think it shouldn't come in at all.My point is asking for the redactions is that this is, ifit is not coming in for the truth, an assertion like thatwhich is prejudicial, shouldn't be in front of the jury. Asimple way to mitigate the prejudices is to redact it.That's all I meant.THE COURT: The $125,000 forMR. STEINGLASS: He just testified the $125,000was the payment that was being billed to Michael Cohen toreimburse Mr. Pecker for the money that was laid out forKaren McDougal.THE COURT: It wasn't for this?MR. STEINGLASS: It absolutely was not for this.This is a false business record. It's not only meant todiscuss the true nature of the reimbursem*nt23MR. BOVE: If I could.I don't think Mr. Pecker24is going to say he prepared this.Maybe he will.25I think he is going to say Dan Rotstein, aSusan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/SteinglassPage 1152consultant outside of AMI, not employed by AMI, prepared12it.345сл106789101112It is not his statement.document?THE COURT: He didn't have to prepare it.Does he know this document? Has he seen theMR. STEINGLASS: Yes. Daniel Rotstein workedpart-time for AMI and I think the witness laid the businessrecord foundation.THE COURT: I am going to allow it.Are you asking for a limiting instructionregarding the document?MR. BOVE: Judge, we would ask just to make surethat a foundation is laid that Mr. Pecker saw thiscontemporaneously.THE COURT: Sure.MR. BOVE: Thank you.(Discussion at side-bar concluded, and thefollowing occurred in open court.)STEINGLASS:13141516171819BY MR.202122AYes, that's correct.2324I would like to show what is in evidence and is beingdisplayed as People's Exhibit 161.25Do you recognize this document?So you told us, I believe, Mr. Pecker, that there wasan invoice prepared for this reimbursem*nt, is that right?Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/Steinglass1AYes, I do.2What is it?Page 11533AThat is an invoice from Investment Advisory Services.45This is not an American Media company. This company is ownedby a man by the name of Daniel Rotstein.6Daniel Rotstein was the head of human resources and78close to 20 years.And he9he took a positionthe head of administration for American Media for probablyhe resided with the company andand he took a position as an executive of10thein the--he lives in Florida. I think it's in1112131415Plantation, and he was working there four-days a week.Daniel Rotstein was a very valuable employee to me andI wanted to keep the relationship. So, I asked him if he wouldstill continue to work for American Media as a consultant.He did performing these services and administration16services.And what--what another aspect I asked him to do171819is, when I had large payments to be made on behalf of AmericanMedia or something to be received, I requested that Daniel tohandle it through his company.20212223And the reason was, is that if I had anythingthere was a large disbursem*nt within the American Mediafinance department, they, the finance people, would tell thetabloid editors.if2425For example, if we read that a private plane would flya celebrity to one place, if we hired certain photographers,Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/Steinglass2341Page 1154paparazzi photographers, I didn't want that type of_ communication to go through the company. So, to have themoutside was much more beneficial.Part is that we had some pretty difficult experiences5within the company whereby, the payroll register for American6Media, the company based in Florida, was hidden upon each post,7and the top executives' salary and compensation was listed8right on the front page of the paper.9So, I had a number of incidents over the years.10So I asked Daniel, Daniel Rotstein, to handle this for11me.12131415161718So,192021222324So, I called him, and said, look, I don't want to havea check from the Trump Organization going through AmericanMedia. I don't know exactly how it's going to be reimbursed.So, I would like for you to speak to Michael Cohendirectly and work out with him, whereby, you bill him theinvoice for $125,000 and reimburse American Media.I called Michael Cohen to tell him aboutDaniel Rotstein would be handling this reimbursem*nt.And I asked Daniel Rotstein to call Michael Cohendirectly. I made the introduction. Michael told me that hecreated a company called, Resolution Consultants, that wouldthat we should bill and Daniel Rotstein prepared the agreement,the assignment and the invoice.that25THE COURT: I am going to instruct the jury, Mr.Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/Steinglass1Steinglass?2MR. STEINGLASS:Sure.Page 1155345слTHE COURT: Jurors, so, this document has beenaccepted into evidence. I direct you to not consider thisdocument for the truth of its contents. It is being106accepted into evidence for the fact that this invoice was7created, not for the truth of what it says.8MR. STEINGLASS: Thank you, Judge.9101112131415161718192021BY MR. STEINGLASS:Let me ask you this, is it fair to say that you askedDaniel Rotstein to be the middle man to disguise the fact thatmoney would be flowing from Michael Cohen to AMI?MR. BOVE: Objection.MR. STEINGLASS: Sustained.Q I am not trying to be offensive.Can you just give us a shorter answer, a short answerabout why you used Daniel Rotstein in the first place to createthis invoice?AI used Daniel Rotstein to create the invoice because I22232425did not want to have a payment received in the AMI financedepartment from the Trump Organization or Michael Cohen.Why not?A Because I believed that that payment would raise a lotof questions and issues and be communicated to the rest of theeditors which is something I didn't want to happen.Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/SteinglassPage 11561QOkay. So I am going to blow up the top of this23invoice, and I am going to ask you a few questions about it.4A5сл6A78910111213First, of all what is the date of this invoice?9/21/16.Who is being billed?Resolution Consultants LLC.And I think you alluded to this a few minutes ago, butwhat was your understanding of the purpose of using ResolutionConsultants to reimburse AMI for the Karen McDougal payment?A When I spoke to Michael Cohen, he said he was creatinga company to receive the lifetime rights and that wouldreimburse--it would reimburse and pay the $125,000.So you were using Investor Advisory Services andMichael Cohen was using Resolution Consultants?1415AThat's correct.1617invoice?What is the description of services provided in this18A19It says, agreed upon flat fee for advisory services.Was this invoice actually for advisory services?20ANo, it wasn't.21What was it really for?22AThis was for the lifetime writes of the Karen McDougal23story.2425Why did the invoice from Investor Advisory Servicessay, agreed upon flat fee for advisory services?Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. PeckerDirect/SteinglassPage 11571AThat was that comment was pulled from Michael2• Cohen.That's what he wanted the invoice to say.34Did you discuss with Michael Cohen the matter of wherethe money to reimburse you, where this $125,000 was going to be5coming from?6AI assumed it was coming--I shouldn't say that.78I assumed he was being reimbursed. He was alwaysbeing reimbursed.9By whom?10A1112By the Trump Organization or Donald Trump.Okay. I am showing you People's 162 in evidence.Do you recognize this?13AYes.14What is it?15AThis is the16Media to the17this is an assignment from Americanthis is an assignment from American Media toResolution Consultants assigning the rights to the Karen18 McDougal story.Are you familiar with the terms, assignor and1920assignee?21A22232425Yes.Can you explain to the jury what those terms mean, andwho was the assignor and the assignee?AWell, the assignor, American Media, owns the rights tothe Karen McDougal story. And has the right to decide toSusan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/SteinglassPage 11581assign it to anyone that they wanted to. And the assignee is2the person who is receiving them.3So, all of the rights that American Media had, are45being passed on to Resolution Consultants.Who signed on the behalf of the assignor, AMI?106AThat's my signature.7And you were the CEO?8AAnd I am CEO.910And who signed on behalf of the assignee?Do you recognize that signature?11AThat is Michael Cohen.1213AThe 30th day--14And what was the date of the assignment of rights?September 30th.And is that the last day of AMI's fiscal quarter?15AYes.1617Did you agree upon a price that Resolution Consultantswould pay for the rights?18AYes,$125,000.1920Now, even though this agreement was signed, was itever actually executed.21ANo, it wasn't.222324here.Now, again, I am going to ask you to be very carefulWithout revealing any privileged conversations with yourlegal counsels or general counsel, did you come to the25 decisiondid you have a conversation with your generalSusan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. PeckerDirect/SteinglassPage 11591counsel?2AI did.3And based on that conversation, did you come to the4decision that you no longer wanted to be reimbursed for the5money that AMI had laid out to acquire Ms. McDougal's lifetime6rights?7AYes, that's correct.8Did you communicate that decision to Michael Cohen?9AYes.10Do you know about when it was that you communicated11that decision?12AIt was the first week of October.1314A15161718192021AOf 2016?It was the first week of October of 2016.Tell us about that conversation.Yes. I called Michael Cohen, and I said to him thatthe agreement, the assignment deal is off. I am not goingforward. It is a bad idea, and I want you to rip up theagreement.He was very, very, angry. Very upset. Screaming,basically, at me.22And I said, I am not going forward with this23 agreement. Rip it up.And he said, excuse me, Michael Cohen said, The Boss2425is going to be very angry at you.Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. PeckerDirect/Steinglass1I said, I am sorry. I am not going forward.Page 1160The deal2is off.34your friend.I don't understand why you are5And he said, I can't believe it. I am a lawyer.so concerned.I said, I am very concerned, and I am not goingI am6forward, period.78910And I said, are you going to rip it up or not?And he said, I will take care of it.To be clear, Mr. Pecker, did AMI ever get reimbursedfor the money11ANo.1213let me finish the question.Did AMI ever get reimbursed for the money it spent toacquire the exclusive rights to Ms. McDougal's story about heraffair with Mr. Trump?MR. STEINGLASS: I am not sure how we are doing,but is this a good time for our morning break?THE COURT: Okay, Jurors. Let's take our morning141516ANo.NO,we never did.17181920recess.2122232425We will take about 20 minutes or so.(Recess is taken.)COURT OFFICER: All rise.(Whereupon, the jury exited the courtroom.)THE COURT: Please be seated.(Witness is excused.)Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/SteinglassPage 11611THE COURT:So, there are a couple of things we2would like to go over.Let's just take a short break.345слLet's come back in five or ten minutes, and then we can get.started.MR. STEINGLASS: Okay, thank you.(Short recess is taken.)THE CLERK: Continuing case on trial, Peopleversus Donald J. Trump. All parties are present.THE COURT: All right, counsel. Let's go overwhat the disputed issues are.MR. STEINGLASS: Judge, would it be convenientfor you if I handed you a binder that has all the exhibits?THE COURT: Yes.1067891011121314MR.15have one?161718192021222324us.25STEINGLASS:Mr. Bove, you are good? YouMR. BOVE: Yes, I have one.THE COURT:Thank you.MR. STEINGLASS: Also, Judge, before we getstarted, I know you suggested in an email that no furtherletters were necessary. We were about to hit send on ourresponse letter to counsel's letter.I don't want the state of the record being thatthere is a written submission from the defense and not fromI wonder if you would let me pass this up?Susan Pearce-Bates,RPR, CCR, RSAPrincipal Court Reporter

12345сл106D. Pecker Direct/SteinglassPage 1162I don't care if it is publicly filed or not.THE COURT: You can hand it up.MR. STEINGLASS: While I am doing that, I willhand you a copy of the law cited therein that I am going torefer to during this argument.THE COURT:Thank you.78MR. BOVE: Thank you, Judge.The first disputed exhibit is the second onereferenced in your email from yesterday, and you alsoreferenced this morning, People's 169.And this is a December 9, 2016, email fromCameron Stracher, the General Counsel of AMI, purportedlyto Mr. Sajudin.And the defense's position on this one is thatwhile there is a business records foundation for theheader, these are factual assertions in the body of the91011121314151617email whereI don't think1819202122232425--there is no foundation foran argument that the general counsel of AMI is aco-conspirator, and it can't come in on that basis, and itshould be excluded.MR. STEINGLASS: First of all, I agree with thelast point. I am not seeking to admit this as aco-conspirator's statement. We don't think that Mr.Stracher is a co-conspirator.Just give me one second, please.Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/SteinglassPage 116312This is, in our view, a core business record,insofar, as it is, essentially, the general counsel of AMI3releasing a source from an NDA.4Acquiring sources, signing NDAs, releasing5слsources from NDAs, these are core business practices ofwe don't think that this is embedded in106AMI. And so,7hearsay.8910111213We think that this is a business record in itsown right much like the Court said yesterday with Exhibit164 which Your Honor described as, this is exactly what abusiness record is.So that's our view as to this.THE COURT: Can you establish that this was not a14one up?151617181920This was a regular practice that these types ofdocuments memorializing this type of transactions wereroutinely generated?MR. STEINGLASS: I can ask him that.THE COURT: If you can ask him that, then I willbe satisfied that it is a business record and it will come21in asa business record.22232425MR. STEINGLASS:And can I give you an alternate argument so wedon't have to do it again if he doesn't say that, which isthat this is not really being offered for its truth in anyI understand that.Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. PeckerDirect/Steinglass1event.2Page 1164There is no statement in here that we are trying toprove the truth of. It is admissible to show the fact that3AMI released Sajudin from the NDA and the date they45сл10678910111213141516171819202122232425released him.There is nothing coming in for its truth in atraditional sense anyway.MR. BOVE: The factual assertion that AMI isreleasing Sajudin pursuant to this email, is the one thatwe are challenging on the hearsay grounds.I appreciate the point that your Honor just madeJudge, which is that it is possible that the witness, Mr.Pecker, or another could lay a business records foundationfor the embedded hearsay issue.Also, the testimony on Tuesday was directed tothe header information on these emails and that's why Ithink the record is clear. We are not disputing that firstlevel of business records foundation, but to the extentthat additionally embedded hearsay is going to be offeredpursuant to that business records exemption on the secondlevel, Mr. Pecker would have to address, or the custodian,would address the content of the communication that isinvolved.THE COURT: Turning to the second argument, Idon't necessarily agree that this is not being offered forthe truth of the matter asserted.It's always such aSusan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/Steinglass12345слPage 1165difficult objection to rule on, but I will err on the sideof caution and find that I am rejecting that argument.Turning back to the first argument from Mr. Bove,Mr. Pecker was not the person that drafted this. He is notone of the parties to it. He really can't testify as towhat it says.10678can't come in through Mr. Pecker.I am going to agrees with Mr. Bove that thisYou might be able to get9101112131415it in through someone else, not Mr. Pecker.MR. STEINGLASS: Does that mean I should not askthe question that you suggested I ask earlier?THE COURT: Yes.MR. BOVE: The next issue, Judge, is withPeople's 163.THE COURT: Okay.16171819MR. BOVE: And so,November 14, 2015. The top of the thread is a message fromMr. Dylan Howard, a non-testifying, hearsay declarant atthis trial. We have a couple of issues with this message.this is an email dated202122232425We touched on these with the letter we submitted.The bottom message here recounting a series offactual assertions related to Mr. Sajudin should not comein for its truth. It is unduly prejudicial and to be sortof put in front of a jury with a limiting instruction, whenthere is a very reasonable alternative to making aSusan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/Steinglass1potential prejudice is to just simply redact this piece.2Page 1166And I think that's particularly appropriate given3your Honor's in limine ruling limiting the extent to which45слfacts concerning the Sajudin and McDougal incidents orwhatever we call them from coming in.106So that's the argument, Judge, for the bottom7email.8910asI don't--111213From our perspective, there are the same issuesas you continue up the thread. And I think here, justjust as it's conceded by everybody thatMr. Stracher was not a member of any conspiracy, I don'tthink there is a foundation now or any argument that BarryLevine of AMI was a member of a conspiracy.1415So that is an additional impediment to thesecoming in on any basis.16MR. STEINGLASS:So,several things.17First of all, we are not, we made this clear both181920in the letter response and in correspondence to counsel, weare not seeking to admit the bottom portion of the emailfor its truth. We don't think it is true and we elicited2122testimony to that point, very clear testimony, from Mr.Pecker that he did not believe Mr. Sajudin story to be23true.2425However, it is necessary context to understandthe rest of the email string which is very much about bothSusan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/SteinglassPage 1167responsibilities.1a business record and co-conspirator statements.2So, let me explain why as to both. This is much3more akin to Exhibit 164 then it is to Exhibit 169 insofar4as it was AMI's business to purchase stories and according51067to Pecker they used emails to conduct that business andHoward did so as part of his regular course of his jobAnd is, therefore, under a business duty89101112131415to do so truthfully.This is really just a class in business records.Separately, we believe it's admissible as aco-conspirator statement and has res gestae of the state'selection law conspiracy.And let me say first in thatregard, and I am going to come back to this with certainother exhibits or portions of exhibits, we have more thanestablished the prima fascia case of conspiracy to promoteor prevent election law violations by unlawful means.And that is all we have to do to admit evidenceunder the co-conspirator hearsay exception to establish aprima facia case, and we have done far more than that.16171819202122232425be part, or was part of this conspiracy.Further, we have elicited sufficient testimony toconclude prima facia that Dylan Howard is a member of theshould I stop?conspiracy, and insofar asTHE COURT: Yes. I agree with you.I think that established that Dylan Howard wouldTherefore, heSusan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. Pecker Direct/Steinglass1Page 1168would be a co-conspirator and that statement is attributed2to him.3Going down to the bottom portion, what Mr. Bove45слis asking is if you can redact it.How difficult would it be to redact some portions106of it?7891011MR. STEINGLASS: It is not a question ofdifficulty of redacting it. It is a question of the factthat the rest of the email chain doesn't make any sense andit is not clear that they are talking about the DinoSajudin story.12So, I think thatI think that13it really isadmissible to contextualize the remainder of the email14151617chain and the prejudice argument is not an argument to makewhen nobody is claiming that there is any truth to theseallegations, and I believe the witness testified that itwas 1,000 percent untrue.18192021THE COURT: I agree. What would you like me todo, a limiting instruction on this?It's been testified about.MR. BOVE: It has, Judge. There are details in22here about the underlyingnot just what came from Mr.232425Sajudin, but the following investigation, the woman who wasallegedly involved in this, her name, there is a lot ofinformation in here.Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

1234510678910111213141516171819202122232425D. Pecker Direct/SteinglassAnd I justPage 1169we came into this trial under theunderstanding from Your Honor's limited ruling that thedetails regarding Sajudin and McDougal would be limited,is the opposite of that. And I willjust leave it at that.and this to goes--THE COURT: I think there are a lot of detailsthat can be redacted. But honestly, I don't see,necessarily, what the prejudice is to defense.But, why don't you go ahead and redact theseveral details. The point can still be established.far as the 9:35 a.m. portion of it, I already ruled onthat, and also the 2:15 p.m. portion as well.AsMR. STEINGLASS: Thank you.We will send the proposed redactions to counsel.Thank you.THE COURT:MR. BOVE: Thank you, Judge.The negotiation dispute, Exhibit 172A, this is athread of text messages between Mr. Howard andMR. STEINGLASS: Who?I am sorry. I apologize. I didn't mean toTHE COURT: Go ahead.MR. BOVE: So, these messages, Judge, they can'tpossibly be in furtherance of a conspiracy betweenMr. Howard and the relative, particularly in light of theirrelationship that we are talking about. And they are notSusan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

D. PeckerDirect/SteinglassPage 1170I actually, this is more an issue I think for1business records.2345слcross at this point, but Mr. Pecker testified that AMIcollected business communications from business phones.These are personal communications perhaps on an AMI phone.I don't think there is a plausibleargument that the text of the communications are businessSo there is--10678records. So they should not come in.910THE COURT: Mr. Steinglass, these are textsbetween Dylan Howard and another person.11Does that other person work at AMI or have12anything to do with AMI?13MR. STEINGLASS:So, no, Judge. I think I can141516provide some color here without mentioning exactly who itis. It is a first degree relative of Mr. Howard.And to be clear, we are not trying to admit these17as business records.They have already been authenticated18so far as they came from an AMI device.And they do,19undoubtedly, contain a bit of hearsay.I agree with Mr.20Bove on that.21I think that it is useful to22232425I think that theyare independently admissible. And I think it's useful tobreak the texts into two groups. One are the texts fromJune and July of 2016, and the other are the texts fromNovember, 2016, really from election night.Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

