US President-elect settles Trump University fraud case

The New York attorney general confirmed on Friday that Trump agreed to a $25 million (23.6 million euro) settlement which covers three fraud lawsuits related to his Trump University series of real estate seminars.

"Today's 25-million-dollar settlement agreement is a stunning reversal by Donald Trump and a major victory for the over 6,000 victims of his fraudulent university," Attorney General Eric Schneiderman said.

The settlement covers two class-action lawsuits filed in California and a civil suit filed by Schneiderman.

Under the agreement, Trump will also pay up to $1 million (944,000 euros) for breaching New York education laws.

"I am pleased that under the terms of this settlement, every victim will receive restitution and that Donald Trump will pay up to $1 million in penalties to the State of New York for violating state education laws," Schneiderman said.

Trump was accused of misleading students by Trump University calling itself a university although it was an unaccredited school and by saying Trump had "handpicked" the lecturers. The program also falsely promised students success in real estate through programs which cost up to $35,000.

The settlement, however, does not require Trump to acknowledge any wrongdoing.

The president-elect accused US District Court Judge Gonzalo Curiel, who was born in Indiana to Mexican immigrant parents, of being biased against him. He said the judge could not be impartial because of Trump's pledge to build a border wall with Mexico.

Judge Curiel, who presides over the two California cases, repeatedly urged both sides to settle. The settlement is now subject to Curiel's approval.

The cases against Trump came up frequently during his campaign for the presidency. The president-elect has denied any wrongdoing.

Previously, Trump's legal team sought to delay the New York state civil fraud trial until after Inauguration Day.

rs/kl   (AP, AFP, dpa, Reuters)