Lawfare Daily: Bribery and the Second Trump Administration with John Keller

Published by The Lawfare Institute
in Cooperation With
John Keller, now a partner at Walden, Macht, Haran, & Williams, channeled his experience as the former chief of the Public Integrity Section at the Department of Justice to talk about bribery with James Pearce, Lawfare Legal Fellow. After explaining the basics of bribery law and whether a current or former president could face a bribery prosecution, Keller analyzed whether three episodes from the first six months of the second Trump administration could plausibly be characterized as bribery: Paramount’s $16 million settlement of Trump’s lawsuit while Paramount awaits federal approval of a merger, law firms agreeing to provide pro bono legal services to causes favored by the administration to rescind or avoid targeted executive orders, and the dismissal of the criminal indictment against New York City Mayor Eric Adams in exchange for Adams’s agreeing to further the administration’s immigration agenda.
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Transcript
[Introduction]
John Keller: And so,
the assumption I think has been by some that this must be part of a corrupt
deal, essentially, a bribe. President Trump we’ll settle your frivolous lawsuit
for $16 million, you approve our merger with Skydance Media.
James Pearce: It's
the Lawfare Podcast. I'm James Pearce, Lawfare Legal Fellow with
John Keller, formerly of the Public Integrity Section at the Justice
Department, and now a partner at Walden, Macht, Haran, & Williams.
John Keller: Agreeing
to cooperate in some sense, just in a very non-traditional sense of supporting
the, the administration's immigration agenda in New York City is, you know,
part of the regular, ordinary course of functioning of government enforcement.
And so it's, it, it's beyond the scope of the bribery laws.
James Pearce: Today
we're discussing whether three episodes from the first six months of the Trump
administration could plausibly be characterized as bribery: Paramount's
settlement with Trump while awaiting federal approval of a merger, the law firm
deals, and the dismissal of New York City Mayor Eric Adams’s prosecution.
[Main Podcast]
So today I think we, we want to really take advantage of your,
your expertise on, on public corruption law. And we wanna talk about bribery
and, and specifically about three kind of scenarios or, or call them case
studies in this first six months of the Trump administration.
But before we do that, I think gotta put on the table just some
basic legal principles. So we, we have those kind of on hand as we talk about
it. A, a couple of, of, of questions. Really, the first one is what is bribery?
But let me ask you a kind of a preliminary question to that. So, so we all know
that at a very basic level, bribery is somebody paying a bribe and somebody
receiving a bribe. We're gonna be talking about this a lot.
So what are your preferred terms? Is it a briber, or a bribe
payer? A bribee and a bribe recipient. What, what, what, what do you think,
this is a stylistic, not so much legal, but what is your preferred terminology
as we talk through this?
John Keller: I think briber
and public official or briber. And if we have to use bribee, we can, we can use
that too. But those are good shorthands for me.
James Pearce: Okay.
Excellent. So what's bribery, at a high level, but with enough kind of legal
content so that it's helpful in talking through these situations? What is
criminal bribery?
John Keller: The
basic elements, and there are several different statutes that can apply and,
and we can run through those if it would be helpful at some point.
But the basic elements underlying the bribery conduct as
prohibited by the various different federal statutes that, that address this
topic is something of value, is kind of the first element. You gotta have, you
know, the, the most obvious example is a briefcase full of cash, you know,
something of value, money or something else. And it's defined very broadly, so
it's not limited to, to something that's, you know, financially quantifiable
necessarily, but something of value to a public official.
So generally that is anyone who is elected or appointed anyone
who is an employee of a local, state, or federal government. And there are
different jurisdictional issues with different statutes. But again, broadly
looking at all of the different statutes that could apply, the public official
is, is any employee of a state, federal, or local government. So something of
value to a government employee, the stand in for the public official, and then
the, the kind of critical piece is in exchange for an official act.
So those are the three core elements. You, you hear people
refer to it as a quid pro quo. The quid is the something of value. The pro is
the for. And the quo is the official act. I, I say bribery is, is those three
elements plus. And the, and the plus is that the government has to prove that
the briber, or the public official, depending about, depending on whether
you're talking about an offer side bribery case or a solicitation side bribery
case, the government has to prove that the defendant was acting with corrupt
intent.
And that means, although we don't have a, a precise definition
from the Supreme Court. You know, synthesizing lower court decisions and Supreme
Court decisions in other areas, I think the, the best definition that we should
use for corrupt intent is specific intent to engage in a quid pro quo with the
added layer of showing some kind of wrongful purpose, which I think most people
think is inherent in intending to engage in a quid pro quo. But it may be that
the government has to prove in addition to the specific intent to engage in the
quid pro quo, that this, this level of wrongful purpose.
James Pearce: Yeah.
And, and certainly corrupt intent or corruptly is, is something that has been a
term that has bedeviled courts, not only in the bribery context, but also in, with
respect to obstruction.
And, and it's not obvious that it, that, that term corruptly
or, or the idea of corrupt intent takes on quite the same meaning in a sort of
across these different statutes. But I, yeah, I think the idea of just that,
that that exchange for, for a wrongful purpose is, is a, is a helpful rubric
to, to move through here, sort of move through the analysis here.
You mentioned official act or official action. I know the
Supreme Court in the McDonnell case sort of gave a bit more content to
that term. Talk through what, what, what that generally means. And that will,
you know, we can hit, hit on that a bit more as we talk through the three case
studies.
John Keller: Yeah.
Let's, I, I mean, for people that are interested in diving in more there are
several recent Supreme Court cases that deal with these issues. So we just
talked about the definition of corruptly. James, you mentioned the, the
obstruction context. So in Fischer v. United States, in a recent Supreme
Court term, the, the Supreme Court addressed, although they didn't really
answer the question of what corruptly meant for purposes of obstruction.