12July.345сл106789101112D. Pecker Direct/SteinglassPage 1171So, let me start with the texts from June andTHE COURT: If I can just interrupt you for asecond. Is it your argument that because these wereobtained from an AMI device, that's what makes it abusiness record?MR. STEINGLASS: I am saying that they are notbusiness records. I am saying that they areauthentic because they came from an AMI device and thefoundation for authenticity was laid, but I am not seekingto admit them as business records.THE COURT: Neither one of these parties are13going to be testifying here, right?14MR. STEINGLASS: That's true. But I――I still15think I have an argument.16171819202122THE COURT: If you can just approach and let meknow what the relationship is that we are talking about.(Whereupon, the proceedings continuedwithout a side-bar discussion taking place.)(Whereupon, Principal Court Reporter, SusanPearce-Bates, was relieved by Senior CourtReporter, Theresa Magniccari.)232425Susan Pearce-Bates, RPR, CCR, RSAPrincipal Court Reporter

ProceedingsPage 11721MR. STEINGLASS:Okay.2345MR. STEINGLASS:So let me start.You have the exhibit, Judge?THE COURT: I do.On Page 2, there is a text on6June 18, 2016--by the way, there may be some texts in78here that we can redact, but these specific ones we believeare admissible.9Candidate--this is a text from Mr. Howard to his10relative.11"Candidate denies he had an affair.Nevertheless,12I'm going to California on Sunday and Monday to interrogate13the claim to understand the veracity of her claims. I14suspect it's true."15Response: "Why would you go to California if1617you're not going to print it?Answer from Mr. Howard: "No, she's American. I'm18going for other reasons."192220Response: "For the Awards?"Answer from Mr. Howard: "No, for the campaign."Answer from the relative:"Oh, sorry, I see2122"now.232425Response from Mr. Howard:"Mind you, in the eventthat he's elected, it doesn't hurt, the favors I have done,provided it's kept secret. And I'm assured this mission isTheresa MagniccariSenior Court Reporter

ProceedingsPage 117312And the response:3known only to me and D.P.," which is David Pecker."Information is powerful."Then flipping to Page 4, this is also on the same4day in June. Mr. Howard tells his relative:"Nothing is5on email," et cetera. "Burner phones."7891011121314And another text: "I thought about it.Information is powerful, and I'm collecting a lot."AsSo this first group of texts, we believe, areadmissible as to Howard's state of mind, includingdeclarations of future intent. He is a co-conspirator.we've already discussed, his state of mind is relative.Declarations of future intent are exceptions to the hearsayrule, and we provided some law, both in our memo and in thecases that I've handed up.15Primarily, People versus James. That's 931617N.Y. 2nd 620, at Page 628 to 631, which is Court of Appealsfrom 1999, which discusses Hillman, which is a U. S.18Supreme Court case at 145 U.S. 285.19So those texts we believe are admissible on20those grounds, a state of mind and declaration of future21intent.22I think that the text--there is another category2324of texts, and we're happy to redact the intervening textsthat don't fall into one of these categories.25The next--I skipped one from July 26, 2026, onTheresa MagniccariSenior Court Reporter

ProceedingsPage 11741Page 6 of the exhibit.23There is a text, "I need to meetwith Keith tomorrow for Michael Cohen, and we'll returnthereafter."4That falls into that first category.56789101112131415161718192022Okay. So, I am sorry.Moving to the second category, which are theelection night texts. There is a text from Dylan Howardto his relative that says, "He's in with a massivechance."And then on the next page, Page 7, another text tohis relative: "At least, if he wins, I'll be pardoned forelectoral fraud."There is a response from his relative that says:"Trump victory imminent."And on the next page, Page 8, there is aresponse from Mr. Howard: "I get pardoned, so it's fine,nowhere."Another text from Mr. Howard to his relative:"He's just been named President Elect."Response: "Oh, dear."Another responseTHE COURT: I think I can stop you at this point.2122232425and I am not faulting anybody--Anything else you want to say?MR. BOVE: Respectfully, this is the first time,this is a developingTheresa MagniccariSenior Court Reporter

ProceedingsPage 11751conversation.They're responding to arguments we're2making.34578910This is the first time that the Government hasinvoked these exceptions with us.I think these are, in truth, these are very, verysubstantive factual assertions that are being offered fortheir truth and are inadmissible hearsay.To the extent that your Honor is entertainingthese arguments, we would like an opportunity to consult.THE COURT: All right. So I think I kept the jurywaiting long enough for now. I will rule on this at1112another time.13MR. STEINGLASS:14151617the texts, not the law.I will cite the law. I only readAlso, the James case, which I handed up, and theSettles case.Another case is People versus Settles, which is a18seminal case.19We believe the later statements are declarations202122against penal interest. For that proposition, we citeJames, and Settles is a Court of Appeals case. The site is46 NY 2d 154, at 167.23THE COURT: So during the lunch recess,I will go24back and read those decisions and see if it changes my25mind.Theresa MagniccariSenior Court Reporter

ProceedingsPage 11761But for the time being, I am excluding these2texts.34them for business records5789The fact that they're there, you're not offeringthe fact that they came off anAMI device to me is of no consequence. The fact thatDylan Howard is one of the individuals texting and weestablished that he is one of the co-conspirators withinthis context is also of no consequence to me.Ultimately, what we have here is a private10conversation between the co-conspirator and a family memberthat has nothing to do with the business that is beingoffered for its truth. And I don't see how the defensegets to cross examine anyone on this.There is a real confrontation clause issue withthis. I think that it would be error at this point to111213141516171819issue.2020allow it.I will go back and read the decisions, see what Iam missing, but I think there is a confrontation clause212223Anything else?MR. BOVE: There's one more exhibit, we don'tnecessarily need to take it up now.THE COURT: We will get to it in the morning.24MR. BOVE:Okay.25THE COURT: So let's bring the witness back.Theresa MagniccariSenior Court Reporter

D. Pecker Direct/SteinglassPage 1177By the way, are we going to be done with Mr.Pecker today with direct and cross?12345left.MR. STEINGLASS: Give me one second, please.I think I probably have a good two to three hours7891011121314151617181920202122232425THE COURT: I am not going to rush you. You canhave as much time as you want.MR. BOVE: I appreciate it, Judge. There is a lotmore to come. Obviously, we're not going to finish today.(Witness entering courtroom.)THE COURT: Mr. Pecker, you remain under oath.Let's get the jury, please.THE WITNESS: Thank you Judge.(Jury entering courtroom.)COURT OFFICER: All rise.THE COURT: Thank you.Please be seated.THE CLERK:Continuing case on trial. Peopleversus Donald J. Trump. All parties are present.THE COURT: Jurors, thank you for your patience.Mr. Steinglass.MR. STEINGLASS: Thank you.Theresa MagniccariSenior Court Reporter

D. PeckerDirect/SteinglassPage 11781DIRECT EXAMINATION2BY MR. STEINGLASS:(Cont'd)3Q.Hello again, Mr. Pecker.4A.Hi.5Q.Before we move on, I want to ask you one more106question.78MR. STEINGLASS:I am going to ask to put up justfor the witness and the attorneys and the Judge Exhibit9169.1011(Displayed.)Q. You testified, I believe it was yesterday, that at somepoint after the election you released Dino Sajudin from thenon-disclosure agreement that AMI had previously entered intowith him?A. That's right.Q. Do you remember what the date was that you released12131415161718A.It was December 2016.19Q.Do you remember the actual date?20A.It was the first week.21Q.Dino Sajudin?22Take a look at the exhibit in front of you see if itrefreshes your recollection as to the date that Mr. Sajudin was23 released.24A.December 9th is the date of the email.25Q.2016?Theresa MagniccariSenior Court Reporter

D. Pecker Direct/SteinglassPage 11791A.December 9, 2016.2Q.Thank you.3456I want to now direct your attention to October of2016. Did you come to learn about a video and audio recordingof then candidate Donald Trump that was released by AccessHollywood?7A.Yes.8Q. Can you tell the jury what was the gist of that9recording?101112A. The gist of that recording was a conversation betweenDonald Trump and Billy Bush, who was an anchor for AccessHollywood, going on a bus to a set, and the comments from Mr.Trump was, "You can grab a woman by the genitals," and it wasunder sexual comments that were made.131415Q. Was that tape released publically?16A.Yes.171819Q. Do you recall what happened when that tape was releasedpublically?A. Yes, I do; it was very embarrassing, very damaging to20the campaign.21Q. Do you remember the date on which that tape was22released?23A.I remember it was the first week of October of 2016.24Q.Okay.25So you don't remember the actual date. It's okay ifTheresa MagniccariSenior Court Reporter

D. Pecker Direct/Steinglass1you don't.2A.I remember the 6th or 7th.3Q.Of October?4A.Of October.5слQ.6078Page 1180Okay.Did you recognize the voice doing most of the speakingon the Access Hollywood tape?A.Yes.の10A.Whose voice did you recognize it to be?Donald Trump.11Q.Shortly after the Access Hollywood tape was released,12did you speak with Michael Cohen about Mr. Trump?1314A.Yes, I did.Q.And can you tell the jury what was discussed during151617181920212223Specifically, I don't remember.Q.Are you familiar with an online publication calledthat conversation?A. On that conversation Michael Cohen told me that thetape, the feedback on the Access Hollywood tape, it was very,very damaging to the campaign, and everyone was very concerned.The campaign was very concerned about what impact it would have.Q. Did Michael Cohen ask you to do anything to help dodamage control?A.2425"Radar Online?"A. Yes, that's our publication.Theresa MagniccariSenior Court Reporter

D. PeckerDirect/Steinglass12345678Page 1181Q. And did you have any conversation with Michael Cohenabout a Radar Online article?A.Yes. The Radar Online is a digital website. It waslaunched in late 2000, and American Media acquired it duringthat period of time.And unbeknownst to me, Michael Cohen said that on thatdigital site there is a posting of Donald Trump being a PlayboyMan and I should immediately take it down. That Mr. Trump was9very upset.10I said to Michael, I was unaware of this posting.1112167.13Q.I will show everyone actually.And I am going to ask you, if you recognize this email?I'm going to show you what's in evidence as People's14A.Yes, I do.15Q.What is it?16A.This is the email that after I spoke to Michael Cohen,171819I called up Dylan Howard and I asked him about this Playboy Manarticle on Donald Trump, and he discovered that this was postedprior to our position.I was also unaware of it. He would take20it down immediately.212223So I said to him, do that, notify Michael, remove thearticle and notify Michael Cohen.The email that he sent here is explaining it to Michael24about the story.25(Displayed.)Theresa MagniccariSenior Court Reporter

D. Pecker Direct/SteinglassPage 1182Q.1Q.Okay.2345слSo this middle portion of the email that we have blownup, who sent this email?A. Dylan Howard.And who was it sent to?106A.To Michael Cohen.7Q.And is anyone cc'd?8A.I was cc'd on it.9Can you read the body of the email, please.10A.It says:"The only story that was posted in October111213141516171819202122of 2008, before AIM owned it, the old Radar magazine.was not part of the story that existed online. I suggested itwas lost during many of the site changes during the years.Nevertheless, I've deleted the story completely. It no longerexists."Q. What did you understand Dylan Howard to mean whenhe said, "I've deleted the story completely, it no longerexists?"A. He was following my instructions to remove the postingfrom the Radar digital site.Q. And let me just show you the bottom portion of thisemail for a moment.The tape23Is this, where it says, "Donald Trump Playboy Man," is24that the posting that was--that you understood Dylan Howard to25be in the process of removing?Theresa MagniccariSenior Court Reporter

D. Pecker Direct/SteinglassPage 11831A.Yes.2Q.34A.5Q.What is the date on that Playboy Man article?Sorry, go back to the bottom portion for a moment.Yes.What is the date of the original article that was being106removed?7A.October 27, 2008.8Q.Thank you.9101112Q.MR. STEINGLASS:the top portion of this email.(Displayed.)Was this email also sent to anyone else?And now I would like to blow up13A.Yes.14Q.I should say, this email chain?15A.Yes.16Q.To whom was it sent?17A.It was sent to Hope Hicks.18Q.19A.When was that?October 8, 2016, at 8 p.m.20Q.Thank you.2122By the way, Mr. Pecker, in all the years you have knownMr. Trump, have you ever known him to use email himself?23A.No.24Q.Have you ever communicated with him by email?25A.Never.Theresa MagniccariSenior Court Reporter

D. Pecker Direct/SteinglassPage 11841Q.How did you communicate with him?2A.By phone. Mostly by office phone.3Q.Who did you go through when you communicated by office4phone?5A.I would go through his administrative assistant Rhona6Graff.7Q.89 Clifford?Okay.Mr. Pecker, do you know of someone named Stephanie10A.Yes.11Q.12A.13Q.14A.15Q.16A.Do you know her by any other name?Stormy Daniels.Who is Stormy Daniels?Stormy Daniels is or was a p*rn star.Have you ever met her in person?No. No, I never did.17Q.Let me ask you in a different way.18A.Sure.19Q.20A.Did you communicate directly with Ms. Daniels ever?I never did.21Q.How did you come to learn of her in connection with22232425this case?A. I was having dinner with my wife and I received anurgent call from Dylan Howard. So I walked out. So I walkedout of the restaurant and took the call, and Dylan said that heTheresa MagniccariSenior Court Reporter

D. Pecker Direct/SteinglassPage 1185received a call from his two best sources, Keith Davidson, whowe know is the attorney for Karen McDougal, and this other123source, Gina Rodriguez, who is an agent for those type of456celebrities.He said that she, being Stormy Daniels, is trying tosell a story that she had a sexual relationship with Donald7Trump, and Dylan can acquire the story for $120,000 from Keith8Davidson if we make the decision right now.9Q. Do you remember what night it was?You said were you10having dinner?11A.Yes.12Q.Do you remember what night it was?13A.I thought it was a Saturday night.I know it was the14first week of October.151617Q. You think it was a Saturday night before or after theAccess Hollywood tape came out?A.This would have been after the Access Hollywood came18out.1920Q. If I pull up calendar on my phone from October of2016, would that refresh your recollection as to what date it21was?22A.Yes.2324Q. Does that refresh your recollection as to the date ofthe Saturday night that you had your dinner interrupted by Dylan25 Howard?Theresa MagniccariSenior Court Reporter

D. Pecker Direct/SteinglassThat would have been Saturday, October 8th.Page 11861A.2Q.Thank you.3I will take it back.45слMR. BOVE: I object.Technically that answer isnonresponsive.The question is; does that refresh your1067recollection?THE COURT: I will allow it.8Q.Now, after your initial conversation with Dylan9Howard, did you have a series of texts back and forth with him?10A.Yes, I did.111213141516(Displayed.)Q. I am showing you what is in evidence as People's174A, and as we're pulling it up, we can show it to everyone,please.I am going to ask if this is a record of texts betweenyou and Dylan Howard from October and November of 2016?17A.That's correct.181920MR. STEINGLASS: And I am going to ask that weblow up the last column or the lines marked 47.260 through265.21(Displayed.)22Q.Are you able to read that, Mr. Pecker?23A.Yes, I can.24Q.25My first question is: What is the date and timestampon the first text?Theresa MagniccariSenior Court Reporter

D. Pecker Direct/SteinglassPage 11871A.It's 2016, October 9. The time is UTC time.So it2would be--I remember it was about 10 o'clock at night.I am3not sure how you calculate that.4Q.Let's see if we can work together.50025, is that 12:25 a.m. in UTC time?106A.Yes.7Q.Now, I think you testified earlier that during8daylight savings UTC time is four hours ahead of New York time?9A.Yes.1011Q. If it's 12:25 a.m. UTC, does that correspond to 8:25New York time?12A.Yes.13Q.Where was it that you were having dinner with your14wife?I don't want the restaurant, just the city.15A.In Greenwich, Connecticut.16Q.Also New York time?17A.Yes.18Q.Who is this text from?19A.Dylan Howard.20Q.And who is the text to?21A.22It was to me. "Woman wants $120,000, has offers fromThe Mail and GMA. Want her to talk and do lie detector live.23I know the denials were made in the past, but this story is24true. I can lock it on publication now to shut down the media25chatter and we can access next steps thereafter.Okay?"Theresa MagniccariSenior Court Reporter

D. Pecker Direct/SteinglassPage 11881Q.2A.What did understand that text to mean in general?That American Media should buy the story for $120,000.3Q.Who did you understand the woman to be referring to?4A.56789Based on the conversation I had over the phone withDylan Howard, I knew it was Stormy Daniels.Q.A.And how did you respond to him in the next text?I guess I should clarify, I said I said, we can'tpay $120,000.Is that second entry a response from you to Dylan10Howard?I should have clarified that first.11A.Yes, when I spoke to him over the phone--I would like12to add more to this.1314Q.A.Please.1516171819When he called me, he mentioned about the story otherthan not paying $120,000. I said, I don't want the NationalEnquirer to be associated with a p*rn star. I said that ourlargest distributor, our largest retailer, Walmart, this wouldbe very bad for the magazine, very damaging for American Media.I don't want any affiliation with it at all. To call Michael20Cohen.21222324A.Q. Wellwithdrawn.So you told Dylan Howard that we can't pay $120,000; isthat right?That's correct.25Q.Why did you say that?Theresa MagniccariSenior Court Reporter

D. PeckerDirect/Steinglass1A.2Page 1189I said, we already paid $30,000 to the doorman, we paid$150,000 to Karen McDougal, and I am not a bank. I am not3paying out any further disbursem*nts among us.4Q. How, if, at all, did Dylan Howard respond?5A.He said:"Okay, they need to handle it. Perhaps I6789A.should call Michael and advise him and he could take it fromthere and handle it."Who did you understand "they" to be referring to?Michael Cohen and Donald Trump.10Q.And how did you respond to that?11A.I responded, I said, "Yes, a good idea."121314151617181920sources,Q.Why did you think it was a good idea to kick this overto Michael Cohen?A. I thought the story, the way Dylan described it, couldbe very damaging. I thought it should come off the market. Ifanyone was going to buy it, I thought Michael Cohen and DonaldTrump should buy it.Q. To be clear here, Mr. Pecker, Mr. Howard came to you,Dylan Howard came to you after having been contacted by hisKeith Davidson and Gina Rodriguez?21A.That's right.22MR. BOVE: Objection.23THE COURT:Sustained.24Q.How did you first learn of Stormy Daniels in this25context?Theresa MagniccariSenior Court Reporter

D. PeckerDirect/SteinglassPage 11901A.From Dylan Howard.23456Q.7Objection.8910Q. And what did he tell you about where this informationwas coming from?A. He said to me that it came from his two top sources,Keith Davidson and Gina Rodriguez.And that they had reached out to him, to Dylan Howard?MR. BOVE:Did they reach out?Was it your understanding from speaking to Dylan Howardthat they had reached out to Dylan Howard?11A.Yes.12Q.Okay.1314What was the next text in the exchange?First of all, who sent it to whom?15A.Dylan sent--Dylan Howard sent the text to me and he16said the following:"I spoke to M.C." I spoke to Michael17Cohen. "All sorted.Now removed. No fingerprints.Will recap192018 with you face-to-face."Q. So did you understand M.C. to be Michael Cohen, I thinkyou told us?21A.Yes, that's correct.22Q.2324What did you understand Dylan Howard to becommunicating to you when he said "all sorted, nofingerprints?"25A. That American Media would have no association withTheresa MagniccariSenior Court Reporter

D. Pecker Direct/Steinglass1the story.23Page 1191There would be no conversations, no paperwork. Hewould not be involved in enabling the story to be purchasedother than handing it to Michael Cohen.4And the no fingerprints, there was no paper trail.5Q.And how did you respond to that?106A.I said to him, "Great work."7Q.I am sorry to ask you this, what does "thx" mean?8A.I am--thanks.910Around this time, in October of 2016, did you also haveany conversations with Michael Cohen about Stormy Daniels?11A.Yes, also a number of conversations.121314A.Q. Can you tell the jury about some of thoseconversations?Michael Cohen asked me to pay for the story, to15purchase it.16I said, I am not purchasing this story. I am not going17to be involved with a p*rn star, and I am not--which I18immediately said, a bank.After paying out the doorman and192021A.22paying out Karen McDougal, we're not paying any more monies.Q. How did Michael Cohen take that?He was upset.at me and that I should go forward in purchasing it.He said that The Boss would be furious2324I said, I am not going forward and purchasing it.not doing it. Period.I am25Q. Do you know whether Michael Cohen was also speakingTheresa MagniccariSenior Court Reporter

