President Donald Trump's longtime personal lawyer, Michael Cohen, facilitated a payment plan totaling $1.6 million previous year to a former Playboy model who says she became pregnant by Elliott Broidy, a leading GOP fundraiser, a source tells CNN.
In 2009, Mr. Broidy pleaded guilty to charges that he made almost $1 million worth of illegal gifts to New York State officials in order to win an investment of $250 million from the state's public pension fund. It is not known what type of personal injury claim the woman made. Both Daniels and McDougal allege they had affairs with Trump and that they were paid to be quiet about those encounters.
Broidy, in turn, denied allegations, and said he wouldn't make legal claims either as long as she signed the contract.
Attorneys for Cohen and Republican National Committee spokespersons, as well as lawyers for the former Playboy model, have not yet responded to CNBC's requests for comment. The woman became pregnant during the affair.
According to the Wall Street Journal, which broke the story, and The New York Times, the $1.6 million payment to the woman was brokered by attorney Michael Cohen - President Donald Trump's personal lawyer whose offices were raided by the Federal Bureau of Investigation on Monday.
In a statement, Broidy admitted to the relationship but did not address whether he impregnated the woman.
Mr Broidy said Mr Cohen contacted him after being contacted by the woman's lawyer, Keith Davidson.
"I acknowledge that I had a consensual relationship with a Playboy Playmate", Broidy said.
Broidy apologized to his wife and family for the affair with the Playmate, who discovered she was pregnant and chose to get an abortion. "At the end of our relationship, this woman shared with me that she was pregnant. We have not spoken since that time", Mr Broidy said in the statement.
The source says it allows the woman to speak about and take legal action concerning her alleged pregnancy if she so chooses. "She alone decided that she did not want to continue with the pregnancy and I offered to help her financially during this hard period".More news: VW's top labor representative backs Diess as new CEO
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Broidy agreed to pay the $1.6 million over two years, and completed the first instalment in December, the person said.
Under that agreement, she got paid $150,000 for the publisher in exchange for exclusive rights to her story, along with some magazine covers and fitness columns she would write.
The person added that so far, "all payments have been made pursuant to the agreement".
The report of Cohen's payment to a third woman alleging an affair comes just days after the Federal Bureau of Investigation raided his hotel room, office, and apartment in NY on Monday.
And the authorities reportedly seized documents and communications related to the now-infamous "Access Hollywood" tape containing audio of Trump boasting about sexual harassment.
The report is the latest example of Cohen negotiating nondisclosure agreements and payments to women who allegedly had affairs with his clients.
The news of Broidy's settlement comes the same day the Department of Justice said Cohen is under criminal investigation for his business dealings.
Cohen admits to paying Daniels, whose real name is Stephanie Clifford, $130,000 in 2016 to stay quiet about an affair she claims she had with President Trump in 2006.
In October 2016, Davidson negotiated with Cohen the confidentiality agreement for Daniels.