In Snyder v. United States, the Supreme Court addressed
the definition, again without answering the question definitively of what corruptly
meant for purposes of this statute, 18 U.S.C. 666, which is a state and local
bribery statute.
And then to your, to your question, in McDonnell v. United
States, the Supreme Court a a little bit further back maybe 2017, 2020,
yeah, 2017 or so, addressed the, the issue of the third element of bribery,
which is official action. So just retreading, we have anything of value to a
public official for official action. So what is official action? There is a
statutory definition in the, the lead federal bribery statute, which is 18 U.S.C
Section 201.
And the Supreme Court kind of added some gloss to that
statutory definition in McDonnell v. United States and essentially said,
an official act boils down to two elements, two things that the government has
to prove. First, there has to be a pending question or matter which is
relatively well-defined. So you could think of it as an example of, you know,
whether to award a contract or whether to vote yes or no on a particular piece
of legislation or whether to enact a specific zoning ordinance. Those are the,
those are, those are examples of a pending question or matter. So that's part
one of official action.
And then part two is that a public official actually make a
decision, take some action with respect to that pending question or matter. It
doesn't have to be the ultimate decision. It doesn't have to be the final
action on the, on the pending question or matter. It can be preliminary. It can
be for example, in the contract example, it can be narrowing down a list of
bidders from the initial universal list of everyone who submitted a bid to a, a
smaller selected list of bidders from which the final company will be chosen
for the, for the contract.
So it doesn't have to be the, the ultimate decision, but it
does have to be some meaningful and relatively circumscribed decision or action
on the pending question matter. So that's a, a, a high level kind of
description of what an official act is.
James Pearce: That's
great, thank you. And, and I think in, in passing in, in answering that
question, you also addressed the sort of the difference, the different
statutory schemes, one that applies to federal and, and local officials, 18,
United States six, code 666. And then in, in talking about the actual statutory
definition of an official act, referred to the, I think what we think of as the
federal bribery statute 18 United States Code 201.
I'm curious within those two statutes, and I don't wanna take
us on the detour 'cause we wanna get to the main event of these three different
case scenarios. What is a, a gratuity as opposed to a bribe? And you mentioned
the case Snyder that dealt with 666, Section 666. And there's a
longstanding question, which I don't want you to talk about, but you know,
whether a gratuity is even a, a sort of a, a permissible way of or, or
something that can be prosecuted under section 666. That is not a debate with
res, with res respect to question Section 201, the federal bribery statute,
which I think we'll be focusing on here.
So bracketing that debate that we won't have here, what is a
gratuity under the federal bribery statute, Section 201?
John Keller: So
gratuity is what most people who practice in this area think of as as bribery
light. You still have to have the first element of bribery, something of value.
And you have to have the second element, you have to have a public official
that the something of value is given to. But you don't really need the third
element, or you need a watered down version of the third element.
So for bribery, you need anything of value to a public official
for an official action. For gratuity, you need anything of value to a public
official for or because of is the language that the Supreme Court has used and,
and that 18 U.S.C. 201 uses, I believe, and the, that operative language kind
of again, dilutes the quid pro quo.
It doesn't have to be a direct exchange. It doesn't have to be
conditional. The courts in talking about bribery, really talk about bribery is
you're not getting the thing of value. You're not getting the briefcase of cash
unless you do the official action. So it's, it's conditional in that way.
For a gratuity, it's thought of as more, I'm giving you this to
express gratitude for the fact that you've taken some official action or that I
think you are going to take some official action. I'm not conditioning it on
you taking the official action, Mr. Public Official. I'm not, I'm not even
necessarily telling you that I wouldn't do it. I wouldn't give you this unless
you take the the official action.
I'm just saying here is, here's an expression of my gratitude.
That thing you did last month, last week, last year. It really helped out my
company. We have, we have grown exponentially as a result. And, and I want to
express my gratitude, hence the, the term gratuity. It, it, it is thought of as
kind of a thank you payment.
The only, the only reason why, why I haven't focused
exclusively on that kind of post hoc, after the fact payment is because a
gratuity is not necessarily limited to payments that come after an official
act. You can have a gratuity before an official act. Again, the the critical
distinction between a gratuity and bribe is that there is no corrupt agreement.
There's no conditionality on an official action taking place.
James Pearce:
Excellent. So I imagine, we'll, we'll probably get into some other principles
that come up in discussing bribery as we move through the, the case studies.
One last kind of throat clearing or initial piece to take care of, which is I
think in, in focusing on these, these three different scenarios, one question
that would naturally arise to the extent the public official, the relevant
public official, is the President of the United States, President Trump. One
might, might ask, could he even face prosecution?
I, I think there are two different answers to that question,
depending on, you're talking about whether he is in office or out of office.
What's the answer to that question? Could, could he face prosecution either in
office? Short answer, I think no, right? But I think out of office is slightly
more complicated. How, how would you, how would you tackle those, those
questions?
John Keller: Yeah, I
mean, we, I don't think we have really a categorical answer. The, the, the
Department of Justice has largely foreclosed the, the possibility of
prosecuting him while he's in office because there's this longstanding binding–at,
at least it has been, it has been interpreted as binding thus far–OLC opinion
that says the department cannot charge a sitting president. But we don't have a
decision from the Supreme Court that says that. But yes, I agree with you, probably
unlikely that he would be charged while he's in office.
Could he be charged after leaving office? You know, again,
there, we saw the Supreme Court weighed into this in, in the last term in
addressing the special counsel prosecutions. And clearly based on, on that
decision there, the Supreme Court has some skepticism about whether you, you
know, the, what conduct the president could be charged for, and whether the
president could ever be charged in office or out of office for official
conduct. Conduct that's undertaken as part of the official duties of the office
of the presidency.