D. PeckerDirect/SteinglassPage 1192A. I found out after that he was speaking to Dylan Howard,which I was not pleased about.Q.A.Because it was my understanding, what I instructedDylan Howard to do, is to stay out of it, out of the story, outof the selling process.1with Dylan Howard around this time?234Why?567891011121314Q.How did you come to learn that Dylan Howard did not, infact, follow those orders?A. Dylan came to my office towards the end of October andsaid that there was an agreement between Keith Davidson andMichael Cohen. It was for $120,000.And Michael Cohen was supposed to wire the funds toKeith Davidson twice and he never did.1516Dylan was upset. He was very agitated and said thatMichael Cohen is going to make him look very bad with his two171819top sources. And he said, you understand, when you renege witha source, what the impact would be.So he asked me if I would get Michael Cohen on the20phone.2122I set up a Signal call to Michael Cohen.Michael Cohen, myself and Dylan Howard.So it was23Dylan Howard was very aggressive with Michael Cohen on2425the phone for not paying. Michael Cohen said that I shouldpay. He said, "David, you should pay."Theresa MagniccariSenior Court Reporter

D. Pecker Direct/SteinglassPage 1193I didn't want1I said, "I am not paying for this story.234567to be involved in this in the beginning."I said, "I am not doing it."I said, "Michael, my suggestion to you, you should buythe story, you should take it off the market, because if youdon't, and it gets out, I believe The Boss will be very angrywith you."8Q. Do you remember when that phone call took place?9A.I think it was like October 20, towards the end of10October.11Can we show the witness privately 302A, Page 23.12(Displayed.)13A.In front of me.14Q.Is this a record of an interview between yourself and15the FBI?16A.Yes, it is.171819Q. Does it refresh your recollection as to the date thatyour three-way call with Michael Cohen and Dylan Howard tookplace?20A.NO,I don't think it does.21Q.Does it22A.There is no date.23Q.302B, Page 5.2425A.You said you used the Signal app to make this call?That's correct.Theresa MagniccariSenior Court Reporter

D. PeckerDirect/Steinglass1Q.Why did you use the Signal app?2A.Page 1194345Michael Cohen requested that every time we have aconversation, that I should use the Signal app.And the way he explained it to me, the call is deletedafter a period of time, and it's encrypted, there are no6messages.7Q.So I am showing you another document.89Do you recognize this document to be another record ofan interview with you with the FBI?10A.Yes.1112Q. Do you know, roughly, what month and year thatinterview was conducted?13A.When the interview was conducted?14Q.When the interview was conducted.15A.16Q.1718August 2018.Does that refresh your recollection as to when thethree-way conversation took place between yourself, MichaelCohen and Dylan Howard?19A.Yes,it's around the 30th of October, 2016.20Q.2122see whether it does or does not2324Okay. And I will ask you to keep reading.Take a look at the second paragraph in particular anddoes that refresh yourrecollection with a little bit more precision on that date?A. Yes, I remember. I said October 20, I remember it was--25the end of October.Yes, that's correct, October 25.Theresa MagniccariSenior Court Reporter

D. Pecker Direct/SteinglassPage 1195Q. Does that refresh your recollection that the call tookplace on October 25?123A.Yes.4Q.5слI want to fast forward.Did there come a time, around the same time, when you6 got a call from Keith Schiller regarding a belief that KarenMcDougal was going on ABC News?78A.Yes.910A.11Q.121314Q.15A.16Remind us who Keith Schiller is?Keith Schiller is Donald Trump's bodyguard.And what did Keith Schiller tell you?MR. BOVE:Objection.THE COURT: Overruled.Go ahead.Keith said that The Boss heard that Karen was speakingto ABC News.1718Q.How, if, in any way, did you respond?A.And I said, let me get back to you. I have not heard1920212223that at all. Let me get back and check it out.And I called up Dylan Howard, and I asked Dylan.And Dylan called up Keith Davidson and Keith Davidsontold Dylan that is not true.And I called back Keith and told him that it is not24true.25Q.What is not true?Theresa MagniccariSenior Court Reporter

D. Pecker Direct/Steinglass12A.Page 1196Dylan called me to tell me that he verified that KarenMcDougal is not speaking to ABC.3I called back Keith Schiller and I asked him to relay45that to The Boss, what he heard is not true.Q.And what, if anything, did Keith Schiller say in6response?7A.8Q.91011121314Q.1516He responded back and said The Boss was very pleased.All right.So directing your attention to NovemberMR. BOVE: Objection.Move to strike the last answer.THE COURT: Sustained.What is the last question?Directing your attention to November 4, 2016, did youbecome aware that the Wall Street Journal published an articlethat day revealing aspects of the Karen McDougal's story?17A.Yes.18Q.How did you become aware of that?19A.Our communications director from American Media2021222324received a number of calls from the Wall Street Journal and hada series of questions about Karen McDougal's agreement; thatAmerican Media purchased her story on her relationship withDonald Trump, and also they questioned my relationship withDonald Trump.25(Displayed.)Theresa MagniccariSenior Court Reporter

D. PeckerDirect/Steinglass1Q.Page 1197I am going to show just the witness and the parties,2please, Court Exhibit 180.3I will ask you to take a look at this exhibit.Do you4recognize it?5A.Yes, I do.6Q.What is it?7A.This is the Wall Street Journal article that was891011A.1213141516171819published on November 4.The one you just mentioned that referred to the KarenMcDougal story?Referring to the Karen McDougal story.MR. STEINGLASS: I offer it into evidence.MR. BOVE: No objection, subject to the limitinginstruction.THE COURT:for the truth of the matters asserted, simply that it wasproof that it was published on that date.(Whereupon, exhibit was received in evidence.)MR. STEINGLASS: If I could publish it to everyoneAgain, jurors, it's not being admitted20now.2122Q.2324(Displayed.)I am going to ask you, Mr. Pecker, did the articlereveal the fact that AMI had paid McDougal the rights to thestory about the affair with Donald Trump?25A.Yes.Theresa MagniccariSenior Court Reporter

D. Pecker Direct/Steinglass1Q.Page 1198And did this article appear before or after the2election?3A.This article appeared before the election.4Q.Do you know what day Election Day was in 2016?5A.November--November 8.106Q. Did there come a time after this article came out thatyou spoke to then candidate Trump?78A.Yes.9When was that?10A.11Q.12A.13Q.November 5th.November 5th of 2016?It was the following day, November 5th, 2016.And that's three days before Election Day?14A.Yes.15Q.16A.17The Boss wants to speak to me.18How did this call happen?I received first a text from Michael Cohen saying thatThen Donald Trump called me. Itwas a Saturday. I was at home. Donald Trump was very upset,1920control.saying; how could this happen, I thought you had this underEither you or one of your people have leaked the21story.22So, I said, Donald, there is no way on earth I would23leak the story.24And we,25"we" being American Media, had the agreementonly between a couple of people, so there is no way we wouldTheresa MagniccariSenior Court Reporter

D. Pecker Direct/SteinglassPage 11991have given this information or the information to the Wall2345678Street Journal.I said, the only other individual that had theagreement was Karen McDougal. So Karen McDougal or her peopleor someone from her staff or herself gave it to the Wall StreetJournal. Not us.I don't believe that Donald Trump believed it over thephone. He was very agitated. He couldn't understand how this9could happen. Our call ended very abruptly.10111213141516171819202122232425Q. What do you mean when you say "the call endedabruptly?"A. He didn't say good-bye, which was very unusual.(Theresa Magniccari relieved asCourt Reporter by Laurie Eisenberg.)Theresa MagniccariSenior Court Reporter

D. Pecker Direct/Steinglass1234Page 1200(The following proceedings are continued from theprevious page:)Now, around the time of this Wall Street Journalarticle on November 4th, did a Wall Street Journal reporter5contact AMI for comment?6A Yes, they did.78And did AMI put out a statement claiming that, quote:AMI had not paid people to kill damaging stories about9Mr.Trump?10AYes. That was the statement that we issued.1112A131415Was that the truth?No, it was not.Did AMI also claim that the payment to McDougal wasnot for her story, but, rather, for her columns and herexclusive life rights?16AThat's correct.17Was that true?18ANo, it was not.1920A2122232425Who authorized those statements?I did.Why did you authorize AMI to put out false statementsabout the true nature of the deal with Karen McDougal?AI wanted to protect my company; I wanted to protectmyself; and I wanted, also, to protect Donald Trump.Q I'm going to show you People's Exhibit 174 again.Laurie Eisenberg, CSR, RPRSenior Court Reporter

1234Howard?5A10678D. Pecker Direct/SteinglassPage 1201MR. STEINGLASS:This can go to everybody.(Whereupon, an exhibit is shown on the screens.)Does this exhibit contain texts between you and DylanYes, it does.MR. STEINGLASS: I'm, specifically, going to askthat you zoom in--yes.For the record, texts 289 through 294.What dates were these texts sent?910AThey were sent November 5, 2016.11And who--I'm sorry. You already told us who the1213texts were with.So, that first text, who was it from, and who was it to?14AFrom Dylan Howard to me. To me.1516A171819202122--232425And what is the body of the text?The body of the text is: "No change. She's stillunderground per Keith."What is your recollection of why you were having thisexchange, if you have one?A The Wall Street Journal article was published onNovember 4th. It received an enormous amount of press. And Iwas very concerned thatif Karen was still going to complywith the agreement that we had, and I didn't know if she wentoff the reservation.So, I asked Dylan to call Keith Davidson. And he came backLaurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassPage 12021with these comments, that "she's still underground". Karen was2living in Arizona at that time. So, he was saying she wasn't3taking any calls.4And how did――withdrawn.5слThe next text, who is the next text from?106AFrom Dylan Howard to me.7Okay.8What is the body of the next text?9AHe's saying--he's explaining to me the conversation10111213141516that he had with Keith Davidson, saying that he: "Just spoke;"that "She's cool. Moving forward with the deal."What "deal" do you understand that to mean?A That was my original question I asked Dylan todetermine, whether she's still going to comply with theagreement.The Confidentiality Agreement?17AThe Confidentiality Agreement.18How did you respond to Dylan Howard when he told you19that?20A21"Excellent news."Did you then send another text a little bit later?22AYes.2324A25What is the text that you sent?I asked him did they have any updates?What were you asking to be updated about?Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. PeckerDirect/SteinglassPage 12031AI wanted to be updated about Karen McDougal, since2there was multiple press reports other than The Wall Street3Journal.4Just to be clear about that text, when you're asking5for "any updates", was that--what was the date and time of6that?7AThat was November 6th.8What was the time?9AThat would have beenthis would have been in1011Eastern time, New York time, so that would be 9:35.Do you happen to know when Daylight Savings Time ended12in 2016?13AThat would besometime in the winter.14Okay.15AYeah.1617--So, is it fair to say that the UTC time is either fouror five hours18AYeah. It's four or five hours19That's correct?20A--ahead of the time of New York.2122That's correct.When you asked for "any updates", how did Dylan Howard23respond?24AHe responded back: "Status quo. Moving forward. No DV25 mentions. One day of discomfort and back to the campaignLaurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassPage 12041issues.2What did you understand that to mean?3AThat there was no mention on cable news or broadcasts45about the Karen McDougal story. And he was saying, "one day ofdiscomfort," that would be one day of a lot of bad press. And,6umand, um, that the press was just reporting campaign789A"Thank you.1011issues, not anything related to Karen McDougal.And how did you respond?Thanks."After the Wall Street Journal article, did AMI alsoamend its agreement with Karen McDougal?12AYes.13In what way?141516171819202122A We received a call from a different attorneyrepresenting Karen McDougal. And the attorney stated that Karenwas getting a number of calls from the press to do variousinterviews, and she has been bombarded and would like to speakto the press.Soand the lawyer who was representing her said hewanted the Confidentiality Agreement amended so she has theright to speak to the press, without suffering any penalties.Did you, in fact, amend the agreement at some point?Yes, I did.23A24Prior to doing that, did you speak about the idea of25 releasing or amending, I guess, the agreement that you had withLaurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/Steinglass1Page 1205Ms. McDougal? Did you speak about that with Michael Cohen?2AYes, I did.3And how did he--what did he say about that?4AHe said it wasa very bad idea.That--that The Boss5 would be very angry.10That, why did you pay her the $150,000?And he highly recommended that I didn't amend theagreement or allow her to speak to the press.Did you take that advice?6789ANo,101112I didn't.I'm now showing you what's in evidence already asPeople's Exhibit 157.AMR. STEINGLASS: We can show this to everyone.(Whereupon, an exhibit is shown on the screens.)Do you recognize this document?Yes, I do.What is it?This is the amendment to the licensing agreement ofKaren McDougal to allow her to speak to the press.131415A1617181920Why did you want to allow Ms. McDougal to speak to thepress at this point?21AI felt that theThe Wall Street Journal article22already set the stage and the tone of what the story is. And I23wanted to try and keep some form of control on--around the24--story, so so it's not gonna go any further than where it25already was out in the public marketplace. That was one.Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassPage 12061Two,I wanted to have a2press3456a representative of therepresentative, I should say a PR representativefor Karen who reported to American Media, so we would have sometype of contact. And I felt that Karen having somebody to speakto the press in her behalf, with all the calls she was getting,would make her feel more comfortable.a7And the pressso, did you get a press consultant8AYes.9for Karen McDougal?10AYes.11And that was a press consultant who reported to you?12AYes.13I want to turn to Page 2 of this amendment.14(Whereupon, an exhibit is shown on the screens.)15Is this the signature page?16AYes, it is.17Who signed on behalf of Karen McDougal?18AOn the American Media side?19On Karen McDougal's side?20AKaren McDougal signed it on November 29, 2016.21And who signed it on behalf of American Media?22A(No response).23Do you recognize that signature?24ASignature? I--I don't know if that signature--it25could be two people. It's either Dylan Howard or Cam Stracher.Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassPage 12071I believe it's Dylan Howard.2All right.345A6And what was the date that it was signed on behalf ofAmerican Media?December 7, 2016.So, is it fair to say that by the time of thisamendment, Mr. Trump had already been elected President?78AThat's correct.91011Now, around the same time, and I'm talkingNovember/December of 2016, did you meet with Michael Cohenin Trump Tower?12AYes, I did.1314151617181920212223And--and--ACan you tell the jury a little bit about that meeting?I had a meeting with Michael Cohen at his office atTrump Tower. He was still asking me about the boxes of theNational Enquirer information that was inup from our offices in Florida to New York.--that I had broughtAnd I told him that I had a an executive go through allthe boxes, and the only information that's there are oldarticles on Donald Trump, news newspaper clippings; therewas nothing damaging that he should be concerned about; and Iam not going to allow Michael Cohen to go through those boxes.and we were arguing back and forth on that.24And I told him, "I'm not doing it." I said, "You"umand25then Michael said to me--this was around November/December,Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. PeckerDirect/Steinglass1 the exact timePage 1208Michael said to me that he wasn't reimbursed2for the monies that's owed to him on the Stormy Daniels'3payment was number one.456789Number two, he said that the bonuses for the TrumpOrganization are normally paid out around Christmastime, and hehasn't received his bonus. He hasn't received his bonus. And heasked me if I would talk to The Boss on his behalf, to tell himeverything that he did, to try to help him get his bonus.You did use a couple of pronouns at the end of that10sentence.11A12131415Sorry.You said "try to help him get his bonus".Try to help who get whose bonus?ACohen get his bonus.He asked me to speak to Donald Trump to help Michael16I'm sorry to be so formal.17You understand why.18AThat's okay.192021I think you said one of the things Michael tells youis he hadn't yet been repaid in connection to the payments toStormy Daniels?22AThat's right.23What did you understand that to mean?24AThat Michael Cohen paid Stormy Daniels out of his own25funds, which was the first time I heard of that.Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/Steinglass1Page 1209This, I neverI wasn't involved in the transaction, so I23didn't know how it was paid.And, what did you understand him to be complaining4about?5AI understood--I understood he was complaining that6he has not been repaid.7And--withdrawn.8910I believe you told us earlier that you had been under theimpression that this was going to be paid for by either DonaldTrump or The Trump Organization; is that right?11AThat's correct.1213So, what happensDid there come a time when Donald Trump, himself, enteredwithdrawn.14the room?15AYes.16While I was having a conversation with Michael Cohen,17Donald Trump came into the room; and he--and Michael Cohen18said to Donald Trump that,"I'm talking to David about the19the--2021all the old Enquirer files. I went through them.""I" being Michael Cohen."I went through the files. We have nothing to be concerned22about."232425And then I asked Mr. Trump, "Can I walk back to your officewith you? I want to talk to you about a few things."And he said, "Fine. Come with me."Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. PeckerDirect/SteinglassPage 12101What happened then?2AWhen I go back to Mr. Trump's office, I said to him3that: "Michael Cohen is very concerned about his bonus for this4year. And I want you to know that he's very loyal. I want you5678to know he's been working very hard, from my perspective, and Ibelieve he would throw himself under a bus for you. And he'ssaying that his bonus is really very important to him on themonies that he's going to receive."9So, Mr. Trump told me thatone, he says,"I don't know1011121314what you're talking about." He said, "Michael Cohen hasmultiple apartments in my buildings. I think he's got about 12apartments in my buildings. He owns 50 taxi medallions, whichare worth a million-dollars apiece." He said, "Don't worryabout it. I'll take care of it."15Mr. Trump said, Don't worry about it. I'll take care16of it"?17A1819Yes. That's correct.So, directing your attention to January 6th of 2017,did you attend another meeting that day at Trump Tower?20AYes, I did.21222324How did you come to be there?A I received a call from Rhona Graff, saying to me that,"The President-Elect would like to see you for a meeting"25AAnd what did you say?"at Trump Tower."Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. PeckerDirect/SteinglassPage 12111And I said yes.23And she gave me the date and time.Did you go?4AYes. I went to Trump Tower.5What happened when you got there?60AWhen I arrived at the building, I never saw any type7of security like that in myin my lifetime. And I couldn't8get close to the building.9So,as I was walking outside, Jared Kushner, who is Donald101112Trump's son-in-law, and at that time he was going to be anadviser at the to the Administration, tapped me on theshoulder; and he said, "I'll get you upstairs."13And we walkedwe went through the resident area of Trump14Tower. We took the elevator to the resident--to the 24th15floor, if I recall correctly, and then we walked over to16Mr. Trump's office.17Just to be clear, this isat this time, Mr. Trump18was the President-Elect?19AThat's correct. President-Elect.20This was early January 20162017?21A2017.22So, you said you went to Mr. Trump's office?23AYes.24Tell us about it. What happened when you got to25Mr. Trump's office?Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. PeckerDirect/Steinglass1Page 1212AWhen Iinwhen I--there's a waiting room. So,2when I got to the waiting room, Keith Schiller was there. And3Keith asked me--he said, "How's our girl?" Which, he was4referring to Karen McDougal.5So, I said, "She's cool. She's, um, very quiet. No issues."And then he was commenting that he was"he" being Keith,1067was8910MR. BOVE:THE COURT: Overruled.You can answer.Schiller--was excited about going to--Objection, Judge.11AHe was excited about going to Washington.12And then I was waiting in the waiting roomI was waiting13in the waiting room.1415"16And, shortly after, Rhona said that, "The President wouldlike to see you now.And I walked into Mr. Trump's office.17What was that like?18A1920212223On that day when I went there, when I walked into hisoffice, around his desk he had James Comey, Sean Spicer, ReincePriebus and Michael Pompeo; and they were updating Mr. Trump onthe Fort Lauderdale shooting.Are you referring to a shooting that had taken placein the Fort Lauderdale Airport that day?24AYes. In the airport. That's correct.25What were they saying?Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. PeckerDirect/SteinglassPage 1213123456A They were givingthey were around Mr. Trump's desk.I just walked in. And they were giving him an update. They werefinishing up their meeting.And then Mr. Trump introduced me to each of them. And thenhe said, "Here is David Pecker. He's the owner, the publisherof the National Enquirer, and he probably knows more than7anybody else in this room, as a joke."89101112Unfortunately, they didn't laugh.(Whereupon, the jurors laugh.)A And then, they left before him. They left.And Mr. Trump asked me to sit down to chat.And can you tell us about that chat, please?13AYes.14He asked me how I was doing.15I said, "I'm doing okay."16He asked me how Karen was doing.17And I told--he asked, "How's Karen doingHow's our18girlHow's my girl doingHow's our girl doing?", he said.19I said, "She'sshe's writing her articles. She's quiet,2021easy. Things are going fine."So, he said, "I want to thank you for handling the McDougal22situation."23And then he said, "I want to"--he also said, "I want to2425thank you for the doorman story, the doorman situation."And what did you understand Mr. Trump to be thankingLaurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassPage 12141you for regarding the Karen McDougal story and the doorman2story?3A4510678910I felt that he was thanking me for buying them and fornot publishing any of the stories and helping the way I did.And did he say why he was so appreciative?A He said that the stories could be very embarrassing.AWhat do you understand that to mean?I felt that it was going to be very embarrassing tohim, his family, and the campaign.Now, did he ever say anything to you that made youthink that his concern about these stories getting out was forhis family, rather than for his campaign?111213A14I thought it was for the campaign.What makes you say that?15AEvery time wethe conversations that I had with1617was1819Michael Cohen with respect to both of these stories, the familyhis family was never mentioned; and the conversationsthat I had directly with Mr. Trump, his family wasn'tmentioned.20So, I made the assumption it was thethe concern was the21campaign.22And waswithdrawn.23Did there come a time when you perceived that Donald24Trump'sconcern shifted in some way?25A(No response).Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassPage 121512A34510678QYou don't know what I'm talking about?I don't know.Let me show you 302B, Pages 6 and 7.MR. STEINGLASS: Privately, please.(Whereupon, an exhibit is shown to the witness onhis screen.)I'm going to ask you, was this one of the interviewsyou did with the FBI?のAYes.10111213Take a look at Page 6, the bottom of Page 6. Read itto yourself.Don't read it out loud. Read it to yourself.We'll show you the bottom of Page 7.And then I'll ask you that question again.14(Whereupon, the witness reviews the exhibit on1516his screen.)Tell me when you're ready for the next page.17AYes, I am.1819Ready for the next page. Okay.Showing to you Page 7.20(Whereupon, another exhibit is shown to the212223A2425witness on his screen, and the witness reviews theexhibit.)(Nods).Does that refresh your recollection as to whether youbelieved that Donald Trump's focus shifted at some point?Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassPage 12161MR. BOVE:Judge, I am going to object.23THE COURT:Please approach.45сл106789101112131415(Whereupon, the following proceedings were heldat sidebar:)THE COURT: I'm just trying to limit the speakingobjections.MR. BOVE: I understand.That's okay.The objection here, the proper way to refresh therecollection:Does that refresh your recollection?He looks at it.Does it?Yes, no.What is your recollection?That was not done.16MR. STEINGLASS:I think it, pretty much, was17done.18THE COURT:Do it the right way.1920212223(Whereupon, the following proceedings were heldin open court:)THE COURT: The objection is noted.Okay, Mr. Pecker.Did you read that document I asked you to look at?24AYes, I did.25Did that refresh your recollection to the question ILaurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassPage 12171was asking you?2AYes.3Can you please share with us that recollection?4APrior to the election, if a negative story was coming56always concerned about--789101112with respect to if the--out with respect to Donald Trump and we spoke about it, he washe was concerned about MelaniaMelania Trump, he was concerned about Ivanka, he was concernedabout what the family might hear or say about it. Not sayingwhether it was true or not.After the campaign, and when I was in his office and wewere discussing this, he was concerned on the doorman storyif the story came out, which wasn't13true, about him having an illegitimate child--and I didn't14hear or discuss that it washe was concerned that what would15Melania say,or what would Ivanka say, what his family would16say.17181920It was, basically, what would be the impact be to thecampaign or election.Was that true for your conversations with Donald Trumpabout the Karen McDougal story, as well?--21AYes.222324After Mr. Trump announced his candidacy for President,did he ever say anything to you that indicated that he wasconcerned about what Melania Trump or Ivanka Trump would think25about these affairs?Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassPage 12181ANo.23How did you leave when you left Trump Tower that day;how did you leave it with Mr. Trump?4AAt the end of the meeting, Mr. Trump invited me--5he--he--he called Rhona and--and asked her to call me and6send me an invitation to the Inauguration event.7And then he alsoI asked him--I said, "Look, how do we8910communicate between each other?"So, he said that he was going to get a cell phone and acell number that he would give his friends, that we could use11that cell phone number, which never transpired.12And that's pretty much how we left that.13And did you--you said that he invited you to the14Inauguration?15AYes.1617ADid you go?No. I didn't go.18Why not?19AI didn't--I asked my wife, and she didn't want to20go. She just didn't want to attend.21And I decided that I didn't wantI decided not to22attend.2324THE COURT: Is this a good time to break?MR. STEINGLASS: Sure, Judge25THE COURT:Jurors, I'll remind you about theLaurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassPage 1219Please do not talk, either among yourselves or1admonitions2345сл10678910111213141516171819202122232425with anyone else, about anything related to the case.Please continue to keep an open mind.Do not form or express an opinion about thedefendant's guilt or innocence until all the evidence isin, I have given you my final instructions on the law, andI have directed you to begin your deliberations.Please do not request, accept, agree to accept,or discuss with any person any receipt or benefit inreturn for any information concerning the trial.Report directly to me any incident within yourknowledge involving an attempt by any person to improperlyinfluence you or any member of the jury.Do not visit or view any of the locationsdiscussed in the testimony.Do not use any program or electronic devices toview any place discussed in the testimony.the case.Do not view or read or listen to any account ofThat would include the reading or listening tothe reading of any transcripts of the trial or the readingof any posts on the court's site.Do not attempt to research any fact, issue or lawrelated to the case.Do not communicate about the case by any means,Laurie Eisenberg, CSR, RPRSenior Court Reporter

