Can somebody explain why Cohen employed a shell company to pay Daniels in terms a non-mafia individual can understand?

[Shermann]

The shell company was "Essential Consultants". I would think setting up a shell company would leave a large number of fingerprints behind, which is the opposite of what you would want. It was seemingly not difficult to connect that company to Cohen and Trump.

Why not opt for the suitcase full of cash instead? Was this so that "Essential Consultants" could pursue Daniels if she reneged? Or was it simply to facilitate the embezzling of business assets?

[Irish_Dem]

1. He had to give the banker a legitimate reason for the home equity line?

The banker wants to know why Cohen is taking out a $130,000 mortgage on his home?

[Blues Heron]

2. maybe they thought they were being slick.

[eallen]

3. It doesn't have to make sense

People who run frauds often concoct schemes that are overly complex, thinking such has some advantage. When they're uncovered, the law enforcement involved can't explain it more than anyone else.

But also don't have to.

[Shermann]

5. It's possible Cohen had other plans for the shell company as well.

A shell company sounds like it might be a useful thing for those looking to bend the rules.

An outright rule-breaker probably wouldn't see the need for it.

[MOMFUDSKI]

6. For future payoffs for many other

trysts.

[JustAnotherGen]

4. Everything

Is a shake down and a scam.

That's all I've got.

[Eugene]

7. Cash raises red flags, and shell companies that conceal the beneficial owner are trivially easy to incorporate.

Essential Consultants, LLC is the name on the check, not Michael Cohen or Donald Trump.
It looks like any routine business transaction.

EC was incorporated in Delaware, a shell company-friendly state.
Idaho is even friendlier. In principle, such companies insulate
the beneficial owners from liability in the case of business failure.
However, they can also be used to hide bad actors from accountability.

[MineralMan]

8. It gets the laundry cleaner.

Because the dirty clothes are never touched by identifiable human hands.

[GoCubsGo]

9. This might provide a bit of insight.

https://www.nbcnews.com/business/taxes/what-trump-s-disclosure-his-500-llcs-can-can-t-n874391

He had over 500 LLCs, (shell companies), and he used them to move money around, likely for the purpose of tax evasion. He probably has so many of them in order to sow confusion.

[unblock]

10. In this case, to try to make it look like a business expense.

A suitcase full of cash is highly suspicious. Sure, the payoff itself couldn't be traced, but how do you explain the $130k withdrawal to cash? That looks like embezzlement or showing otherwise dodgy. Certainly not a business expense.

But a $130k payment to a consulting company? That looks legit... as long as you don't look into the consulting company's books.

[Shermann]

12. Amassing cash is the easy part if you are rich

You can spread apart the withdrawals or flip some merchandise or whatever.

The hard part is storing and transporting it securely.

Once a porn star gets it, it is gone forever. NDA or no NDA.

[unblock]

13. Well, unless the porn star's rogue lawyer files a meritless lawsuit....

[Shermann]

14. I doubt Trump will ever see a dime of that award

At the end of the day, she's a middle-aged woman who works in strip clubs who got her 15 minutes of fame.

Avenatti was really the mastermind of the whole publicity stunt, Trump should have gone after him. He had money at one point (not so sure about now).

[grumpyduck]

11. Im guessing Michael doesn't watch much TV.

If he watched cop shows, he might have thought to break up the money into several payments.

[Shermann]

15. They don't really cover white collar crimes on the reality cop shows

Do they even still have reality cop shows??

I do enjoy "The First 48". If I ever decide to take somebody out, I'll know what to do (and what not to do).

[grumpyduck]

16. I wasn't thinking of reality shows,

but that's a good point.