And so, you know, with these three examples, I think they all
touch on, the first one probably least, so the first one being the Paramount
example. But all three examples, Paramount example, the law firm example, and
the Adams prosecution, they all at least touch on core executive branch
function. Now, the, the Paramount example is maybe the one where you would have
the most room to argue that it falls outside the bounds of, of official duties
because the lawsuit was filed before President Trump was in office, and it was
filed really unrelated to any official duties of the presidency, it was related
to his campaign.
But on the back end, the, the quo that would be at issue in
that Paramount example is FCC approval of a, of a proposed merger, and that's
core executive branch function. And so my read of the, of the most recent
Supreme Court decision on this is that it would be a, a real uphill battle for
the government to be able to charge President Trump, even assuming they could
satisfy the elements of bribery, which we're gonna talk about, given the fact
that all three of these scenarios involve kind of official executive branch
conduct.
James Pearce: That
sounds right to me. I'll add one kind of additional gloss, at least from where
I sit, and then let's turn to the, the case studies themselves, which is,
there's an interesting exchange in the Trump United States Supreme Court
opinion from last year, just about almost a year ago, in which it's, it's sort
of the footnote three in the, in the Chief Justice Justice's majority opinion
which is responding to a concurring opinion by Justice Amy Coney Barrett.
And the question at issue there is, is the extent to which
evidence could be admitted in, in a, in a prosecution. And although it is
nearly indecipherable to me and to, to ,to many others who've tried to unpack
it. But the, the footnote seems to suggest that a bribery prosecution against a
former president would be something that is, is in bounds, or at least is
contemplated by the, by the court's decision. It's hard to square sort of the
logic or, or the assumption of that footnote with the logic of the decision
itself.
And so I would agree with you that it would be an uphill
battle. But there's something like, well, of course a prosecutor in a case of
bribery in this footnote could, could point to the public record. And, and
maybe there's a reference, and I don't wanna go too in the weeds here, but to
the way that Speech or Debate works–sort of classically in Speech or Debate, you,
you can, there's some, some Supreme Court case law, you can prosecute bribery even
when the official act seems to be, or excuse me, the, the, the act by the
legislator seems to be a, a, a legislative act.
So, long story short, I think there's, there's a, a good bit of
uncertainty, but let's talk about the case studies themselves. So, so the three
that we wanna talk about, as you said: Paramount, law firms, and Eric Adams.
Let's start with Paramount. Lay out for us the, kind of the facts as, as we
understand them, and then maybe after doing that, you know, slip on your, your
old prosecutor hat and, and you don't have to channel the senators calling for
an investigation, but you know, what might be the best case argument or the
best arguments for at least opening a bribery investigation.
John Keller: Yeah, so
the operative facts as I understand them, are that Paramount, Paramount Global,
which is this kind of giant media conglomerate which owns CBS News, along with
a number of other companies, was running CBS News, owned CBS News at the time
of an interview, a 60 Minutes interview with then presidential candidate, and
then Vice President Kamala Harris.
And this was in the weeks leading up to the presidential
election last year in 2024. And like most interviews, that interview was
edited. So, Vice President Harris's responses were not, you know, broadcast in
full. The, the interview was edited down for consumption and production
purposes.
And then-candidate Trump filed a lawsuit after that 60 Minutes
interview arguing that the interview had been so selectively edited that it was
news distortion. It amounted to distortion of the truth, distortion of facts,
and that it was done for the purpose of making Vice President Harris appear
more competent, more intelligent, and to try to improve her prospects of
winning the presidential election. So that's kind of set one of the facts for
Paramount that that's, that's part one.
And I should say legal scholars have kind of universally in, in
my estimation although I'm sure there, there are some voices of dissent out
there, but have largely dismissed this lawsuit as being facially and, and
patently frivolous. In other words, there's a long history in this country of
kind of broad discretion for media companies to exercise their own, their own
judgment and to produce the news as you know, as they see fit with, with their
own kind of journalistic input and judgment.
And the idea that, you know, perhaps if, if a news company was
using deep fakes and broadcasting fake videos of, of a public official speaking
when the public official never actually said those words, and the, and the
company knowingly broadcast something like that as truth as fact maybe you, you
would have a claim.
But the idea that an actual interview that was just edited down
for production purposes could ever amount to news distortion has been kind of
dismissed I, I would say, across the board. So, so there's this lawsuit out
there that's, that appears to be on, on shaky legal ground. So, so that's part
one.
Part two is Paramount, also, at the same time that they're
being sued, by candidate Trump and then President Trump for this news
distortion allegation regarding the interview of Vice President Harris. They
also have a merger proposed with another large media company, Skydance Media. And
that merger that, that, it's a sale of Paramount to Skydance, it has to be
approved by the Federal Communications Commission, the FCC, part, an executive
branch agency. And so while this, while this lawsuit is pending against
Paramount, Paramount also has this proposed merger pending in front of the FCC.
And so now we get to the recent history. Last week, Paramount
announced that they were agreeing to settle the lawsuit, the news distortion
lawsuit with President Trump for $16 million. And there was kind of immediate
backlash in, in the media and among legal, legal scholars lamenting the fact
that this settlement would legitimize what many saw as just a, an effort to
sensor and chill journalistic activity that President Trump saw as adverse to
him.
And so there was a strong kind of First Amendment backlash and
criticism of the decision to settle this lawsuit, on top of the fact that
people felt like, you know, $16 million was so far in excess of what it would
take to actually settle this claim. Most people thought it, you know, it, it,
it shouldn't be settled and that it would be dismissed fairly quickly by the
courts. And if you were gonna settle it, you could settle it for far less than
$16 million.