ProceedingsPage 122012345сл106including by telephone, text message, or internet.Do not look for any information about the lawinvolved in the case or the people involved in the case.I would like to start at 2:15.Enjoy your lunch.COURT OFFICER: All rise.(Whereupon, the jurors and the the alternatejurors are excused.)THE COURT: Please be seated.Thank you, sir.You can step down.(Whereupon, the witness is excused.)THE COURT: As we break for your lunch recess, Iask you to please give yourselves enough time so we canactually start up at 2:15.7891011121314151617181920session.)2122232425Thank you.(Whereupon, a luncheon recess is taken.)(Whereupon, the case is recalled in the afternoonTHE CLERK: Continuing case on trial. People v.Donald J. Trump.All parties are present.THE COURT: Good afternoon.MR. STEINGLASS: Good afternoon.Laurie Eisenberg, CSR, RPRSenior Court Reporter

1234510678910111213141516171819202122232425ProceedingsPage 1221THE COURT: I signed the Order to Show Cause.I am handing out two copies to each party.(Whereupon, documents are given to the parties bythe court officer.)MR. CONROY:Thank you, Judge.I am also going to hand Counsel a copy of theAffirmation and a copy of the thumb drive with the Fullervideo clips.THE COURT:Thank you.I also had a an opportunity to look, over thelunch break, at the case authority handed up and some ofthe articles handed up.My decision remains the same.MR. STEINGLASS: May I confirm, all of theexhibits that we introduced from 154 to 179 are inevidence, except for 169 and 172A?MR. BOVE: You might remember, Judge, that beforethe break, I said I had one more.MR. STEINGLASS:Right.171A we still have to talk about.THE COURT: You want to do it now?MR. BOVE: Yes.171A is another thread of text messages. Thisthread is between Mr. Howard and Gina Rodriguez, who, asyou've heard this morning, was one of the sources thatLaurie Eisenberg, CSR, RPRSenior Court Reporter

12345слProceedingsPage 1222Mr. Howard used as an intermediary for at least one of hisstories.So,our position here is that there aresubstantive factual assertions by Rodriguez in this textchain.There's not a foundation that she isparticipating in a conspiracy. She's just reportinginformation to Mr. Howard.Howard then, specifically in these messages,because of the substantive factual assertions being madeto him, he's not making statements in furtherance of aconspiracy by speaking to her.THE COURT: Do you have a copy that I could look1067891011121314at?1516171819202122232425MR. STEINGLASS: I think it was in the binderthat I handed up this morning.I can give you another copy.THE COURT: Yes. I'll take that.MR. STEINGLASS: No problem.(Whereupon, a document is shown to the Court.)MR. STEINGLASS:Whenever the Court is ready, Iwould like to be heard on that.THE COURT: Okay.MR. STEINGLASS:First of all, in response toCounsels' objections, we removed a portion of the exchangeLaurie Eisenberg, CSR, RPRSenior Court Reporter

ProceedingsPage 12231that post-dated the conspiracy; and so, we're only seeking2to admit the texts that go up through October of 2016.345слThese are, first off, admissible as a businessrecord, insofar as it was the regular course of AMI'sbusiness to purchase stories such as Ms. Daniels' story;and Howard conducted that business as part of the regularjob responsibilities and was under the business duty to doso truthfully.Again, even if the underlying content isn'tadmissible as a business record, the Court has determinedMr. Howard is a co-conspirator; and these are corestatements in furtherance of the conspiracy, insofar asthey involve discussions with Ms. Rodriguez involving theacquisition of the Stormy Daniels story.106789101112131415161718192021page.22232425I do agree with Mr. Bove, the factual statementscontained in Ms. Rodriguez's texts should not beconsidered for the truth, and her portion of theconversation should only be admitted to contextualizeMr. Howard's conversations with her.MR. BOVE: I think we're basically on the samethis one.Our point here is, admittedly, somewhat new onJudge, in exercising your discretion about what'sgoing to come in and how at this trial there is a tippingLaurie Eisenberg, CSR, RPRSenior Court Reporter

ProceedingsPage 12241point where there are factual assertions in these23documents that are being put in front of the jury, weappreciate the limiting instructions.4At some point, cumulatively, it becomes5сл10678910111213141516171819MR. STEINGLASS:cumulatively prejudicial.It becomes extremely hard during deliberationswhere the juror sorts through what is the truth, what isnot. They can sort through the exhibits.These texts messages, when you look at theassertions Ms. Rodriguez is making, these are very, verysubstantive and go directly to what's going on.And we're not going to have an opportunity tocross-examine her.That's why we think for these messages, in lightof that, they should not come in.They are, admittedly, her statements; are not infurtherance of the conspiracy; and, therefore, to offerthem not for their truth is unduly prejudicial to us.If you want me to say anything20more?21THE COURT:It's up to you.22MR. STEINGLASS:We don't think they're too232425prejudicial in any way, shape or form.This is core, the conspiracy being enacted inreal time in terms of this is the effort to buy up theLaurie Eisenberg, CSR, RPRSenior Court Reporter

ProceedingsPage 12251Stormy Daniels story, discussions about the Stormy Daniels2story. It is really a core part of the conspiracy.345сл10678910111213141516171819202122232425So, I think any possibility of prejudice can becured, as it has with several other documents, byinstructing the jury that any factual assertions in theRodriguez portions of those texts should not be consideredfor the truth, but only to contextualize Mr. Howard'sresponses.If there's one or two lines that are notnecessary to contextualize Ms. Rodriguez'sMr. Howard'scommunications, and Defense Counsel wants to bring thoseone or two lines to our attention, we can consider whetherit's appropriate to redact them.We are not looking to prove the truth of whatMs. Rodriguez is saying.However, what she's saying is semi-important interms of what AMI's motivation was in terms of buying upthat story and preventing it from being released.THE COURT: I'm looking at 15 pages of texts?MR. STEINGLASS: Yes. It is 15 pages of texts.I don't think it has to be resolved today,insofar as I don't think we're going to walk through thesetexts with Mr. Pecker.So, if Your Honor wants to take a look and see ifthere's specific offending texts that Your Honor feels areLaurie Eisenberg, CSR, RPRSenior Court Reporter

D. PeckerDirect/Steinglass12345сл1067891011Page 1226necessary to redact and/or other parties can do that, wecan take it from there and have a summary witness look atthese.THE COURT: Yes. I appreciate that.I would like to have some time to look at thesemore closely.MR. STEINGLASS: Thank you.Any chance I can have that binder back, and I'llgive you that one?THE COURT: All right.We can get the witness, please.COURT OFFICER: Witness entering.(Whereupon, the witness, David Pecker, havingbeen previously duly sworn and/or affirmed resumes thewitness stand and testifies as follows:)THE COURT: Good afternoon, Mr. Pecker. You'restill under oath, sir.COURT OFFICER: All rise. Jury entering.1213141516171819202122232425BY BY MR. STEINGLASS:(Whereupon, the jurors and the alternate jurorsare present and properly seated.)THE CLERK: Continuing case on trial, People v.Donald J. Trump.All parties and all jurors are present.CONTINUED DIRECT EXAMINATIONLaurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/Steinglass1Good afternoon, Mr. Pecker.2AGood afternoon.Page 1227345When we broke before lunch, we just finished talkingabout a meeting you had in Trump Tower on January 6, 2017; doyou remember that?6AYes, I do.7Q8Directing your attention to July of that same year,2017, did there come a time when you visited the White House?9AYes, I did.10How did that come about?11AI received a call from PresidentPresident Trump's12131415161718A1920212223I think it wasoffice from his assistant, MadeleineWhitehout (phonetic) [sic]. I can't remember her last name.And she said, "The President is on the phone."Mr. Trump called and invited me to the White House fordinner.Did he say why?He said it was a thank you dinner, and he invitedmyself and my wife.And what did you say?A I said that, "I'll speak to my wife and I'll get rightback to you."And did you do that?--24AI did.25And my wife didn't want to go to Washington.Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassPage 12281And I called back Mr. Trump and explained to him.23"4And he said, "Look. Business friends, business associates.It's your dinner.'"Your dinner" meaning?5слAMy thank you dinner.106So, who did you bring--did you go?7AYes. Yes.8Who did you bring?9A1011I brought all business associates.You don't have to tell us everybody you brought.But, among the people you brought, did it include Dylan12Howard?13AYes.14Did it include David Brodsky?15AYes, it did.1617Do you remember who you coordinated the logistics ofyour visit with?18AI coordinatedwe coordinate everything through19Madeleine at the White House.20So, what happened when you went?21AWhen we arrived at the White House, I was takenwe22were all taken to the Oval Office.23And in the Oval Office, Jared Kushner was there, Sean24Spicer was there.25And each of the people that I brought to the White HouseLaurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassPage 122912was able to take a photo with Mr. Trump in the Oval Office.Did the subject of Karen McDougal come up at all?3A4him in a walk from the Oval Office to theAt the time to have dinner, Mr. Trump asked me to jointo the dining――5area. We passed the Rose Garden.678910And as we walked out, President Trump asked me, "How is""How is Karen doing?" He said, "How's Karen doing?"So, I said, "She's doing well. She's quiet. Everything isgoing good."And who do you understand "Karen" to be a reference11to?12A"Karen" was Karen McDougal.1314Now, you mentioned that you and Dylan Howard posed forphotos in the White House that day?15AYes, we did.1617181920I'm showing you and the jury what's in evidence asPeople's 179.And I just want to ask you if you recognize this series ofdocuments. You can scroll through a little bit, if you want.(Whereupon, exhibits are shown on the screens.)21AYes.2223And are these a series of texts between Dylan Howardand Keith Davidson, produced in response to a subpoena served24on AMI?25AYes, it was.Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. PeckerDirect/SteinglassPage 1230And does the exhibit include separate photos ofyourself and Dylan Howard in the White House?123A(No response).4Do you need to see?5слAI haven't seen these.1067Let me show you Page 4 of this exhibit.(Whereupon, an exhibit is shown on the screens.)8AYes. I see a photo of Dylan Howard.9So, the personyou recognize the person depicted in1011Athat photo?Yes. That's Dylan Howard.12Okay.1314A151617181920Do you know where that photo was taken?that was.It was in the White House. I don't know which roomAll right.Let me show you Page 3 of this exhibitthis photo?(Whereupon, an exhibit is shown on the screens.)and ask you if you recognize the people depicted in21AYes.222324That's myself and President Trump. We were walking to thedinner.And is this when you had the conversation about Karen?25AYes.Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. PeckerDirect/Steinglass1Q2exhibit.34Page 1231And I want to, finally, direct you to Page 2 of this(Whereupon, an exhibit is shown on the screens.)And I'm going to ask you, is this a text between Dylan5 Howard and Keith Davidson?106AYes, it is.7What is the body of the text?8A Dylan telling Keith howI guess, how the dinner9went last night.10What day was that text sent?11AUm, July 12th.12So, does that mean that the dinner was on July 11th of132017?14AYes.15Thank you.16MR. STEINGLASS:171819Thank you.You can take that down.Directing your attention to August 11th of 2017, didyou meet with Karen McDougal, personally?20AYes, I did.21Where was that?22A2324A25It was at a restaurant in New York called Il Postino.Who else was present at this lunch at Il Postino?Keith Davidson and Dylan Howard. And Karen McDougal.How did this meeting come about?Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. PeckerDirect/SteinglassPage 12321ADylan came to my office and said that he spoke to2Keith Davidson, and Keith thought that it would be a good idea3that if I had a lunch with Karen McDougal, they would like to4come to New York for a meeting, see the offices of American5Media.678AWhen we had lunch--91011What was the purpose of the lunch?Let me ask you this. What was discussed at the lunch?when I had lunch with Karen, shetalked about the articles that she was preparing with the ghostwriters. She was a little bit upset because Dylan Howard had tochange some of the ghost writers because they weren't working12well with Karen.1314and launching a--a--15161718because everything was taking1920And, she talked about her idea and concept of going forwardsome beauty products that we talkedabout, originally, that she brought up in the originalagreement.Then she, subsequently, said that she wasn't pleasedwere taking a while, she hasn't been, umthe articlestrained for mediatraining, because she wanted to be that anchor on the redeverything--21carpet for Radarfor the Radar digital site.22232425So, she was stating what she would like to get done.From my standpoint, the purpose of the meeting was to makesure that we were complying to her agreement and that she wascomfortable with what we committed to her on what we were goingLaurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassPage 123312to provide.Why did you want her to believe that?3AI wanted her to remain within our4family; I shouldsay, whereby she was comfortable that we were complying with--5what we promised her in the original agreement and that she6was7--she would not go out and speak to the press. After whathappened after The Washington after The Wall Street Journal891011article and all the press that came out of that. So, I wantedto see how comfortable she was.2008.So, now, I want to direct your attention to January of1213You just reminded us about the article that came out aboutKaren McDougal in The Wall Street Journal in on November 4th--14of 2016.15Did another article come out in The Wall Street Journal in16January of 2018, in which the press publicly reported that17Michael Cohen paid Stormy Daniels not to discuss her sexualrelationship with Mr. Trump?1819AYes.20Do you remember when that was?21A(No response).2223A2425What date it was?I thought it was either early January..All right.Let me show you, privately, People's Exhibit 181.Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassPage 12341(Whereupon, an exhibit is shown to the witness on2his screen.)3Do you see it?4AYes, I do.5слIs this the article that revealed that Michael Cohenhad paid Stormy Daniels to keep quiet about her affair with67Donald Trump?8AYes, it is.9MR.11121314151610STEINGLASS: I offer it into evidence.MR. BOVE: No objection, subject to a limitinginstruction.THE COURT: It's accepted into evidence. Again,subject to the same instructions I've given you before.It's being offered not for the truth of thematter asserted, but just to demonstrate that it was, infact, printed on that date.17MR. STEINGLASS: Now we can display it to1819202122A23everybody, please.(Whereupon, an exhibit is shown on the screens.)Let me just ask you, Mr. Pecker, what was the date ofthis article?January 12, 2018.What outfit published it?24AThis was--this was published by theThe Wall25Street Journal.Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. PeckerDirect/SteinglassPage 12351QNow,once again, did AMI issue a press release234withdrawn.Directing your attention now to March of 2018, did you cometo learn that Karen McDougal was interviewed by Anderson5Cooper?6AYes.7Do you recall when that interview took place?8AI thought it--it was in March of 2018. I remember9the middle of March. March 18th?10Somewhere around there?11A12Somewhere around that area.Did you watch it when it aired?13AYes, I did.14Did Mr. Trump contact you in connection with151617Ms. McDougal's appearance on Anderson Cooper?A The following day, I received a call from Mr. Trump.Can you tell the jury about that call?18AYes.1920Donald called, and he said to me, he says he said, "Didyou see the interview last night with Anderson Cooper and21Stormy Daniels?"22I said, "Yes."23He said--2425Before you go on, right now I'm just asking you aboutthe airing of the Anderson Cooper interview with KarenLaurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassWe'll get to the Stormy Daniels' interview later.1McDougal.23AOh.45слSo, my question is, did Mr. Trump call you inconnection with Karen McDougal's appearance?Page 12369101112106AYes, he did.78ANow, please, tell us what he told you about that.So, Mr. Trump said when he called me that, he said,"Did you see the Anderson Cooper interview with KarenMcDougal?"I said, "Yes."He said, "I thought you had and we had an agreement with13Karen McDougal that she can't give any interviews or--or be14on any television shows."15"161718192021So, I said, "Yes.' I said, "We have an agreement, but Iamended it to allow her to speak to the press.SO,Mr. Trump got very aggravated when he heard that Iamended it, and he couldn't understand why.I said, "Karen has a two-year agreement. She was floodedwith requests from the press for interviews. And I amended heragreement at that time.""22He said, "Well, then you paid her?"23I said, "Yes, I paid her, and I amended the agreement."24So, he with was very upset. He couldn't understand why I25did it.Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassPage 12371And that was, basically, the conversation.23When you said "he was very upset", "he couldn't"believe that you "did it", who is the "he" you're referring to?4A"He", referring to Donald Trump.56Did there come a time after that when you spoke withMr. Trump and other members of his White House staff?7AYes.89When in relation to the call that you had withMr. Trump alone?10AI--it was right after the call that I had with11121314AMr. Trump.And who else was part of that call, besides yourselfand Mr. Trump?Hope Hicks. And Sanders.15Okay.16Can you tell the jury about that call a bit?17AWell--on that call, what I was planning to doand1819202122232425I mentioned it on the previous call to Mr. Trump, that I wasgoing to extend Karen McDougal's contract. It was for sixmonths. The contract was up. And I felt that from that lastlunch that I had with her, that we had fulfilled some of theobligations that she was looking for, specifically her beautyproducts and media training. So, I was gonna send a contract.He thought that wason our original conversation, hethought that that was also a bad idea.Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassPage 123812back, and Hope Hicks and Huckabee3So, when I received the second call, when I got the callSanders Huckabee, when shewas on the call, I explained to them, to the two of them,4that--why I was going to extend her agreement.5786And both of them said that they thought that it was a goodidea.What was the reason that you gave for why you wantedto extend Karen McDougal's contract?9AI wanted to extend her contract so she would not go1011121314A1516171819202122out and give any further interviews or talk to the press or saynegative comments about American Media or about Mr. Trump.Now, you said when you had your individualconversation with Mr. Trump, he was skeptical of that?Yes.How about when you explained the reason that youwanted to extend her contract to Mr. Trump, Ms. Hicks andMs. Sanders; how did Mr. Trump react to the new plan, or howdid he react to that plan during that second conversation?A He said, "It's your business. You do whatever you planon doing."Directing your attention to March of 2018, did therecome a time when Ms. McDougal filed a lawsuit against AMI?23AYes, she did.24Briefly, what was the nature of that lawsuit?25AThe lawsuit was--was, basically, for one reason. SheLaurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassPage 12391wanted"she" being Karen McDougalwanted to get back her23• lifetime rights.So, she wanted out of the Non-Disclosure Agreement?4AThat's correct.560AHow was that lawsuit, ultimately, resolved?We settled, and I returned her lifetime rights back to789Karen.Did you ever communicate with Michael Cohen about thelawsuit while it was pending?10AYes, I did.1112A131415161718And did you tell him what you were planning to do?I did.And he thought that was a very bad idea. He couldn'tunderstand why I would agree to anything like that.And I told him that she's very upset, I'm not going tocontinue on with the potential litigation, and I'm just gonnagive her back her rights.Is that what you did?19AYes.20Now,a few days after Ms. McDougal's appearance on2122Anderson Cooper, did you also come to learn that Stormy Danielswas interviewed by Anderson Cooper?23AYes.24And did you watch that broadcast when it aired?25AI did.Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/Steinglass1Page 1240QDid Mr. Trump contact you in connection with2Ms. Daniels' appearance on Anderson Cooper?3AYes, he did.4Can you describe for the jury how that conversation5went?6AWhen Mr. Trump called me, he said to me the same. He7asked me if I saw the Stormy Daniels interview with Anderson8Cooper.910I said, "Yes, I did."He said that, "We have an agreement with Stormy Danielsthat she cannot mention my name or do anything like this. Andeach time she breaches the agreement, it's $1 million penalty.And based on the interview with Anderson Cooper, Stormy Danielsowes Donald Trump $24 million."111213141516A1718That's what Donald Trump told you?That's what he told me.Directing your attention to early 2018, do youremember receiving a letter from the Federal Election19 Commission around that time?20AYes, I do.21Did you speak with Michael Cohen after receiving the22letter?23AYes.24Can you describe that conversation for us?25AWhen I received the letter from the Federal ElectionLaurie Eisenberg, CSR, RPRSenior Court Reporter

