Trump insists no campaign money was used to pay porn star hush money

Rudy Giuliani earlier revealed Mr Trump reimbursed his personal lawyer for a $130,000 payment

Trump insists no campaign money was used to pay porn star hush money

Donald Trump. Picture by: Carolyn Kaster/AP/Press Association Images

Updated 13.50

The former Mayor of New York has revealed that the US President reimbursed his personal lawyer for a $130,000 payment used to keep porn star Stormy Daniels quiet before the 2016 election.

Rudy Giuliani was New York mayor for seven years and has recently joined President Donald Trump’s legal team.

President Trump has previously insisted he was unaware of the hush money handed to the adult actress to buy her silence over their alleged affair.

In February, the president's personal lawyer Michael Cohen talked publicly about making the payment – claiming he had used his own money.

Today, President Trump took to Twitter and appeared to confirm Mr Cohen was reimbursed.

However, he insisted no campaign money was used to reimburse the lawyer, and again denied the alleged affair.

He wrote: "Mr Cohen, an attorney, received a monthly retainer, not from the campaign and having nothing to do with the campaign, from which he entered into, through reimbursement, a private contract between two parties, known as a non-disclosure agreement, or NDA.

"These agreements are very common among celebrities and people of wealth. In this case it is in full force and effect and will be used in Arbitration for damages against Ms Clifford (Daniels)."

He added: "The agreement was used to stop the false and extortionist accusations made by her about an affair despite already having signed a detailed letter admitting that there was no affair."

Alleged affair

Daniels claims she had sex with Mr Trump in 2006, months after his third wife gave birth to his youngest child.

Mr Giuliani told Fox News' Hannity programme that Mr Trump's payment to Mr Cohen "is going to turn out to be perfectly legal" because "that money was not campaign money."

File photo of former New York City Mayor Rudy Giuliani in the lobby of Trump Tower, 12-01-2018. Image: Evan Vucci/AP/Press Association Images

Asked if President Trump knew about the arrangement, Mr Giuliani said: "He didn't know about the specifics of it, as far as I know. But he did know about the general arrangement - that Michael would take care of things like this, like I take care of things like this for my clients.

"I don't burden them with every single thing that comes along. These are busy people."

"Blatantly lied"

Daniel’s lawyer said Mr Giuliani’s comments prove the President Trump “blatantly lied” about the payment adding, “This should never be acceptable in our America. We will not rest until justice is served.”

Defamation

Daniels is suing Mr Cohen for defamation after he questioned her story about the alleged sexual encounter.

The 39-year-old - real name Stephanie Clifford - says she had unprotected sex with Mr Trump after he invited her to his hotel room, then pulled his trousers down.

She is seeking to be released from the $130,000 non-disclosure agreement she signed shortly before the 2016 presidential election to stay quiet about the alleged affair.

Mr Cohen admitted to making the payment – however he insisted President Trump was not part of the transaction and expressed doubt over Daniels' story, demanding that she "cease and desist."

In court documents filed in Los Angeles, Ms Daniels' attorney said: “Cohen meant to convey that Ms Clifford is a liar, someone who should not be trusted, and that her claims about her relationship with Mr Trump is 'something (that) isn't true.’”

Daniels' lawyer, Michael Avenatti, has said he is holding back further details of the alleged affair, including the contents of a data disc he tweeted a picture of recently, for strategic reasons.

Additional reporting by Stephen McNeice