So that begs the question, why in the world would paramount
settle and pay $16 million to President Trump to settle a frivolous lawsuit? And
the answer is, is why we're here today and why we're talking. The, the theory
is that Paramount settled for $16 million because they wanted to influence
President Trump to get the FCC to approve Paramount's proposed merger with
Skydance.
And the, the allegation that has been made, the theory is that
this was part of a quid pro quo that Paramount took a look at this and said,
look, $16 million is nothing in the, in the face of this massive transaction
where we would be sold to Skydance. We'd be happy to pay $16 million to get the
FCC to approve our proposed merger.
And so, the assumption I think has been by some that this must
be part of a corrupt deal, essentially, a bribe. President Trump, we’ll settle
your frivolous lawsuit for $16 million, you approve our merger with Skydance
Media. That's the theory.
James Pearce: So
lemme just boil, boil it down. So we've, we've got our, our thing of value,
right? We've got $16 million, no question about that, right? We've got that
exchanged for official action. The official action is the approval of the
merger. I don't think there's any question that a, a pending merger before the
FCC would, would amount to official action, right? That's, that, that's not
gonna be, be a problem.
And so then what is missing, if, if anything, in, in your view?
If, if we've got the thing of value, we've got that at least a plausible case
that that is exchanged for favorable action on the, on the merger question
before the FCC, where if, if at all, does that argument breakdown?
John Keller: I'll
present both sides of the argument. You know, where I come down on this, and
it'll become clear probably where I come down on this. But as a former
prosecutor, the, the government's argument here would be, look, there's
circumstantial evidence. The timing is too convenient. You have the settlement
of this lawsuit at the same time that the merger is pending.
The, the approval of the merger, the, the facts get even better
for the government if, if the, if the FCC does in fact approve the merger in
the coming weeks or even months, because then as the government, you point to
the fact that, look, you, you, the, the settlement was a precondition for
approval. Paramount agreed to pay the $16 million and then lo and behold the
FCC approved their merger, which had been pending for months at that point.
That's circumstantial evidence right there of a quid pro quo of conditionality
of corrupt intent. That would be, that would be the argument.
And then even before we get to proving the case, I think if you
were the government, you would say, well, we at least need to investigate. Sure,
we may not have all of the facts and all of the evidence right now upfront, but
this, this presents facially enough evidence, just the, the, the circumstantial
evidence alone, the timing here facially presents enough facts that we have
predication, we have a, a, a reasonable basis to justify a federal criminal
investigation.
So we should open an investigation, start issuing grand jury
subpoenas, interviewing people, and seeing what kind of case we can build. Even
if we don't uncover a smoking gun, we have enough here circumstantially to
argue that there was a, a corrupt exchange, or at least a corrupt offer, an
attempt to influence President Trump by, by Paramount. So that's, that's one
side.
James Pearce: Okay.
So now, now you know, now you can take that, that former prosecutor hat off
and, and as a defense attorney, as maybe you, you now are in your, in your
current role. What are the arguments that, that you would make that in fact,
there's no, there, there?
John Keller: Yeah, I
will, I will do that. I will also say though, that I think this is an exercise
that I would've undertaken as a former prosecutor as well. And I should say a,
as I was kind of presenting that side of the argument, I don't mean to suggest
that every prosecutor would take that view. I think trying to pres, provide
what would be kind of the best view of, of a prosecute in support of a, a
theory of prosecution.
But I, I will tell you, at Public Integrity, I, and, and my
colleagues and in U.S. attorney's offices we would've looked at all different
sides of this in, in kind of debating and thinking about whether or not a
criminal investigation was even appropriate, let alone proceeding with criminal
charges.
But for, for kind of simplification purposes, just now
switching to to the defense side. The, the argument I would make is you have
zero evidence of the pro. So you have the quid, you have the, the $16 million,
the thing of value. And you have the quo, you have potential official action to
be influenced the approval by the FCC.
But you have no evidence linking the the quid and the quo
together, and that linkage is critical. It's it's dispositive. It's required
for any bribery prosecution. One, to show corrupt intent because without the
linkage, you can't have an intent to engage in a quid pro quo. You have to have
the linkage in order to show intent to engage in a quid pro quo.
And here there's just, there's no evidence of that. Not only is
there no evidence that Paramount reached out to communicate either implicitly
or explicitly some kind of offer to the, to the administration to say, hey,
look, you know, your lawsuit sucks. We're thinking about settling it. We'll
settle it for well above fair market value.
But you know, we've still got this thing pending with the FCC.
We haven't heard anything. It's been a while. You know, just wanted to remind
you of that as we launch into these settlement discussions. I mean, there's,
there's no allegation in the public record that, that there was even a hint to
linking the settlement to the FCC approval. So that's, that's one problem.
A second problem is that contrary to any kind of linkage, you,
you really have evidence that in the public record that weighs against defining
corrupt intent already here. One, this is an open and notorious settlement.
While everyone knows that the, the merger issue is pending in front of the FCC,
so all the facts are out in the open here.
You've got lawyers, presumably armies of lawyers on both sides.
On the Paramount side and on the administration side, or on, I'm sorry, on
President Trump's side, probably the, the campaign or, or personal attorneys,
reviewing this proposed settlement in full awareness of the fact that the FCC
merger is still pending approval or the, the Paramount merger is still pending
approval with the FCC.
And so, you know, open and notorious conduct that is vetted by
lawyers is very rarely conduct undertaken with criminal, corrupt intent. And
even if in some hypothetical world, all of this is done in secret. The, the
actual negotiation about the deal is done without any lawyers knowing, and it's
done through intermediaries, and it's, it's done completely covertly and
secretly, that's gonna be a, a nearly impossible case to prove because of the
lack of direct evidence of a quid pro quo.