12345D. Pecker Direct/SteinglassPage 1241Commission, the FEC, I called up Michael Cohen immediately.And he--and I asked him, I said, "Michael," I said, "Ijust received this letter."So, he――so, Michael Cohen said, "So did I."6078I said, "What are you gonna do about that?"He said, "I'm gonna respond and I'm gonna send them aletter."I said, "I'm very worried."9And Michael Cohen says to me, "Why are you worried?"10111213I said, "What do you mean?"He says,Trump has him in his pocket."I said, "I'm very worried.""Jeff Sessions is the Attorney General, and Donald14Directing your attention to September 21, 2018, were1516you aware that AMI entered into a Non-Prosecution Agreement anda Statement of Facts with the Southern District of New York?17AYes.1819And is the Southern District of New York, is it yourunderstanding that those are federal prosecutors?20AYes. I understand that.2122Were you still CEO of AMI at the time that agreementwas executed?23AYes, I was.24What is your understanding of that Non-Prosecution25 Agreement?Laurie Eisenberg, CSR, RPRSenior Court Reporter

1234сл51067861011121314151617181920212223242525D. Pecker Direct/SteinglassA We admitted to a campaign violation.And--Page 1242MR. BOVE:Objection.Move to strike.THE COURT: Overruled.Please approach.(Whereupon, the following proceedings were heldat sidebar:)THE COURT:What's the objection?MR. BOVE: I may have misheard.I thought I may have heard he admitted to aelection violation.THE COURT: Can you read that back?(Whereupon, the requested portion was read backby the court reporter.)MR. BOVE: I think that's a mischaracterizationof the agreement.We understand the agreement is coming in with alimited instruction.We don't think there should be testimony aboutwhat he did there.THE COURT: The agreement is coming in?MR. BOVE: Yes. We're not going to object.It's coming in subject to the limitinginstructions.Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/Steinglass12345сл10678Page 1243THE COURT: When would you like the limitinginstructions?MR. BOVE: When it's admitted, please.MR. STEINGLASS: I actually do think that's afair characterization of it.In any event, to the extent that the operation ofthe witness' mind differs from the agreement, theagreement will be in, and everything will be cleared up.That's how I read the agreement, is that theyadmitted to a campaign finance violation.(Whereupon, the following proceedings were heldin open court:)(Whereupon, the following proceedings were heldin open court:)THE COURT: The objection is overruled.910111213141516171819AYes.20And asa result of that, would AMI not be criminally21prosecuted for campaign finance violations?22AThat is correct.In addition to that, did this agreement impose arequirement on AMI and its representatives to cooperate andgive truthful testimony and information?23As part of that agreement, did AMI make severaladmissions, including in Statements of Facts?2425AYes, they did.Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. PeckerDirect/SteinglassPage 12441Q As CEO at the time, did you review that Statement of23Facts before anyone from AMI signed the Non-ProsecutionAgreement?4AYes, I did.5сл10678910MR. STEINGLASS: I would like to show thewitness, privately, what's been marked for identificationas People's Exhibit 182.screen. .)(Whereupon, an exhibit is shown on the witness'Do you have that in front of you?11AYes, I do.12I'm going to ask you, do you recognize that exhibit?13AYes.14151617Is that an exact copy of the Non-Prosecution Agreementthat AMI entered into with the Southern District of New York,along with the Statement of Admitted Facts that's attached tothe Agreement?18AYes,it is.1920MR. STEINGLASS: I offer it into evidence.MR. BOVE: No objection.21THE COURT:Would you like the instruction at22this time?23MR. BOVE:Yes, Your Honor.2425Thank you.THE COURT: Jurors, we have just heard testimonyLaurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassPage 12451that while David Pecker was an executive at AMI, AMI2345сл10678910111213141516171819202122232425entered into a Non-Prosecution Agreement with federalprosecutors, as well as a Conciliation Agreement with theFederal Election Commission.That evidence was permitted to assist you, thejury, in assessing David Pecker's credibility and to helpprovide context for some of those surrounding events.You may consider that testimony for thosepurposes only.Neither the Non-Prosecution Agreement, nor theConciliation Agreement is evidence of the Defendant'sguilt, and you may not consider them in determiningwhether the Defendant is guilty or not guilty of thecharged crimes.MR. BOVE: Thank you, Judge.(Whereupon, the exhibit is received in evidence.)MR. STEINGLASS: Now we can display that toeveryone, please.(Whereupon, the exhibit is shown on the screens.)I'm going to ask you, Mr. Pecker, what is the date ofthis Non-Prosecution Agreement?ASeptember 20, 2018.Okay.I am going to ask you to walk us through portions of it.I apologize in advance.Laurie Eisenberg, CSR, RPRSenior Court Reporter

1234D. PeckerDirect/SteinglassPage 1246MR. STEINGLASS: Can we please blow up Page 1,Paragraph 1?Can you read that, or would you rather have me read itand tell me if I get it right? That's up to you.5AYou want me to read the entire paragraph?6Whichever you prefer.7ASure.8910111213141516171819"Based on the cooperation and implementation of remedialmeasures described below, and strictly subject to the terms,conditions and understandings set forth herein, the Office ofthe United States Attorney for the Southern District of NewYork will not criminally prosecute American Media for anycrimes, except for criminal tax violations, if any, as to whichthis Office cannot and does not make any agreement,' closedparen, "related to its participation, between in or aboutAugust 2015 up to and including in or about October 2016, inmaking a contribution and expenditure, aggregating $25,000 andmore during the 2016 calendar year, to the campaign of acandidate for President of the United States. This conduct is"described more fully in the Statement of Facts, which is"202122232425THE COURT: You may have missed a line. After"President of the United States" comma.THE WITNESS: Oh."President of the United States," comma, "to theextent AMI has disclosed such participation to this OfficeLaurie Eisenberg, CSR, RPRSenior Court Reporter

D. PeckerDirect/SteinglassPage 124712as of the date of this agreement." Period. "This conductis described more fully in the Statement of Facts, which34510678is attached hereto as Exhibit A, and incorporated byreference herein. AMI accepts and acknowledges as true thefacts set forth in the Statement of Facts. Counsel for AMIhereby represents and warrants that the Board of Directorshas authorized counsel to enter into this agreement.'I'm sorry to ask you such a silly question, but whodid you understand the candidate for President of the UnitedStates in this paragraph to be referring to?91011ADonald Trump.1213141516171819202122232425(Whereupon, Senior Court Reporter LaurieEisenberg is relieved by Senior Court Reporter LisaKramsky, and the transcript continues on the followingpage.)Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker Direct/SteinglassPage 12481(The following proceedings are continued from the2previous page.)345CONTINUED DIRECT EXAMINATIONBY MR. STEINGLASS:6Okay. I'm now going to skip to the statement of78admitted facts, which is on Page 4.It starts on Page 4, and I'm going to ask you to walk usthrough some of these paragraphs, please, most of theseparagraphs, actually, starting with Paragraph 2.91011Go ahead.12ATo read the13QJust read it.14AJust read it.1516171819202122"As set forth in more detail below, on or about August 10,2016, AMI made a payment in the amount of $150,000 incooperation, consultation and concert with and at the requestand suggestion of one or more members or agents of a candidate's2016 presidential campaign to ensure that a woman did notpublicize damaging allegations about that candidate before the2016 presidential election and thereby influence that election."And, once again, is that candidate Donald Trump?23AYes.2425Okay. Paragraph 3, please.(Displayed.)Lisa Kramsky,Senior Court Reporter

1D. Pecker Direct/SteinglassPage 12492A34567891011"In or about August 2015, David Pecker, the Chairmanand Chief Executive Officer of AMI, met with Michael Cohen, anattorney for a presidential candidate, and at least one othermember of the campaign.""At the meeting, Pecker offered to help deal with negativestories about that presidential candidate's relationships withwomen by, among other things, assisting the campaign byidentifying such stories so they could be purchased and theirpublication avoided.""Pecker agreed to keep Cohen apprised of any such negative12stories.'"1314Paragraph 4.(Displayed.)1516Q I'm sorry.Before you read Paragraph 4, did you171819understand Paragraph 3 to be a reference to that August 2015meeting that you described several times at Trump Towerinvolving yourself, Mr. Cohen and Mr. Trump?20AThat's correct.2122232425Okay. I'm sorry.Paragraph 4.A "In or about June 2016, an attorney representing amodel and actress attempting to sell her story of her allegedextramarital affair with the aforementioned presidentialLisa Kramsky,Senior Court Reporter

D. Pecker Direct/Steinglass"Pecker and the editor called Cohen and informed him of thestory.""At Cohen's urging and subject to Cohen's promise that AMIwould be reimbursed, the editor began negotiating for thePage 12501candidate, contacted an editor of the National Enquirer."23456789101112purchase of the story.""On June 20th, 2016, the editor interviewed the model abouther story.""Following the interview, AMI communicated to Cohen that itwould acquire the story to prevent its publication."And who did you understand that model, when thatparagraph refers to a model, who did you understand that to be a13 reference to?A Karen McDougal.Thank you.Paragraph 5, please.(Displayed.)141516171819A2021222324"On or about August 5th, 2016, AMI entered into anagreement with the model to acquire her limited life rights tothe story of her relationship with any then-married man, inexchange for $150,000.""It was also agreed that AMI would feature her on twomagazine covers and could publish over 100 magazine articles25 authorized by her."Lisa Kramsky,Senior Court Reporter

D. Pecker Direct/Steinglass123"AMI agreed to pay the model $150,000Page 1251substantially moremoney than AMI otherwise would have paid to acquire the storybecause of Cohen's assurances to Pecker that AMI would4 ultimately be reimbursed for the payment."56789"Despite the cover and article features to the agreement,--AMI's principle purpose in entering into the agreement was tosuppress the model's story so as to prevent it from influencingthe election.""At no time during the negotiation for or acquisition of themodel's story did AMI intend to publish the story or disseminateinformation about it publicly."On or about August 10th, 2016, AMI sent $150,000 to anattorney representing the model."1011121314151617A"Between in or about late August 2016 andOkay. Paragraph 6, please.(Displayed.)18September 2016, Cohen called Pecker and stated that he wanted tobe assigned to the limited life rights portion of AMI'Sagreement with the model, which included the requirement thatthe model not otherwise disclose her story."19202122232425AMI.""Pecker agreed to assign the rights to Cohen for $125,000.""Pecker instructed a consultant who works for AMI tocomplete the assignment through a company unaffiliated withLisa Kramsky,Senior Court Reporter

123456789D. Pecker Direct/SteinglassPage 1252"On September 30th, 2016, Pecker signed"Let me just stop you for one second. That consultant,who is that?AThat is Daniel Rotstein.Okay. Keep going.A "On September 30th, 2016, Pecker signed an AssignmentAgreement, which contemplated the transfer of the limited liferights portion of AMI's agreement to an entity that had been setup by Cohen for $125,000."1011121314"The consultant delivered the signed Assignment Agreement toCohen, along with an invoice from a shell corporationincorporated by the consultant for the payment of $125,000,which falsely stated the payment was for an 'agreed upon'fee' for advisory services."'flat15161718192021A222324"However, in or about early October 2016, after theAssignment Agreement was signed, but before Cohen had paid the$125,000, Pecker contacted Cohen and told him that the deal wasoff and that Cohen should tear up the Assignment Agreement."And Paragraph 7.(Displayed.)"Following the 2016 presidential election, AMIpublished articles written by the model in OK! Magazine andStar Magazine, featured on the cover of Muscle and Fitness,Hers, and published articles in Radar Online featuring the25 model."Lisa Kramsky,Senior Court Reporter

12345сл106D. PeckerDirect/SteinglassPage 1253"The publication of these articles was intended, at least inpart, to keep the model from commenting publicly about her storyand her agreement with AMI.'"Paragraph 8, please.(Displayed.)789AAt all relevant times, AMI knew that corporations suchas AMI are subject to Federal Campaign Finance Laws, and thatexpenditures by corporations, made for purposes of influencingan election and in coordination with or at the request of acandidate or campaign are unlawful.""At no time did AMI report to the Federal ElectionCommission that it had made the $150,000 payment to the model."And, lastly, Paragraph 9, please.1011121314151617A1819202122(Displayed.)232425"AMI has cooperated with the United States Attorney'sOffice for the Southern District of New York and the FederalBureau of Investigation during its investigation and providedsubstantial and important assistance to the investigating agentsand prosecutors during the course of the Grand Juryinvestigation in the Southern District of New York.""Among other things, AMI has made various personnel from AMIavailable for numerous interviews, engaged outside counsel toensure the integrity of its compliance with and responses toLisa Kramsky,Senior Court Reporter

D. Pecker Direct/Steinglass67812345Page 1254subpoenas, and responded to numerous requests from Prosecutorsfor various specific items of information."AMI has also agreed in connection with the Non-ProsecutionAgreement to implement specific improvements to its internalcompliance to prevent future violations of the Federal CampaignFinance Laws."Thank you. NowMR. STEINGLASS: You can take that down. Thank9you.101112Oh, actually, I'm sorry, I jumped the gun.I was just going to ask youMR. STEINGLASS:If we can go back to Page 3.13(Displayed.)1415Q16Can you tell us who signed the Non-ProsecutionAgreement that had the statement of admitted facts appended to17it?18Who signed the Non-Prosecution Agreement on behalf of AMI?19AEric Klee, who was the general counsel of American20Media.21At the time?22AAt the time.23And what was the date that the Non-Prosecution24 Agreement was signed?25ASeptember 21st, 2018.Lisa Kramsky,Senior Court Reporter

D. Pecker Direct/Steinglass1Was it also signed by AMI's attorneys?2AYes.3Outside attorneys?4AYes, outside attorneys.5слThank you for correcting me.106AOkay.7Page 125589Thank you.MR. STEINGLASS: Now we can take it down. Sorry.Did there also come a time when you agreed to cooperatewith an investigation being conducted by the New York CountyDistrict Attorney's Office?101112AYes.1314As part of that agreement, did you, your lawyer, AMI'Slawyer and a representative from the District Attorney's Officesign a Cooperation Letter?151617AYes.I am now showing you privately what has been marked for18identification as People's Exhibit 183.19(Displayed only for the witness.)2021Do you recognize that?22AYes, I do.2324And is that an exact copy of the Agreement you enteredinto with the New York County District Attorney's Office prior25to assisting with their investigation?Lisa Kramsky,Senior Court Reporter