And then evidence that suggests there, there wasn't a quid pro
quo because everything was done openly and notoriously and, and with lawyers
reviewing it.
James Pearce: All
right, so let me, let me, let me stop you with a, with a couple of of, of
questions here. First on this, this open and notorious point, does that mean
that if if I were prosecuted for, for some offense and I were worried that in
fact, you know, the prosecution were, was gonna be successful, and so I decide
that, that I, that I wanna, you know, engage in some public corruption to, to
get it to stop. And so I think, you know what, I'm gonna bribe the judge.
That so long as I, you know, I say I, you know, I go out on
social media or something and I announce the world, I'm gonna pay this judge to
to stop this prosecution. And the judge, you know, says, ah, well, let's just
say it's a, it's a, a judge who's, who's open to this type of arrangement says,
oh yeah, okay, I'll accept that. It's all out, it's all out in the, in the
public. That can't possibly mean I'm off the hook, right?
John Keller: No, no,
no, no. Clearly not. It's not a legal defense. And so it doesn't make the crime
impossible. It doesn't make the crime a legal impossibility, but it is a strong
factual rebuttal to the idea of corrupt intent because as you were describing
your hypothetical, I think most people probably perceive that as, you know,
vanishingly unlikely to occur in the real world.
Because when people are engaged in wrongdoing, they generally
try to cover it up. And so, you know, whether it's a whether it's a
mischaracterization of a relationship, of a financial relationship that's
actually bribery and the, the parties draft some documents to make it appear as
if it were a legitimate consulting agreement for services or something like
that.
Or whether it's just all done in secret. There is almost always
an effort to conceal or mischaracterize what's actually happening. And you
could make the argument here that, well, yeah, they did mischaracterize what
were happening, what was happening, they wanted to pay Trump $16 million to get
the FCC approval. And so they wrapped it up in, in a and, and tied a bow on
this settlement agreement. And mischaracterized that as an, as an actual
legitimate settlement of a lawsuit, when in reality it was just a way to funnel
$16 million to the president. You could make that argument.
I just think that given the level of sophistication of
paramount and lawyers working for the Trump campaign and the fact that there's
already been comments in, in the public record, that lawyers vetted this, at
least on the Paramount side, out of concerns about potential allegations of a
quid pro quo. I think the open and notorious point is difficult, would be
difficult for the prosecution.
And then the advice of counsel piece would be nearly
insurmountable if in fact, Paramount lawyers would be able to come into court
and say, yes we looked at this, we told, we told our client, as long as this is
not linked to the pending merger, pending approval in front of the FCC, as long
as this settlement is not linked to that, explicitly or implicitly, when the
settlement offer is made to President Trump, then it's not a crime.
Assuming that lawyers kind of gave that advice, which again,
there are hints in the public record that they did, I think proven corrupt
intent here is all but impossible.
James Pearce: So
lemme ask one, one other question on this, and let's flip over and talk about
the, the, the other two, which is, I think you made passing reference to this,
but were there evidence to suggest either on the Paramount side that there were
some communications saying, look, the, the reason that we're, we're settling
and what we, what, what we all know as a frivolous lawsuit is that we want your
help on, on moving our merger forward.
Or on the other side, if the administration had said, huh, you
know, or, or there was some evidence from, from someone at the FCC or the, the
executive branch more generally saying, oh, interesting, you got this merger
going. You know, one way to move it forward might be you, you went ahead and
settled this, this lawsuit that will, that will put money directly into
President Trump's pocket or, or entities that he controls.
Fair to say that, that, that a fax along either of those
vectors were, were were found or established, this, this starts to look a lot
differently than, than the case you've laid out?
John Keller: Yes,
especially, and, and regardless of advice from lawyers or the open and
notorious nature of the transaction, I think then you have a, a viable bribery
case if you're able to uncover communications like that, especially if they
were made in the face of legal advice, specifically directing the client not to
tie the settlement in any way implicitly or explicitly to the pending, you
know, merger before the FCC.
And it wouldn't, it wouldn't take much. You know, people don't
have to say the quiet part out loud. They don't have to say, President Trump, we’ll
agree to this $16 million settlement if you get the FCC to approve our merger.
All they have to do is hint enough that a reasonable observer would understand,
or that you could get someone who was involved in the, in the communications to
testify that they understood as a party to the conversation that what was
happening was an offer of a quid pro quo.
And that's true for the Paramount side if they were the ones to
who wanted to kind of slip this in to a settlement discussion, kind of oblique
reference to the FCC approval of their merger. Or if it were done on the
administration side. If someone, you know, Trump or one of his representatives,
you know, subtly mentions alludes to the fact that this FCC approval process,
you know, it's a very complicated fact dependent process. But it would
certainly be helpful to know that FCC has resolved this kind of outstanding
claim with the president before we move forward.
You know, it doesn't, it doesn't take a complete kind of
explicit discussion. But you do need some facts to suggest that there was
linkage because otherwise you don't have an offer. And, and, you know, we've
been focusing on corrupt intent, and I do think that's, that's probably the
appropriate piece of the analysis to focus on.
But at even a more kind of gatekeeping basic level. What, what bribery
criminalizes is an offer or a solicitation. So the offer to exchange something
of value for an official act or a solicitation by a public official of
something of value for an official act.
And if you don't have an offer of a, or a solicitation, all of
the circumstantial evidence in the world showing that. Look, the only reason
anyone in their right mind would've ever agreed to pay $16 million to settle
this lawsuit is if they thought they were gonna be able to get some other benefit.
And here the other benefit was clear. It was FCC approval.