D. Pecker Direct/Steinglass1AYes, it is.2345слPage 1256MR. STEINGLASS:I offer it into evidence.MR. BOVE: No objection.THE COURT: I accept it into evidence.MR. STEINGLASS:Thank you, your Honor.(So marked in evidence.)106789MR. STEINGLASS: We can now display it toeverybody.10(Displayed.)11*121314A1516And I'm just going to ask you: What was the date ofthis agreement?October 25th, 2019.Do you know what, rather let me just ask you aboutsome portions of the agreement rather than have you read the17whole thing.18MR. STEINGLASS:Can we look at the bottom of1920Page 1 and the top of Page 2, maybe.(Displayed.)2122MR. STEINGLASS:Perfect.Thank you.23Can you read that portion of the agreement.24AYes.25"David Pecker has agreed to speak with DANY on October 25th,Lisa Kramsky,Senior Court Reporter

D. Pecker Direct/SteinglassPage 125712"One.32019, regarding his knowledge of:"Meetings with Donald J. Trump, Michael Cohen, andother employees of the Trump Organization concerning Donald J.4"Trump;5"Two.Transactions between American Media and Karen6McDougal;"7"Three.Transactions between American Media and Michael8Cohen;"9"Four.Transactions between Michael Cohen and Stephanie10Clifford."1112"And, five, any information relevant to the background andcontext of the above subjects."13Okay. Thank you.1415I'm going to skip to the bottom of Page 2 and the top ofPage 3.16(Displayed.)171819MR. STEINGLASS:Can you read that part, please?Thank you.20A"Examples of materially false or incompetent212223information or testimony include, but are not limited to thefollowing:"Can I just stop you for a second before you answer24that.25Was it your understanding that you were obligated to tellLisa Kramsky,Senior Court Reporter

D. Pecker Direct/SteinglassPage 12581the truth or you could face perjury charges?2AYes, I do.34And does this portion that you are about to read giveyou examples of what would be considered not being truthful?5AYes.6I'm sorry.7A8Now you can go back and read them."One. Withholding the name of a person involved incriminal activity;"9"Two.Identifying as a participant a person who is not1011121314151617181920A2122involved in criminal activity.""Three.activity."Transposing the roles of participants in criminal"Four. Knowingly giving incorrect or misleading informationabout his participation or the participation of others incriminal activity.""Five. Misrepresenting the source of his knowledge."And, Mr. Pecker, was it your understanding that if youdid any of these five things, you would be breaching youragreement with the New York County District Attorney's office?Yes, I understand that.And as part of your agreement, were you also requiredto attend meetings as requested?2324AYes.And was AMI obligated to furnish non-privileged25 documents and records?Lisa Kramsky,Senior Court Reporter

D. Pecker Direct/Steinglass1AYes, they were.2345Page 1259And, do you remember, as you sit here today, what theobligations of the New York County District Attorney's Officewere in connection with this agreement?AI'm not--106Well, let me ask you--7AYeah.89A1011121314You just told us what you have to do.Yes.Okay. What did we have to do? What did the DistrictAttorney's office have to do?A Well, the District Attorney's Office had to do theentire investigation and interview me as well as others, I'massuming.15And maybe you could read these couple of paragraphs1617181920212223from Page 2, just to be perfectly clear for the jury.AOkay. "DANY agrees to recognize and treat David Peckerand the American Media as immunized on the subjects of DavidPecker's statements made to the Office during theabove-referenced October 25th, 2019 meeting and any subsequentmeeting as to which the parties agree in writing, emailsufficing, that the terms of this agreement apply.""David Pecker has also agreed that, if asked, he will24 testify in the Grand Jury regarding his knowledge of the above25 subjects."Lisa Kramsky,Senior Court Reporter

D. Pecker Direct/Steinglass12345Page 1260"If David Pecker testifies in the Grand Jury concerning theabove subjects, DANY will not request that he waive immunitypursuant to Section 190.45 of the Criminal Procedure Law, and hewill thus be immunized from prosecution on the subjects of histestimony."1067891011Now, did you understand--withdrawn.You testified, I think on Monday, that you are representedby counsel in connection with this case?AYes.Did you understand that any witness who testifies inthe Grand Jury is given automatic immunity unless they waiveimmunity?1213AYes.14151617Did you understand this paragraph to mean that DANY orthe District Attorney of New York would not require you towaive, and would not require you to waive immunity when youtestified before the Grand Jury?18AYes, I understand that.19And did you,in fact, testify before the Grand Jury?20AI did.2122And were you given immunity as a result of thattestimony?23AI was.2425And directing your attention to the paragraph abovethat, did you understand that paragraph to mean that even thoughLisa Kramsky,Senior Court Reporter

D. PeckerDirect/SteinglassPage 1261you hadn't yet testified, what you were saying would be12treated34--you would basically be getting immunity for what youwere saying in terms of the pre-Grand Jury interviews?AYes, I understood that.51067A89Did you sign similar Letters in connection withsubsequent meetings with members of the DA's Office?I did.Directing your attention now to MayMR. STEINGLASS: We can take that down. Thank10you.111213Directing your attention to May of 2021. Did AMI enterin a Conciliation Agreement with the Federal ElectionCommission?14AYes, they did.15And did someone sign that agreement on behalf of AMI?16AYes.17Do you remember who?18AJeff Pascoe, who is the current general counsel.19And as part of that Agreement, did AMI agree, quote,202122"not to the contest that AMI's payment to Karen McDougal topurchase a limited life story, right, combined with its decisionnot to publish the story in consultation with an agent of Donald23J. Trump and for the purpose of influencing the election,24constituted a prohibited corporate in-kind contribution in25 violation of 552 USC Section 30118 (a)?"Lisa Kramsky,Senior Court Reporter

D. PeckerDirect/SteinglassPage 1262Did you read that Conciliation Agreement at the time?1AYes.23AI did.45106prohibit?AAnd what did you understand 52 USC Section 30118 (a) to(Pause.)Do you want me to re-ask that question again?78AYes, please.9I think that you just testified that youlet me ask101112you the question.What did you understand 52 USC Section 30118 (a) toprohibit?13AIt's my understanding that we--that I left the141516171819company in August of in August of '20, so this happened postmy leaving.And the Board of Directors of the company agreed to thisagreement.And it was my understanding that they paid a fine, I thinkit was $180,000.20And that was my understanding ofwhat I remember.212223Q So my question to you is: Did you have anunderstanding at the time that AMI was entering into thisConciliation Agreement?24AYes, I did.25And did you understand what AMI was agreeing not toLisa Kramsky,Senior Court Reporter

D. Pecker Direct/SteinglassPage 12631what law AMI was agreeing not to contest having violated?234560AOh. It agreed thatthe campaign violation.Andwithdrawn.they agreed that they violatedDirecting your attention to April of 2018.Did you come to learn that the FBI had conducted searchwarrants at the home and office of Michael Cohen?78AYes.9How did you learn that?10AThe FBI came to my home on that same day and had a1112search warrant for my phone.And I subsequently received a call from Dylan Howard that he13received--that he had his phone also taken by search warrant1415from the FBI.And he mentioned to me that he also heard that Michael Cohen16had the samehad a--had his office or apartment at that17181920time, if I recollect, received a search warrant and took hisoffice equipment and telephone.MR. STEINGLASS: Just one moment, please.(Pause.)2122232425е The phone that the FBI seized on that day, your phone,is that the phone that you had been using to communicate viatext with Dylan Howard and Michael Cohen and other peoplerelevant to this case?Lisa Kramsky,Senior Court Reporter

1AYes.D. PeckerDirect/SteinglassPage 126423When was the last time that you saw or spoke to thedefendant, roughly?4AIt would――the last time we spoke was, I think,56January or February of 2019.And has he tried to reach out to you since then?7ANot directly.891011A121314151617I have friends who belong to Mar-a-Lago, and they run intoMr. Trump and he sends his regards.ADid you ever respond?No, I did not.Why not?I felt that with the investigation that was going on atthe same time, I thought that it would be inappropriate torespond or have any conversations at all with Mr. Trump.Mr. Pecker, as you sit here today, do you have any badfeelings or ill will towards the defendant?18ANot at all. To the contrary.192021222324As I talked about, I think it was on Monday, I felt thatDonald Trump was my mentor.He helped me throughout my career.And if I could just give one additional example: In 2001,after the 9/11 attack, my offices in Boca Raton, the AmericanMedia building, I had just renovated it, it took about a year to25 renovate it, and I just consolidated all of the tabloids in thisLisa Kramsky,Senior Court Reporter

D. Pecker Direct/SteinglassPage 1265231building.And in the first week or the second week of October of 2001,we received multiple Anthrax letters in white envelopes to the4various magazines.5One of the editors opened up the envelope, inhaled6weaponized Anthrax and then--and ended up dying not too long7after that.89101112131415161718And at the same time, within a matter of hours or within aday, the FBI took quarantine of the building because thebuilding was filled with Anthrax.I thenthatat that time, all of the content that Ithe tabloids had, photos, stories, was all quarantined and wehad to vacate the building, as I said.And I, basically, was in a very, very, difficult place froma business standpoint, a personal standpoint.And the first person who called me, asked if I needed help,was Donald Trump.And he was very helpful.19He gave mehe recommended an attorney.20He helped introduce me toat that time Sandy Weill was21222324the Chairman of the Travelers Insurance Company, who had theinsurance on the building, and helped tremendously in continuingon with my business.So I have no ill will at all.25And I still consider him a close--I still, even though weLisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 126612345haven't spoken, I still consider him a friend.I didn't hear that last part?AI said:Even though we haven't spoken and I haven't10678seen him, I still consider him a friend.Thank you very much, Mr. Pecker.MR. STEINGLASS: No further questions.THE COURT: Your witness.MR. BOVE: Thank you, Judge.9MR. STEINGLASS:Can we approach for one minute,10Judge?1112THE COURT: Yes.(At Side Bar.)13141516THE COURT: Yes?MR. STEINGLASS: We don't have any exhibitsfor this witness, if they are planning on using any on1718192021cross.And we would ask that we be provided them so thatwe don't have to delay every time they try to show anexhibit that we haven't seen yet.THE COURT: Is there anything that you need to turn22over?23MR. BOVE: I don't have anything that I intend on24offering.25I have exhibitsI have documents and exhibitsLisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 12671that I'm going to use to refresh his recollection, and if I2345слneed to lay a foundation on a document that may impeach himwith an inconsistent statement, but right now I don't intendon offering anything.MR. STEINGLASS: Which is fine, but if he's going106to show this witness documents--do you have copies of the7documents that you are going to show him for us?8MR. BOVE: Yes.9MR. STEINGLASS:Great. Perfect.That's all I10would ask for.111213MR. BOVE: Yes.MR. STEINGLASS: Thank you.(Side bar concluded.)14**1516THE COURT: You may inquire.MR. BOVE: Thank you, Judge.1718CROSS-EXAMINATION19BY MR. BOVE:20Mr. Pecker, my name is Emil Bove. And I represent21222324That's correct.25President Trump.Now, you testified that you were an executive at AMI fromabout '99 to 2020; right?AAnd, though, your title in that period wereLisa Kramsky,Senior Court Reporter

1 PresidentD. Pecker-Cross/BoveIt was Chairman, President and CEO.Chairman of the Board of Directors; correct?2A34AYes.5Page 1268106And as part of your work as a Chairman of the Board ofDirectors, you met with the other directors?7AYes.8You got to know them well; correct?9AYes.10And AMI also had investors; right?11AYes.121314That's correct.15And I think you said you owned 10 percent of AMI duringthis period?ADo you still have equity in AMI's successor?16AYes. But a lesser of an amount.1718And in this same time frame, while you were anexecutive at AMI, the investors were sophisticated people;19right?20ACorrect.21Experienced in business?22AYes.2324correct?And you had fiduciary obligation to those investors;25AI do.Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BoveAnd you know what that means; right?12AYes.345слAYes.Page 1269You basically had to look out for the investors'interests?106And that included making money for your investors?7AThat is correct.89And making money for yourself, right, as one of thoseinvestors?10AYes.1112A13AMI wasn't a charity?No, it was not.Not a nonprofit?14ANo.15161718That's correct.19And based on that fiduciary obligation, the whole timethat you were an executive there, you managed the company tomake money;Acorrect?And you have said before, I think, this was a business;20right?21AYes.2223 correct?Part of AMI's business model was to purchase stories;24AYes, it was.25And I think you've distinguished between AMI's modelLisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 12701and ABC's model earlier this morning; right?2AYes, I did.34And, on Tuesday, you referred to AMI's model ascheckbook journalism; correct?5AThat's correct.678And in connection with AMI's checkbook journalism,under your watch, you only published about half of the storiesthat you purchased; correct?9AI would say that's about right.And all of thosein all of those instances where AMI1011examined stories, it included Source Agreements; right?12AThat's correct.1314And in connection with those Agreements, you wouldpurchase the rights to a story?15AYes.1617And the Agreements typically required the source of theinformation not to disclose it to others?18AThat is correct.19And that's a basic non-disclosure tradition; right?20AYes, that's correct.2122And the thinking there is that the story is lessvaluable to AMI if the source discloses it to someone else;23correct?24A25Correct.And these Source Agreements gave you a measure ofLisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 1271control over the information that was going to be a part of the12story?3A45A60Yes, that's correct.Standard operating procedure; correct?Yes.They gave you control over how the information would bereleased; right?78AYes.9When it would be released, if at all; correct?10AYes.1112A1314And sometimes you would decide not to run the story?That is correct.And there were a lot of reasons that you made thosedecisions between '99 and 2020; correct?15AYes.16Can you give us some examples?17AWell,when we purchased a story, before we would1819One.publish it, is:We would want to make sure that a story is true or20not.212223So we would have to vet the story and have the editors goand check what the source is saying.Two. We would take the story, I'm using general terms, and24see if--and review it and make sure that if this is25something--if we're going to publish it, that the readers wantLisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 1272123to read about.And then, three, we might have the story and we don't thinkit's enough to publish and we would try to trade the story for a4better one.5And there were also some instances where the story got6 overtaken by current events; right?7AYes. That's correct.89There was something else hotter, so it didn't makesense to publish what you had the Source Agreement for; is that10right?11AThat's correct.1213And there were also instances where AMI purchased astory in order to use it as leverage against a celebrity;14correct?15AYes.16To use it as leverage, to use something like to get the17 celebrity to participate in an interview?18AThat's correct.19Or sometimes to get the celebrity to allow AMI to use20the celebrity's likeness?21AYes.222324And in those situations, where you purchased the storyto use as leverage, you had no intention of running the storyitself, right, that wasn't the point?25AThat's correct.Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 1273The point was to use it against the celebrity?And in all of the scenarios that we just talked about,your ability as an executive and leader at AMI was to controlthe release of the story was standard12AYes.3456AYes.789A101112A132020?Standard operating procedure at AMI between 1999 andYes.And, in fact, AMI had predecessors, right, it has beenaround for a long, long, time?85 years plus.And AMI has used hundreds of thousands of SourceAgreements in the ways that we just talked about; correct?1415AYes.1617Now, you've talked both on Tuesday and today aboutemployees at AMI who help you do those things; right?18AYes.19One of them is Dylan Howard?20AThat's correct.21And let's focus on 2015 to 2017?22AOkay.2324A25Mr. Howard was the Chief Content Officer at AMI?Correct.And he had some other titles in the subsidiaryLisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 12741publications; right?2AHe34Enquirer?I think it was Editor-in-Chief of the National5AYes.60And you also mentioned a man today named Daniel7Rotstein; right?8AYes.910A1112he wasAnd he worked at AMI prior to 2015; right?Correct.And in this period that I'm focused on, 2015 to 2017,a consultant;B correct?13AYes.1415Services?And he had a consulting company named Investor Advisory16AYes.17MR. BOVE: Can we take a look at People's 161 in18evidence.19(Displayed.)202122Q And this is an invoice that we talked about thismorning that Mr. Rotstein prepared; correct?23AThat is correct.2425And you used Mr. Rotstein to take care of large orsensitive payments on behalf of AMI; right?Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 1275And your purpose in doing that1AYes.2345MR. BOVE: We can show this publicly, I'm sorry,thank you.(Displayed.)1067Q8ASure.***Let me just step back a minute.610Q Now that everybody can see this, this is one of theinvoices that Mr. Rotstein prepared; right?11AThat's correct.12QAnd you saw it around the time that he prepared it;13correct?14AYes.15And so this is his company; right?16AThis is his company.171819And when you were at AMI during this period, 2015 to2017, you were using Mr. Rotstein to take care of large orsensitive payments on behalf of AMI; right?20AI did.2122And you did that because you were concerned aboutleaks; right?23AYes.24That's the purpose of using Mr. Rotstein?2525AYes.Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 12761Q23456You had had situations at AMI prior to 2015 whereinformation got to the employees and then those employees leakedit to the public and that was commercially damaging to AMI;correct?ACorrect.And so that's now why you were using Mr. Rotstein inthis period, 2015 to 2017?78AYes.91011MR. BOVE: We can take that down.Thank you.In late 2016, did you have a sense of what the averagepaid circulation of the National Enquirer was?121314151617181920212223AAround 350,000.And in that same timeframe, late 2016, as the electionwas approaching, you know that the circulation andsubscribership of the New York Times was many, many multiples ofthat; correct?AYes.And you had been indicating during this period, in thelead up to the election, that 70 percent of AMI's revenue camefrom newsstand sales%;B correct?AYes.And you believed that basically the rest of AMI'srevenue came from ad sales and subscriptions?2425AThat's correct.Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/Bove12And there was a bit of a science to the wayPage 1277that youwere running AMI and the National Enquirer in this timeframe;3right?4AYes.5This timeframe being 2016 and a lead up to the106election; correct?7AThat's correct.8のYou had researchers who calculated and assigned a scoreor a rating for potential stories; right?1011AYes.12And the purpose of having them do the research was tofigure out how to maximize profit for AMI; right?13AYes.14Getting back to the fiduciary duty that we talked15about.16AYes.17You actually participated in those meetings; correct?18AYes.192021In quantitative assessment of how AMI was going to makemoney based on stories was something that you were personallyinvolved in?22AYes, I was.23And focused on?24AYes.25And I think you said on Tuesday that by that time, theLisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 1278123Celebrity Apprenticethe research showed that President TrumpI was the top celebrity in terms of helping sell the NationalEnquirer?4AAbsolutely.5And, so,that's the Celebrity Apprentice that we are6talking about in the early 2000s; correct?7AYes.89And that was already established in your mind thatPresident Trump was one of the people who could drive the mostsales and maximize the most profit for the National Enquirer;1011right?12AYes.1314And so you ran articles about President Trump becauseit was good for business; correct?15AIt was good for business.16Let's talk a little bit about how you met President17Trump.18AYes.19You have known him for about 40 years; right?20AThat's right.21And so that takes us back to around the late 1980s?22AYes.23And I think you said on Tuesday that you met him24 through Ron Perelman and Nick Ribis?25AYes.Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 12791Q23You had a launch party for George Magazine atMar-a-Lago.Do you remember that?4AYes.5That was in '95?6AYes, I did.78And Mar-a-Lago is President's Trump's residence in PalmBeach; right?9AYes.1011F.And that night you introduced President Trump to JohnKennedy, Jr.?12AYes, I did.13And George PatakiMr. Pataki was the Governor of New14York at the time; right?15AYes, he was.16And you testified on Tuesday that you also worked with17President Trump on a magazine called Trump Style.18Do you remember that?19AYes, I do.20And Trump Style came after George; correct?21AIt came before George.22Do you remember that the first issue of Trump Style was23 published around 1997?24AOh. I didn't realize. I forgot about that.25Well, do you remember that?Lisa Kramsky,Senior Court Reporter