All the circumstantial evidence of the world isn't going to
satisfy the elements of bribery without some actual expression of an offer or
some actual expression of a solicitation. It doesn't ha it can be implicit, it
can be carefully worded, but there has to be some evidence of an offer or a
solicitation. And I just, we don't have that here at least based on the, on the
public record so far. And I think it's unlikely that the government would be
able to develop evidence of that based on what I know about the case so far.
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[Main Podcast]
James Pearce:
Alright, excellent. Reassuring also to know that the parties themselves don't
need to know Latin and say quid pro quo so as to, to, to potentially become,
you know, get, get on the hook for, for bribery. Let's talk about the law
firms. I don't think we need a factual setup. I think there's been a lot of
discussion. Lawfare’s done coverage of it. There's been a lot elsewhere.
And in fact, I don't even think we need the, the, the pro
argument. I think we, we in, in the piece that Natalie and I set, set that out.
You know, I, I don't think we were saying yes, this is a case, but I think we
said, look, there's the basic quid pro quo argument. You've got the provision
of pro bono legal services valued up to $40 million in Paul, Weiss's case. A
hundred million in, in some other law firms, maybe even a bit more than that.
In exchange for that, you've got the administration rescinding an executive
order in Paul Weiss's case or agreeing just not to issue one in the case of the
other law firms.
Tell me what concerns you might have either in your old
capacity in, in analyzing such a prosecution at PIN or in your, in your new
capacity looking at this from, from a, as a, as a white collar public
corruption defense attorney, potentially. What, what concerns you might have
with trying to move forward on, on that as a prosecution theory?
John Keller: Yeah,
for, for, for purpose of the analysis, a a, a completely different fact pattern
in terms of here we have an abundance of evidence of a quid pro quo. There is
no doubt that there was intent to exchange pro bono services for official
action. Official action being withdrawal of the executive order in for some of
the law firms, for Paul, Weiss, for other law firms foregoing an executive
order that would target them altogether. So undoubtedly a quid pro quo.
But I wanna pause there and just jump back to Paramount very
briefly because we left one prosecution theory on the table and I think it's a
little bit of a glaring omission and I meant to touch on it, which is you, you
wouldn't necessarily have to have this offer or solicitation if you had parties
internally at Paramount discussing making the offer and agreeing to make the
offer, even if it was never actually made, even if cooler heads ultimately
prevailed. If you had some people at Paramount who reached an agreement to make
a corrupt offer to President Trump, that would be enough for conspiracy
liability.
And similarly on the administration side, if you had
representatives of Trump or, or, or Trump and others talking about using the
FCC approval as leverage to extract a better settlement and agreeing to do so.
You could have, again, potential conspiracy liability, even if that
solicitation was never actually made. Alright? So that, that, that finishes
that.
And then so now we move back to the law firms where we do have
a clear offer of, of a quid pro quo, something of value, pro bono services,
tens of millions of dollars for Paul, Weiss. But some of these other law firms
more recently, hundreds of millions of dollars in pro bono services to causes
supported by the administration in exchange for withdrawal of an executive
order targeting the law firm or, or foregoing the executive order, a
contemplated executive order that would target the law firm.
So, so we don't have the problem that we had in the Paramount
example of there being no corrupt offer. Or maybe we have the problem, which
we'll, we'll talk about in just a second maybe, maybe we have a problem with
corrupt intent, but we certainly have an offer. And, and the offer was agreed
to and accepted. So potentially liability on, on all sides.
The, the problem that I see, and I think it's a fatal flaw, I
don't, I don't, I think this is a legal prohibition to charging this fact
pattern. Is that the thing of value here, the pro bono services are given to
the administration institutionally, or they're given to the office of the
president institutionally. They're not given to President Trump or some other
public official in a private capacity in a, in a personal capacity.
And it doesn't have to be, the money doesn't have to go to
President Trump, it can go to any kind of third party of his choosing. But it
has to be a benefit to him personally. It can't be an, an institutional benefit
because otherwise you run headlong into kind of commonplace examples of
negotiations between private parties and the government or companies and the
government where private parties agree to give something of value. They agree
to pay a fine, they agree to provide valuable information, they agree to
provide services, whatever it might be in order to resolve an ongoing
enforcement action, be it civil, criminal, either way.
It could be a, a defense contractor agreeing to pay a fine so
that, that they're not barred from participating from bidding on DOD contracts.
It could be a healthcare provider paying a fine so that they're not banned from
participating in Medicare. It could be an individual defendant agreeing to
provide information to the government about other criminal activity so that
they, the individual doesn't have to, isn't charged criminally or, or, or
pleads to reduced charges.
These are kind of commonplace examples of, of a quid pro quo
for sure. And intent on the, on the bribers part to exchange something of value
in exchange for official action. But it's something of value to the
institution, to the government generally, not a private benefit to a specific
public official.
James Pearce: Let, let
me stop and just ask you about, about mi a mixed motive question, right? So I
think everything you've said, said, said, makes a, a good deal of sense to me.
But, but what happens–and, and not clear that the facts here would, would
establish this–but if the, the deals between the, the law firms and the
administration involve both the kind of institutional benefit that you're
talking about, but also there's, there's some carve out that said, you know, 5
million of this will, will be for President Trump specifically should he ever
in the future face, criminal or civil investigation in connection with, with
anything while he was president.
Now for immunity reasons, probably not even gonna exist anyway.
But let's just say there was some, some piece like that. And so there was,
there's clearly both the kind of institutional benefit you're describing and
arguably at least some, some direct personal benefit to the president. Does
that change the analysis? Would that change the analysis?
John Keller: Well, I
think your hypothetical is a, is an interesting one in that it, it, it kind of
bifurcates the something of value. So it, it says, okay, you get the pro bono
services for the causes that you like, but then there are also gonna be pro
bono services that would only, that would only be provided if you developed a
personal need for them, essentially.
And so in that hypothetical I think it's a much closer question
because certainly if the, if the agreement was we'll give you President Trump
pro bono legal services if you are ever prosecuted, once you are out of office,
and even if you aren't prosecuted, we'll represent you civilly and file
lawsuits on your behalf to, you know, until we've hit the threshold of $40
million or something.
If that was the agreement, then I think you would have a viable
bribery prosecution. And, and so your, your hypothetical was, well, what if you
have both? I think if you have both, maybe you just don't charge the, the tens
of million in pro bono services for the administration, but you do charge the
agreement to provide whatever, you know, millions of dollars as pro bono legal
representation for President Trump and his personal capacity once he's out of
office.
And I think if, if you charged it that way you would have a
potentially viable bribery prosecution.
James Pearce:
Anything else you wanna add on, on law firms before we turn to our third, third
case study here?
John Keller: Just
that, although I do think that fact pattern that you raised presents a
potentially viable bribery case, I think the, the more difficult bribery case
from a prosecution perspective would be this case or another one like it where
the law firms agree to provide $40 million of pro bono services to a cause that
the administration supports or they agree to do some other kind of service for
the administration.
Say, for example, we agree to defend President Trump in any
lawsuits concerning the building of the wall on the border. Anybody that
challenges the administration, the, the executive branches expenditure of funds
to build a border wall, we, Paul, Weiss will step in and defend the
administration, assuming that was even logistically possible for a minute.
And, and the argument is, well, that has an enormous personal
benefit for President Trump. It furthers his political agenda. Let's, let's
again we're, we're getting, you know, we're ignoring a lot of actual facts in
favor of the hypothetical here, but let's, let's assume that President Trump
isn't term limited. Let's say that he's running for office running for
president again.
And the argument is, well, this has tremendous personal benefit
to President Trump because the border wall is one of his signature kind of
campaign promises. And if he's able to actually successfully build that, then
you know, it improves his political prospects exponentially. I still think that
runs into the same problem that we're talking about in that every governmental
enforcement resolution arguably has some political or professional benefit for
the public officials involved, think about career prosecutors who are working
on a big case.
And they get a, they get an a significant settlement out of a
big company, you know, that's very high profile and that's viewed by many as
you know, successfully resolving serious misconduct. Those career prosecutors,
their, their, their career prospects potentially are increased based on that
kind of official action.
But if you try to, if you try to extend kind of professional
benefit to the personal realm, I think you, you run into the problem of a lack
of a limiting principle and potential constitutional problems of vagueness and
due process violations, and you're not gonna be able to successfully prosecute
that case.
James Pearce: Yeah,
I, I, I think that's right. Okay. Let's, let's tackle our third scenario, one
from, from February of this year, the dismissal of the Eric Adams prosecution.
I think at a, at a high level, the allegation there has been suggested that
there was the dismissal of the criminal indictment in exchange for Adams
agreeing to further the administration's immigration agenda. You know, why
isn't that an example of bribery?
I'll, I'll sort of say from the top for, for any of our
listeners who know you and your time in the Justice Department touched that
case, worked on that case. So all of our discussion here will rely on public
information. So no, no reference to nonpublic information, nothing that you
learned in the course of your time as a at the Public Integrity Section, as the
chief of the Public Integrity Section on that case. So how would you analyze
this as a potential bribery prosecution?
John Keller: Yeah, so
there, there were similar calls for corruption investigation or
characterizations of, of the Adams dismissal as part of a quid pro quo similar
to the, to the law firm deals and the Paramount settlement. For me, the, the
Adams dismissal is, is analogous to the law firm example in that the, the
benefit there, the, the arguable quid, the something of value going to Trump
from Adams was, was cooperation with the administration's immigration
enforcement agenda in New York City.
And so that clearly could be something of value, but it's
something of value to the institution, to the office of the president, to the
executive branch. It's not a private benefit to President Trump. And so I, I
think that fact pattern runs into the same problem that the law firm fact
pattern does in that the quid is, is not legally actionable quid for purposes
of a bribery investigation.
And, and, you know, I should say it's not just me spouting this
or, or coming up with this. The United States Court of Appeals for the Seventh
Circuit addressed very similar concepts in the case of United States v. Blagojevich,
which stemmed from the prosecution of then Governor Rod Blagojevich in Illinois
seeking to trade the senate seat, that that had been vacated by, by then, President
Obama.
Blagojevich was seeking to trade that Senate seat for a Cabinet
position in, in President Obama's cabinet. And so he basically called up, as I
understand it somebody in the White House or in the incoming administration for
President Obama and said, look, you guys can pick whoever you want for the
Senate seat. By statute or, or by law in Illinois, I'm the one, the governor
gets to fill that seat, but you guys tell me who you want me to pick, and I'll
pick 'em. But then you have to put me in, in President Obama's Cabinet. Give me
a Cabinet level executive branch agency position.
And he was prosecuted for a bribery for quid pro quo. That
certainly seems to check all the boxes. Something of value is the quid, is you
get to fill this highly coveted senate position. And the quo is, you name me to
a Cabinet position. But the, the Court of Appeals for the Seventh Circuit said,
this is commonplace. What they, the term they used was political log rolling.
This type of negotiation, kind of official negotiation, as unsavory as it might
be, happens all the time.
And they used a historical example of the way that a Supreme
Court justice was confirmed, nominated, and confirmed, was based on some
political horse trading. And they said, look, if you, if you allow this kind of
fact pattern to give rise to a bribery prosecution, you could criminalize some
of the most significant kind of personnel decisions in, in the history of this
country.