1A23D. Pecker-Cross/BoveI thought it came earlier.What was the Trump Style?Page 1280AIt was a magazine that--it's a custom--I would say45слit's a custom magazine, and the editorial point of view waseverything about Mr. Trump: His brand, the concept of the6 magazine, his hotels, the apartments, the casinos, and then wewrote the editorials surrounding that.And sowe can agree that Trump Style is in the early ormid '90s; is that more consistent with your recollection?78910AYes.1112So even by that period you were looking to PresidentTrump as somebody who can help the National Enquirer make money;13correct?14AYes.151617And it was always your intention, dating back to theearly parts of this friendship, to not publish negative storiesabout President Trump; correct?18AYes.19It was not good for business; correct?20AYes.2122And it was not good for your relationship withPresident Trump; right?23AYes.24And that was not unique to President Trump; was it?25ACan you rephrase that, please.Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BoveNobody likes bad publicity?12AOh, no.(Laughter.)Page 12813Now, 1998 was one of the first times that you gave4 President Trump a head's up about a potentially negative story;5correct?106AYes.78A910A1112A13Just before you took over at the National Enquirer?Yes.And this was a story relating to Marla Maples; right?Yes.And you tried to stop the story from running; correct?Yes.And you tried, but failed?14AYes.15It ran?16AYes.1718But this was the first time that you made that effortto reach out to President Trump about a story and to prevent19it?20AYes.212223A2425And that's almost 17 years prior to the meeting thatyou described in August of 2015; right?That's correct.So, 17 years of providing President Trump with a head'sup about potentially negative publicity; correct?Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 12821AThat's correct.23Fair to say that predated that meeting at Trump Towerin August 2015 by a long time?4AYes.5It was a lot of interactions; correct?106AYes.78AYes.And several stories; right?910In addition to Trump Style, you also used the NationalEnquirer to run positive stories about President Trump; right?11AYes, I did.12Again, long before 2015; correct?13AYes.14And because that was good for business; right?15AYes.161718And this sort of took off, this idea of using theNational Enquirer to promote President Trump because it was goodfor you around the time of The Apprentice, the first show?19AThat's correct.20And this is in the early 2000s; correct?21AYes.222324And I think you said on Tuesday, by that time, early2000s, you and President Trump had a mutually-beneficialrelationship; correct?25AThat is correct.Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 12831In addition to a friendship?2AYes.345And on the mutually-beneficial relationship side ofthings, President Trump was giving you content to run in theNational Enquirer; correct?6AYes.789A10And that included information about ratings relating toThe Apprentice?That's correct.And what was going on with the show?11AYes.12Access to participants on The Apprentice; right?13AYes.14And that helped you; correct?15AYes, it did.161718And in exchange for that, as part of this friendship,you also continued to provide President Trump with informationabout potentially negative stories?19AYes.20And you also promoted some of President Trump'spositive stories; correct?2122AI did.232425ABefore this investigation started, you had not heardthe phrase "catch-and-kill," correct?That's correct.Lisa Kramsky,Senior Court Reporter

D. Pecker1Never heard of it?2AThat's right.-Cross/BovePage 12843The first time you heard that phrase was from aProsecutor; right?45AThat's correct.678This relationship that you had with President Trump,this mutually-beneficial relationship, you had similarrelationships with other people; right?9AI did.1011Meaning that there were other people for which youwould provide a head's up if there was a potentially negativestory; correct?1213AYes.1415And other people that you would promote in the NationalEnquirer because it was good for you and it was good for them;16right?17AYes.18And that included celebrities; right?19AYes.2021And most celebrities want positive treatment in allpublications; right?22AThey do.23And you also had a relationships like this with other24 politicians; correct?25AYes.Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 12851Q And you are aware that many politicians worked with the2media to try and promote their image; right?3AYes.4And to promote their brand; correct?5слAYes.1067A89correct?To facilitate their campaigns; correct?Yes.Standard operating procedure as you understand it;10A1112Yes.And then sometimes when the politicians are doing that,that is to try and win elections; right?13AYes.14Nothing surprising about that; is there?15ANo.16And that's your personal experience; correct?17AYes.1819And you are also aware from your decades of experiencein this industry; right?20AYes.21That includes even presidential candidates; correct?22AYes.23Long before 2016; right?24AThat's correct.25We talked a little bit, you and I, about Mr. RonLisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 12861Perelman; right?2AYes.34And he's one of these people that you have amutually-beneficial relationship with; correct?5AYes.60There are instances where you have provided him ahead's up about potentially negative stories?78AI did.9And instances where you've promoted him in yourpublications; correct?1011A1213Yes.And that relationship dates back to Mr. Perelman beingone of your biggest advertisers through Revlon; correct?14AYes.15You were making a lot of money through Revlon; right?16AYes.1718And in connection with that, you developed afriendship?19AI did.2021And also this mutually-beneficial businessrelationship?22AYes.2324And, so, as one example, in 1996, there was a storythat was going to run in Premiere Magazine. Do you remember25 this?Lisa Kramsky,Senior Court Reporter

1AYes.2D. Pecker-Cross/BovePage 1287And it was a story that was sort of calling intoquestion the Planet Hollywood restaurant chain; is that right?34AYes.567AYes.And Mr. Perelman was a part owner of the PlanetHollywood restaurant; is that right?89101112And you happened to be President and Chief ExecutiveOfficer of Premiere at that time, and you prevented this storyfrom running; correct?AI did.And that was because you understood that Mr. Perelmanwould have wanted that; right?1314AYes.15And you were protecting his interests; correct?16AI was.17And there is nothing wrong with that; is there?18ANo.19Andyou testified today about having done something20similar for Arnold Schwarzenegger; correct?21AI did.22Around the time that he was running for the Governor of23 California; right?24AYes.25That was in 2003?Lisa Kramsky,Senior Court Reporter

1AYes.D. Pecker-Cross/BovePage 128823And in that period, were you trying to acquire AMI'sholding into the fitness phase; right?4AI did.56And I think you mentioned some of the publications,Shape, Muscle and Fitness, Men's Fitness, Flex; correct?7AThat's correct.89And as you tried to make those acquisitions, it was ahuge deal; right?10AYes.11Worth about $365 million?12AThat's correct.1314correct?And so you wanted this to go through very much;15A1617I did.And I think you said it this morning, that you talkedabout it with Joe Weider?1819AYes, I did.Who was sort of a celebrity in the fitness phase and20owned some of these publications?21AYes.22And Mr. Weider said: "I'm interested, but we need23 Arnold's blessing," correct?24AYes.25And in order to move forward with thiswould youLisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 12891call it a giant acquisition, $365 million?2AYes.3To move forward with this giant acquisition, you needed4 Arnold's blessing; correct?5AYes.106And so you went and met Arnold personally?7AI did.8And you reached an agreement?9AYes, we did.1011correct,And there were a few aspects to this agreement, is thatat the time; right?12AYes.1314And at the time of this agreement, he had not yetannounced his candidacy to become the Governor of California;15right?16AThat's correct.171819And so one aspect of the agreement was thatMr. Schwarzenegger did not want any more negative storieswritten about him in your magazines; right?20AYes.2122And I think you said this morning that he had expressedsome concerns with you that in the past the National Enquirer23had runsome pieces that he didn't like?24AYes.25And you agreed, did you not, to make that happen, toLisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 12901stop running negative stories about Arnold Schwarzenegger?2AI did.3456And Mr. Schwarzenegger also asked for help because hethought that there were a number of women that were going tocome out and make accusations once he announced his campaign; isthat correct?7AYes.8And you agreed to help him with that; correct?9AI did.1011And in addition to that, Mr. Schwarzenegger we givenequity in AMI; correct?12AYes.13How much equity was he given in AMI in 2003?14AI -- I remember it was less than ten percent.1516A1718How much was that worth at the time?It was probably worth at the time around $50 million.So, $50 million in equity on a $365 millionacquisition; right?19AWell, it was equity of the whole company.20It's a significant amount, relative to the size of the21deal?22AYes.2324And Mr. Schwarzenegger was also given executivepositions, executive titles, at least, in AMI's affiliates;25right?Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 12911AYes.2And then he announced his candidacy; correct?3AYes.45And I think you've said before that at that time womenstarted coming out of the woodwork; right?6AThat's correct.78And so this morning you mentioned one story that youpurchased for Arnold Schwarzenegger; correct?9AYes.1011A1213Purchased in 2003; right?Yes.But, in fact, 30 or 40 women came to you and AMI wasfollowing that, the announcement of his candidacy; correct?Yes.And you spent almost a million dollars purchasing therights to those stories; correct?A I didn't think it was that high.Several hundred thousand?It was hundreds of thousands of dollars.14A1516171819A2021correct?22A232425Gigi Goyette?And Mr. Schwarzenegger never paid you back for that;No, he did not.Now, I think that the one story that you describedpurchasing this morning, was it--the source of that wasLisa Kramsky,Senior Court Reporter

1AYes.D. Pecker-Cross/BovePage 12922And you bought the rights to a book that she wantedto publish about her relationship with Mr. Schwarzenegger;correct?345AThat's correct.67And you actually, during the candidacy, sentreporters to Ms. Goyette to bring her to Hawaii to get her awayfrom California so that Mr. Schwarzenegger could campaign;89correct?10AI did.1112correct?And at some point there was some backlash over this;13A141516Yes.And that happened when you were investigated about anFEC's disclosure relating to the equity interest granted toMr. Schwarzenegger; right?17AThat's correct.18And I think you testified this morning that there was1920an investigation in California?AYes.21There were no findings against AMI in connection with22that investigation; correct?2324ANo.And as a resultthere was also an internal25 investigation at AMI; correct?Lisa Kramsky,Senior Court Reporter

1AYes.D. Pecker-Cross/BovePage 129323456And I don't want to get into what you said to yourattorneys or not, but as a result of that investigation, you andAMI decided to implement new policies and procedures around thistype of issue with assisting a campaign like Mr.Schwarzenegger's; right?7AYes.89And you did that, right, you implemented policies andprocedures?10AWe did.1112A1314And you followed them;B correct?I did.Followed them, including in connection with the eventsyou described in 2015, 2016 and 2017; correct?15AI thought I did.16You thought you did?17AYes.1819You have also purchased a story relating to TigerWoods; right?20AI didn'twe didn't purchase I should say, yes, it21wasa Source Agreement, so we did purchase it, yes.22And you purchased some photographs; right?2324AWe purchased a story about Tiger Woods from a source,but all the investigating photographs, all the investigative25works was done internally.Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 12941QAnd the photographs that we're talking about are2photographs of a woman meeting with Tiger Woods at a parking lotin Florida; right?That's correct.34A567correct?8AYes.And this is one of those instances where you bought therights to a story in order to leverage it against a celebrity;10119To use the access that you had to this information andthe exclusive rights that you had to get Tiger Woods to dosomething that you wanted?12AYes.1314correct?And in this instance--and this is around 2007;15AThat's correct.1617And in that instance, what you wanted was for Mr. Woodsto appear on the cover of Men's Health; right?1819AIt was Men's Fitness.Thank you.Men's Fitness.20And you also wanted him to do an interview; correct?21AYes.22And at the time, Mr. Woods, if not locked up23 exclusively, he had a relationship with Conde Nast; right?24AThe answer is yes.25And he also had an exclusive with, I think it was GolfLisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 1295So he needed some convincing to sit down with AMI;correct?Yes.And so you bought the rights to these photographs;1Illustrated.23right?4A567A89101112A13Yes.And at the time that you bought the photographs, youhad no intention of running the story; correct?ANo. I wasn't going to run it.14The purpose of buying the storyOh, I'm sorry. Excuse me.The purpose of buying the photographs was to leveragethem against Tiger Woods to get him in the magazine; right?15AYes.16Now,we talked about these mutally-beneficial17relationships?18AYes.19Another one you had was with a man named Ari Emanuel?20AYes.21Who is he?22AHe's the chairman and CEOexcuse me. He's the CEO23of Endeavor.24And you've known him since the 90s; right?25AYes.Since the early 90s.Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/Bove12Page 1296Q And since that time, if you hear a negative story aboutMr. Emanuel, you will let him know; correct?3AYes, I do.456And where you have an opportunity and a way that youthink would be beneficial to him, you run stories to promotehim; correct?7AYes.8910And there have been instances, have there not, whereyou helped him suppress potentially negative stories relating toAri Emanuel; right?11AThere are.1213I just want to clarify. Maybe it might not be Ari Emanuelpersonally, but one of his celebrities.14QTell us which celebrities that work with Mr. Emanuel151617that you have helped suppress negative stories for?A A story on Mark Wahlberg.What was the story about Mr. Wahlberg?18AHe had a19argument orwith his wife and thatthis is going back awhile ago. He had anand this story was20bubbling and going to come out.2122232425AQ And so at the request of Mr. Emanuel, AMI acquired therights to that story; correct?A We didn't publish the story.You did not publish the story?That's correct.Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 1297345A6712ABut you acquired the rights to it; right?We didn't acquire the rights.Tell us how you prevented the story from beingpublished?I advised Mr. Wahlberg's group on where they shouldpurchase the rights for the story from. And I didn't publishand we didn't publish it.8Going back to Mr. Emanuel?9AYes.10You also helped his brother Rahm; correct?11AYes.12And that was in about 2009; correct?13AYes.1415problem?And Ari Emanuel reached out to you because Rahm had a16AYes.1718And in this timeframe, Rahm Emanuel had just left hisposition with President Obama; right?19AYes.2021And he left that position to go campaign to be theMayor of Chicago; correct?22AYes.2324And it was while his campaign was active at the timethat Ari Emanuel reached out to you; right?25AYes.Lisa Kramsky,Senior Court Reporter--

D. Pecker-Cross/BovePage 1298QAnd youhaveyou donated to that campaign, correct,12in 2009 and 2010?3AI did.4And what Mr. Ari Emanuel wanted help with was a story5 about an affair that Rahm Emanuel had had; correct?106AYes.78An affair that happened in 2009 after Rahm Emanuel leftthe White House; right?91011A12AndI did.You acquired the rights to it?AYes.you did help suppress that story; correct?13AI did.14And with the intention of not making it public; right?15AYes.16And you did that for Ari Emanuel and for Rahm; correct?17AYes.1819And during that timeframe, you were negotiating abusiness deal with Chicago; correct?20AThat I don't recollect.2122You weren't working to negotiate with the advisory firmthat Rahm Emanuel was associated with in Chicago in 2009 and232010?24AOh.Rahm Emanuel worked for, I think, Wasserstein and25Perella.Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 129912I'm sorry.Yes, yes.And so you were3AWe were thinking about--right, we were thinking about4567trying to acquire Playboy.And in connection with those negotiations, thosenegotiations were going on at the time you suppressed thisstory; right?8AYes.91011And you did that in a manner that you believed wasconsistent with the policies and the procedures that youimplemented after the incident with Mr. Schwarzenegger; correct?12AYes.13And there were no issues with the FEC following that;14correct?15ANo.1617A1819And no issues with any other regulators; correct?No.And the story was, in fact, suppressed at that timebecause AMI purchased the rights; correct?20AYes.2122A2324How much did that cost?$20,000.Now, you testified on Tuesday about a meeting at TrumpTower that you said happened in August of 2015.25Do you remember that?Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 1300And on Tuesday you said that the meeting took place inthe middle of August.Do you remember that?1AYes.2345AYes.678right?9AYes.1011AYes.12In previous discussions about prosecutors, you'vesaid that that meeting occurred in the first week of August;And that was a mistake; correct?13And the Prosecutors corrected you by letting you knowthat President Trump was actually at a debate in the first weekof August 2015.1415Right?161718MR. STEINGLASS:THE COURT: Overruled.You can answer.Objection.19AI didn't know he was out--he was at a debate.H2021wasn't informed of that.And in fairness22AYes.23--these are things that happened a long time ago;24right?25AYes.Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 1301Q And so in preparation for your testimony, the Peoplehave brought to your attention certain events that helps placeyour memory within dates; right?Well, any time I have spoken to a Prosecutor, theywhen they asked me any of these questions, theyalways said: Do you remember, to the best of your knowledge,and to be as truthful as you can.--So you testified you said that you've testified inGrand Jury proceedings with the District Attorney; correct?And that was in 2023; right?1234A5asked me--678910AYes.1112AYes.13141516AYes.1718192021222324correct?25Last year.And during those Grand Jury proceedings, you stated,did you not, that the meeting took place in the first week ofAugust 2015; right?And you changed your testimony here; right?AYes,when I discovered that it was in the middlethat it was the middle of August.And when you say that you "discovered," what you meanis that somebody told you that, notwithstanding what youtestified about in the Grand Jury, President Trump wasactually not in New York City during the first week of August;MR. STEINGLASS: Objection.Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 13021234A ITHE COURT:Overruled.I don't recall anyone telling me about that, thatMr. Trump was away in the first week of August.5A60So in the Grand Jury you were under oath; right?Yes.And there was a court reporter, like the one who issitting in front of you now; right?And you understood that it was what you said was beingtaken down; right?78AYes.91011AYes.1213AYes.1415AYes.16Important to tell the truth, obviously?And you wanted to; right?1718And, in 2023, you said that your best memory was thatthis meeting took place in the first week of August; right?Correct?19AYes.2021And then you changed your testimony, this week, on thatissue; right?22AYes, that's correct.2324And you are saying that you are not aware thatPresident Trump was not in New York City during the first week25of August 2015?Lisa Kramsky,Senior Court Reporter

12D. Pecker-Cross/BovePage 1303Objection.MR. STEINGLASS:THE COURT: Sustained.Why did you change your testimony?34AI thought that--I didn't know the exact date.I5thought--678I know it was in the first half of August, so Ithought it was the middle of August, that's what Irecollected.That's why I corrected mythe dates, yes.9Well, you10A11121314spot.I didn't believe that the exact date wasI understand. And I don't mean to put you on theWhat I'm getting at, though, is that these things happened along time ago; right?15AYes.1617And even when you're doing your best, and I'm sure youare right now, it's hard to remember exactly what happened when;18right?19AYes.2021And when you are remembering about conversations thatyou had, it's hard to remember what people said almost ten yearsago; correct?22232425AYou--Ahhhh,yes.And so there are some instances where your mind sort offills in gaps; right?Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 13041A234A56To the best of my knowledge.And you do your best to explain what happened in a waythat makes sense;correct?To what I remember.Yeah, to what you remember.And you fill in some details to keep things in sequence;right, and to make them sound logical?78AI try to make them--to what I remember. And to be9truthful.1011I understand.But there are some gaps; correct?12AYes.13Because it was a long time ago; right?14AYes.1516And when you are describing one of these meetings thathappened almost ten years ago, there are times when there are17181920212223gaps in your memory and you have to fill in with what you assumehappened based on other events; correct?A I didn't feel that I added in language or things that Iremembered for whatever the event would be, it's what I bestremembered from the meeting that I hadDidMR. STEINGLASS: Objection. He didn't finish his24answer.25THE COURT: Sustained. Please allow him to finish.Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 130512A345I apologize.You can finish your answer.Oh. No. What I'm saying is that in any of thesemeetings, it was my best recollection at the time that Iremembered today or at the time that I gave the testimony to theGrand Jury and when I gave my testimony today.6And you have had a lot of meetings with Prosecutors and7law enforcement to discuss these things; right?8AYes.9You met with the Prosecutors who are here?10AYes.1112A131415ATo prepare your testimony; right?I met with Prosecutors here; that's correct.When was the most recent meetings that you had with theProsecutors?2 or 3 weeks ago.16And how manyhow many meetings would you say that1718192021222324you had this year with the Prosecutors?A Over the year, maybe three or four meetings, maybe fivein total.It sounds like a lot.Do you remember when they were?MR. STEINGLASS: Objection.THE COURT: Sustained.Do you remember when the meetings were?25AWell, I remember the lastthere was meetings inLisa Kramsky,Senior Court Reporter