And they just said there's no way that Congress, we're not
gonna assume that Congress intended that bribery laws to apply that broadly
without some more specific indication in statutory language that that Congress
intended to bribery laws, to, to extend that broadly.
And so I think similarly here, getting back to some of the
hypotheticals I was throwing out about, you know, a healthcare company paying a
fine to resolve liability or a, a defense contractor or an individual similar
to Eric Adams agreeing to cooperate in some sense, just in a very
non-traditional sense of supporting the, the administration's immigration
agenda in New York City is you know, part of the regular, ordinary course of
functioning of government enforcement. And so it's, it, it's beyond the scope
of the bribery laws.
James Pearce: All
right? So, so I think that's, that's extremely helpful and a, a good place to
end our account of the three factual scenarios. But I don't wanna end quite
there. I wanna pose one final question. Maybe it's unfair me, maybe not because
it's, it's gonna ask, gonna push you a little bit beyond your, your typical
prosecutor or former prosecutor position.
Which is, if it's right that an experienced public corruption
prosecutor, former prosecutor like yourself, you know, comes to the conclusion
that, that none of these factual scenarios amounts to, to bribery, and it's
something that could be prosecuted. And yet, let's say I'm a public citizen and
I'm deeply concerned about all three of these, and I think that this just
reflects the, the, the coming apart of, of, of democracy, the, the way in which
power and, and influence can kind of get, get you results in ways that just
don't reflect what I think should be a more fundamentally fair society.
Just putting this all out, out here as a hypothetical, well
what does that mean? Or what steps, you know, are there congressional steps to
be taken to address this? Is that, is, is is the only response to that look
like the political log rolling in, in Blagojevich, it's all gotta be a matter
of politics. Is there a, is there a remedy if criminal prosecution is not an
available avenue to address what some may see here as unseemly conduct?
John Keller: Yeah.
Actually, I appreciate you flagging this. I, because I, I don't mean to imply
through my comments today that I, that I sanction or, or give a clean bill of
health to the conduct that has occurred in our three, in our three scenarios
that we've discussed. I think there are ethical implications. I think there are
prudential implications for sure.
I think there are even aspects of, of these different
scenarios. Certainly the law firm example that involve violations of law. They
are civil violations of law. They may be constitutional violations where the
executive order targeting Paul Weiss was probably illegal and unconstitutional,
given federal court decisions regarding other executive orders, targeting other
law firms that were actually challenged in court. Now we don't have an
appellate decision yet affirming any of those district court decisions.
James Pearce: But
just to jump in, but we did have the administration notice an appeal just at
the end of June. And so we will presumably have an appellate decision on this
at some point. But anyway,.
John Keller: No, no.
And it'll be interesting to, to analyze that when it comes out. But so, so just
a, a way of saying, look, I think there are real problems with this conduct. I
think there are, there are ethical problems, prudential problems and, and even
legal problems. Some of this conduct is, is illegal. It's just not criminal.
And so, at least not for purposes of the bribery statutes.
And so, you know, yes, there, there is recourse. What is that
recourse? Well, when, when you have misconduct, arguably, by the executive
branch what's supposed to happen is the legislative branch operates as a check
on that misconduct or the judicial branch operates as a check on that
misconduct.
Now we've seen the judicial branch fulfill its function and
operate as a check in some ways in terms of striking down executive order,
orders targeting, targeting some of the law firms. But we really haven't seen
much of a check or really any check from the legislative branch. So you have,
you have kind of the normal system of checks and balances set up by the
constitution that should operate here.
And then you also have, you know, voters when you have a, a
political problem when you have kind of inherently political misconduct, the,
the most natural solution to that is, is voters vote the person out of office.
Here, Trump is term limited, so, you know, maybe there are limits on what the
voters can do, but voters, their voice can be heard through the midterm
elections.
And if, if the majority changes in, in the House or the Senate,
that could certainly have implications and make for a potentially more robust
check on executive power here. And then finally you have the legal community.
So you need lawyers to file lawsuits. You need lawyers to challenge this
conduct. You need lawyers to talk about the different implications of the
conduct.
And you need prosecutors to be thinking about whether or not
this conduct does satisfy the elements of, of various criminal statutes. But I
think criminal law is often ill-fitted to address inherently political problems
and we, we wanna be careful not to overextend or misapply criminal laws because
of our outrage, our visceral reaction to repugnant political conduct.
Because one, those prosecutions can often run into serious
legal challenges. And two, when you make exceptions or you make extensions of,
of criminal law to fit certain facts that, that you find that are, that are
political nature, as repugnant as they may be, I think you run the risk of
furthering the kind of erosion of constitutional protections that we're all
concerned by given the conduct of this this administration, instead of
combating those, those erosions of constitutional protections. So I just think
it's important to be judicious, especially with the application of criminal
statutes.
James Pearce: Yeah.
I, I, I think that that's extremely well, well, well said. And I think it, it
should be resonant coming from someone like yourself who spent so many years as
a criminal prosecutor.
And I think there's too often the kind of public perception
that for, you know, criminal prosecutors are, are, are the hammer and every
problem looks like a nail. And the answer is, is therefore prosecute. And I
think you've given a far more sophisticated and, and nuanced account.
You sort of provide an example of, of the category of, of a
lawyer coming, coming on, on to, to talk publicly about walking through this in
a careful elements and, and a legally focused way while, while acknowledging
that there may be broader societal questions that this type of conduct in these
factual scenarios presents. So I appreciate doing all that. Great to have you
again on, on the podcast. And who knows, maybe we'll have you again soon.
John Keller: Thank
you, James. It was, it was great as always. I appreciate it and yeah, look
forward to the next time.
James Pearce: The Lawfare
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