D. Pecker-Cross/BovePage 13061March.234And I think December or January, February, around thosemonths.So December of 2023; correct?5AYes.6And February of 2024?7AFebruary of 2024, Iyou know, I don't have my89calendar in front of me so I don't remember all of the dates.Because, in fairness, it's hard to remember the datesof these things even when they happen a few months ago; right?1011AYes.12You've also met with Federal Prosecutors; correct?13AI did.1415correct?And you testified about that a little bit today;16A1718Yes.How many meetings did you have with FederalProsecutors?19AI remember five to six meetings.2021AAnd do you remember, roughly, when those were?They would have been in June and July and August of222018.232425(Whereupon, Official Senior Court ReporterLaurie Eisenberg relieved Official Senior Court ReporterLisa Kramsky.)Lisa Kramsky,Senior Court Reporter

D. Pecker-Cross/Bove12Page 1307I think you said that you mentioned that agreement inSeptember of 2018; correct?3AYes.4And then you started to meet with the District5Attorney's Office; right?Not until 2019.106A7The following year?8AThe following year.9And the firstone of the first meetings was in10October of 2019; correct?11AYes.1213That was a meeting where you were asked a lot ofquestions; right?14AYes.15And it helped to refresh your recollection; right?16APardon me?17You were shown documents; correct?18AYes. Yes.1920And those documents gave you a sense of when youthought things might have happened?21AYes.22And then you were asked to testify in the grand jury;23we talked about that; right?24AYes.25And that was in 2023?Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker1AThat was in 2023.2345сл-Cross/BovePage 1308And then you had a series of meetings before the trialwith the prosecutors; correct?AYes.6 be like?And they tried to give you a sense of what this would7AYes.8910They asked you questions that sounded a lot like thequestions that Mr. Steinglass asked over the last couple ofdays; right?11ALike the questions, yes.12I'm sorry. I didn't hear that.13A1415A16The answer is yes.Very similar; right?Yes.Maybe not a script, but you knew what was coming;17right?18AYes.1920You understood the topics that you would be askedabout; right?21AYes.22And I also went through the--mythe--I alsoas23you mentioned earlier, I did appear in front of the grand jury24twice.25Right.Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker-Cross/BovePage 130912345And soso, to help you remember things today that youdid not remember very well at the time--MR. STEINGLASS: Objection.THE COURT:Overruled.Let me start that over.To help you remember things from your testimony today thatyou didn't remember at the time of your preparation, you wentback and read things that you said in 2018 and 2019; correct?106789101112131415AYes.MR.STEINGLASS: Objection.THE COURT: Sustained as to form.Please rephrase.There are things that you did not remember very wellthat you testified about today that you used other documents torefresh yourself on; correct?16Things that you, independently, don't have a strong17 recollection of, so you're going based on what you said18previously?19A(Pause). Umany documents that I reviewed, I was20 consistent to what I said when Iwhen I'm going back to the212223original grand jury testimonies that I had.And that was important, right, to be consistent withwhat you had said previously?24ANo.25Just refresh my memory.Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker-Cross/BovePage 13101Q But, you also understood that you couldn't say2anything different than what you said under oath previously;3right?4AWhat I said under oath was the truth.56789A1011That's all I planned on doing today.And so, when you met with Mr. Steinglass and the otherprosecutors, they gave you a sense of what you'd be askedtoday; correct?wereUh, yes.Maybe not a script, but there were no questions thata surprise to you%;B correct?12AIt was not a script. And--I wouldn't say about being13surprised.14You were not surprised; correct?15ANo.161718Now, let's get back to that August 2015 meeting.You testified that Michael Cohen invited you to thismeeting; right?19AYes.2021And you had actually known Cohen since the TwoThousands; correct?22AYes.2324And in your relationship with Michael Cohen, he wassomebody that always wanted something for himself; correct?25AYes.Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker-Cross/BovePage 1311He asked you to promote businesses that were separatefrom President Trump's work; right?123AYes.45A60One of them was a mixed martial arts company; right?Yes.There were times when he asked you to arrange forpaparazzi shoots of himself; right?78AYes.9To promote himself; right?10AYes.1112He also asked you to promote his daughter's rockclimbing; correct?13AYes.14So, you had an independent relationship with Michael15Cohen; right?16AYes.1718President Trump introduced you to Michael Cohen around2007, I think you said?19AYes.2021And at that time, President Trump told you that Cohenwas his personal lawyer; right?22AThat's correct.2324And that's the only job that you knew Cohen was doingfor President Trump; right? Personal lawyer?25AYes.Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker-Cross/BovePage 1312QAnd so,once you met Mr. Cohen, you started to work12with him on a mutually-beneficial relationship for President3Trump; right?4ACan you repeat that again, please?5He became sort of an intermediary to help you provide6 information to President Trump about potentially negative7stories; right?8AYes.910111213And also when there were situations where PresidentTrump could be promoted in the National Enquirer; right?AYes.You started to work with President Trump's personalattorney, Michael Cohen, on those issues; correct?14AYes.1516For at least eight years prior to the August 2015meeting; right?17AYes.18And in 2015 and 2016, Cohen was always clear with you19that he was not working for the campaign; correct?20AYes.21He was his personal attorney; right?22AYes.2324And you testified on Tuesday about this August 2015meeting in Trump Tower?25AYes.Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker-Cross/Bove12Page 1313Q That Hope Hicks was in on the meeting; do you remembersaying that?3AYes.4You've had to describe this meeting to law enforcement5 several times; right?106AYes.7Getting back to all these meetings that we talked8910about a moment ago; correct?AYes.And one of the first times you were asked about thismeeting was in July of 2018; right?(Pause). Yes.And that was a meeting with federal prosecutors;Here in Manhattan; right?And there were FBI agents present; right?1112A1314correct?15AYes.1617AYes.1819AYes.202122AYes.2324A25correct?And you understood that that was serious business;You had to be honest with them; right?Of course.And forthcoming; correct?Laurie Eisenberg, CSR, RPRSenior Court Reporter

1AYes.2It wasD. Pecker-Cross/BovePage 1314a crime to withhold information in that3meeting; correct?4AYes.5And they actually said that to you; you were warnedabout that; right?And your lawyers were present, also; right?right?And so, you understood how serious this was; right?Yes.Some of the things had been in the news at that point;1067AI was.89AYes.1011A121314A151617right?18AYes.1920AYes.21Yes.You testified earlier about a discussion with DylanHoward about FBI agents coming to see you and Mr. Howard;And by that point, Mr. Cohen as well; right?22You also testified by that point you received afederal inquiry from the Federal Election Commission; right?23AI received from the Federal Election Commission, it24was in--in March of 2018. February, March of 2018.25And so,you understood that in this July 2018 meeting,Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker-Cross/BovePage 1315it was really important to get all the details out; correct?12AYes.34AYes.5слThat's what the prosecutors demanded; right?And that's what the agents demanded; right?106AYes.789101112And in this meeting, the July 26, 2018 meeting, youdid not tell anyone that Hope Hicks participated in theAugust 2015 meeting; correct?MR. STEINGLASS: Objection.THE COURT: Please approach.(Whereupon, the following proceedings were held13at sidebar:)141516171819202122232425THE COURT: What's the objection?MR. STEINGLASS: My objection is Bornholdt.THE COURT: It's what?MR. STEINGLASS:Bornholdt.He hasn't laid the foundation that Mr. Pecker wasasked that question; so he's trying to impeach byomission, without laying the foundation.Either he was specifically asked about that, orthe omission would be unnatural. It's certainly not thatlevel of fact that qualifies as an admission beingunnatural.It's, clearly, a Bornholdt violation.Laurie Eisenberg, CSR, RPRSenior Court Reporter

12345сл1067891011D. Pecker-Cross/BovePage 1316MR. BOVE: I can do a little more work on this,Judge. I can lay the foundation.THE COURT: Thank you.(Whereupon, the following proceedings were heldin open court:)THE COURT:Sustained.Before that break, we were talking about a meetingwith prosecutors and agents in July of 2018; right?AYes.And the prosecutor and agents asked you to tell themeverything that you knew about the events that were laterlisted in the Non-Prosecution Agreement; correct?1213AYes.14And you--one of the topics that you covered for them15was the August 2015 meeting; correct?16AYes.17And they wanted to know what happened at the meeting;18right?19AYes.2021youIn order to tell them what happened at the meeting,had to tell them who was there; correct?22AYes.2324And when you were asked that question about who wasthere, you did not mention Hope Hicks; correct?25ACould I see the--what you're referring to?Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker-Cross/BovePage 1317MR. BOVE: This is just for Mr. Pecker, the1Give meone second.2345слparties, and the Court, please. The document marked foridentification as Defense Exhibit 1.(Whereupon, an exhibit is shown on the witness'screen and on the parties' screens.)To make this easier, I'm going to hand you a copy ofthe report, as well.(Whereupon, documents are shown to the People andare shown to the witness.)106789Okay?101112131415AYes.1617Mr. Pecker, that is a copy of what's been marked foridentification as Defense Exhibit A101.Do you see that?A101This is a report of the meeting that we're talking18 about; right?19AYes.20And Mr. Steinglass showed you a copy of this report21during your testimony earlier; right?22AYes.2324And no place in this report does it indicate that youtold the government during the July 26, 2018 meeting that Hope25Hicks was present in August 2015 at Trump Tower; correct?Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker-Cross/BovePage 13181AI don't know which page you're referring to.2That talks about3That's why I wanted to give it to you.456789My question is, at no point in that document does itindicate that you told the government that Hope Hicks was atyour August 2015 meeting?(Whereupon, the witness reviews the exhibit.)THE COURT: Can we pull up for ourselves just theother pages in the document?10MR. BOVE: Yes.1112THE COURT:1314151617And we can flip through, Judge?Please.(Whereupon, documents are shown on the witness'screen and on the parties' screens.)please.MR. BOVE: If we could go directly to Page 11,Zoom in on the paragraph beginning: "Later in182015."19Do you see that, Mr. Pecker?20AI do.21222324That's a point in the meeting where you werespecifically asked about what happened during a August 2015meeting at Trump Tower; right?(Whereupon, the witness reviews the exhibit.)25AYes.Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker-Cross/Bove1QPage 1319And you did not mention Hope Hicks being there;2_ correct?3ANo.4But, I――56A78I don't knowJust yes or no.Um, no.And you had another meeting with the prosecutors inAugust of 2018, you said; right?9AYes.1011A1213A1415I think that was on August 2, 2018; correct?I don't remember the exact date.You remember it was in August; right?In August.And you remember being asked about the August 2015meeting again; correct?16AI don't remember.17You don't remember if it came up?18AWell, I have to see it. I --1920You need to see the report to remember what you'reasked about?21AYes.222324MR. BOVE: Will you bring up, please, for theCourt, the witness, and the parties, the document markedfor identification as Defense A102.25(Whereupon, the exhibit is shown on the witness'Laurie Eisenberg, CSR, RPRSenior Court Reporter

D. Pecker-Cross/BovePage 132012screen and on the parties' screens.)(Whereupon, documents are shown to the witness.)3Do you have that, Mr. Pecker?4AI have that.567Can you point me to which paragraph that we're talkingabout?Well, the first question is, at no point during this8meeting--910111213(Whereupon, Mr. Steinglass stands.)THE COURT: Please let him finish the question.Q At no point during this meeting did you tell thegovernment that Hope Hicks was present in August of 2015 atTrump Tower; correct?1415MR. STEINGLASS:Overruled.Objection.1617THE COURT:You can answer if you remember. If you can,answer the question.18AII don't remember.192021222324And you also testified in the federal grand juryfollowing this meeting; correct?MR. STEINGLASS: Objection.Can we approach, please, Judge?THE COURT: Sure.(Whereupon, the following proceedings were held25at sidebar:)Laurie Eisenberg, CSR, RPRSenior Court Reporter

1234510678D. Pecker-Cross/BovePage 1321THE COURT: Yes?MR. STEINGLASS: Now I'm looking at Defendant'sA102, and I don't see a single paragraph where he's askedanything about that meeting.The witness asked to be shown the paragraph wherehe's asked about the meeting.It's, clearly, not in here.I objected. You overruled the objection.He was allowed to ask: At any point, did youmention that Hope Hicks was at that meeting?And, yet, he was never asked--I don't see anyparagraph in which he was asked.The witness asked to be directed to theparagraph, and Mr. Bove went on to another topic.THE COURT: Is it anywhere that he was asked910111213141516there?17181920question?2122232425MR. BOVE: This is a report. It isn'tmemorializing the questions.THE COURT: Well, then how can he answer theThe question is: Were you asked?MR. BOVE: I am entitled to put questions to thiswitness that he went into the meeting, that he would havehad the ability to correct if he rememberedTHE COURT: The question is, you're asking him:Laurie Eisenberg, CSR, RPRSenior Court Reporter

Proceedings1Page 1322At no time did you say at no time did you say that Hope2345слHicks was there; and you handed him the document.Right?MR. BOVE:Uh-huh.THE COURT:Presumably, to refresh his10678910111213141516171819202122232425recollection.So, I just asked you, is there anything in thatdocument that says you were asked that question.Your answer is, well, they don't write down thequestions.So, it's a bit disingenuous to hand the witness adocument to refresh his recollection.I take it we're not going to finish today?MR. BOVE: No.I have a little more on this topic.THE COURT: And then redirect?MR. STEINGLASS: Yes. There's redirect.Do you know how much more this is going to be?I am trying to plan for tomorrow.MR. BOVE: At least a couple of hours.(Whereupon, the following proceedings were heldin open court:)time.THE COURT: Jurors, we're going to stop at thisBefore I excuse you, I ask you not to discuss theLaurie Eisenberg, CSR, RPRSenior Court Reporter

12345сл10678910ProceedingsPage 1323case, either among yourselves or with anyone else. Do notdiscuss anything about the case.You may tell the people with who you live andyour employer you are a juror and give them informationabout when you are required to be in court, but you maynot talk to them or anyone else about anything related tothe case.Do not any any time during the trial request,accept, agree to accept, or discuss with any person thereceipt or acceptance of any payment or benefit in returnfor supplying any information concerning the trial.1112131415You must promptly report directly to me anyincident within your knowledge involving an attempt by anyperson to improperly influence you or any member of thejury.16171819202122232425Do not visit or view any locations discussed inthe testimony.Do not read, view or listen to any accounts ordiscussions of the case reported by newspapers,television, radio, the internet, or any other news media.This would include the reading or the listening to thereading of the transcripts.Do not attempt to research any fact, issue or lawrelated to the case, whether by discussion with others, byresearch in a library, or on the internet, or by any otherLaurie Eisenberg, CSR, RPRSenior Court Reporter

12345слProceedingsPage 1324source. This includes visiting any court sites.I want to emphasize that in addition to notspeaking face-to-face with anyone about the case, you mustnot communicate about the case with anyone by any othermeans, including by telephone, text messages, emails, chatrooms, blogs, or social websites.You must not provide any information about the10678case to anyone by any means whatsoever.That includes9101112131415161718posting of information on the case or what you're doing onthe case on any device or internet sites, including blogs,chat rooms, social websites, or any other means.Finally, you must not Google or search for anyinformation about the case or the law which applies to thecase or the people involved in the case, including thedefendant, the witnesses, the lawyers or myself.See you tomorrow morning at 9:30.Have a good evening.COURT OFFICER: All rise.19(Whereupon, the jurors and the alternate jurors202122232425are excused.)THE COURT: Thank you, sir.You can step down.(Whereupon, the witness is excused.)THE COURT: Please be seated.Mr. Steinglass, can you elaborate on yourLaurie Eisenberg, CSR, RPRSenior Court Reporter

ProceedingsPage 132512345сл1067891011121314151617objection, please?MR. STEINGLASS:Yes.My objection is an objection under People v.Bornholdt.I think Mr. Bove, arguably, laid a foundation toask about People's A101, which at least contains somereference, a paragraph that references the August 2015Trump Tower meeting.However, he then showed the witness People'sExhibit A102, which, insofar as I can tell, doesn't haveanything at all about the August 2015 meeting.He asked a question: Did you ever say anythingabout the presence of Hope Hicks at this meeting?The witness says: I don't know. I need to seethe document. I need to look through it.He wasn't given that opportunity.I objected because I thought that question wasimproper, because I thought it violated Bornholdt.There was no indication the witness was askedabout the August 15th meeting during the interview, andthere was no indication that admitting it would be anunnatural omission under People v. Bornholdt.1819202122232425in the August 2015 meeting at Trump Tower.The witness asked to be shown the document so hecould look and it and be shown if there was a discussionLaurie Eisenberg, CSR, RPRSenior Court Reporter

ProceedingsPage 132612345сл10678910I don't see any.Perhaps Counsel sees one.But, I think that was a totally improper line ofquestioning. I think it left the jury with themisimpression that the witness was asked about it andomitted it. That's a prior inconsistent statement; and Ithink it's a prior omission by Bornholdt.THE COURT: Is there anything in that that sayshe was asked if Hope Hicks was there and his response tothat?11MR. BOVE: I don't have a specific response to12that.1314151617The question to the witness was, does he recalldiscussing that.This document was marked Defense A102.It contains a substantial set of redactions, so Idon't know what's underneath those, and I don't know what18came up.192021It's appropriate for me to ask if he remembers.He then asked me to show a document.THE COURT: He didn't ask for A102.22MR. BOVE:He understood. He asked for a232425document to refresh his recollection about the meeting hewas talking about.So I gave it to him.Laurie Eisenberg, CSR, RPRSenior Court Reporter

12345сл10678910111213141516171819202122232425ProceedingsPage 1327THE COURT: Well, you gave him A102, which givesthe impression that there's something in this documentthat will refresh his recollection.MR. BOVE: What I perceive refreshed hisrecollection was he did not recollect this meeting withHope Hicks.THE COURT: Hear me out.If a witness says, "I don't remember. Do you haveanything you can give me that might refresh myrecollection?", and then you hand him the document, themessage that sends to the jury and to everyone else inthis room is there's something in that document that'sgoing to refresh your recollection.But, there wasn't anything in that document; and,therefore, it's misleading.So, we're going to correct this tomorrow morningin the presence of the jury.with that.I'm going to ask you to please be very carefulI'm not accusing you of having done itdeliberately.But, it still left the jury with themisimpression that he had omitted something.If you want to hand him something to refresh hisrecollection, you should actually hand him something thatLaurie Eisenberg, CSR, RPRSenior Court Reporter

ProceedingsPage 132812345сл106will actually do it.MR. BOVE: What I was seeking to refresh hisrecollection on is that her name was not in the document.I understand your ruling, that amounts to therewas something improper or needs a correction instruction.The point of my question was, she was not inthere.THE COURT: Mr. Bove, are you missing my point?I don't think you're responding to what I'mI'm saying you asked him the question. You gavehim a document in response to that question, which gaveeverybody the impression that what he was looking for wascontained in that document.78910saying.111213141516171819202122232425And that was not the case; right?MR. BOVE: Yes.THE COURT: So, please be careful.Anything else?MR. STEINGLASS: Yes, Judge.Mr. Colangelo has an application.MR. COLANGELO: Thank you, Your Honor.If the Court permits the People to make anapplication tomorrow to compel compliance with athird party subpoena, this is a witness from The TrumpOrganization for a custodial witness.Laurie Eisenberg, CSR, RPRSenior Court Reporter

12345слProceedingsPage 1329I am only asking now if the Court will permit usto make the application tomorrow.I don't want to discuss the member of The TrumpOrganization we have been working with.We gave notice to the Counsel of the TrumpOrganization.We will be asking the Court my understandingis, Counsel of the Trump Organization will be presenttomorrow on the Court's application, except for the veryend of the day because of Sabbath observance.THE COURT: The best time to do it is at the endof the morning. The best time to do it will be before webreak for lunch. You can do it then.See you tomorrow at 9:30.Just for the record, the Order to Show Cause,certain dates I believe--I don't have a copy in front of10678910111213141516171819202122232024.)2425me right now.I believe the Defense has been given until Mondayat 5:00 PM to respond, and we're going to have a hearingon that on Wednesday at 2:15.Thank you.(Whereupon, the case is adjourned to April 26,Laurie Eisenberg, CSR, RPRSenior Court Reporter