'That's a felony -- you can't do that': Lawyer Michael Avenatti explains how Giuliani bombshell spells trouble for Trump
Michael Avenatti and Don Lemon

Stormy Daniels’ lawyer Michael Avenatti on Wednesday explained how Donald Trump may have committed fraud in his repayment to longtime personal attorney Michael Cohen.

In an interview with Fox News on Wednesday, Rudy Giuliani revealed that Trump personally repaid the $130,000 Cohen used to silence Daniels—a payment the president had previously denied knowledge of.

“You’re about to jump out of your seat,” CNN’s Don Lemon began Wednesday. “What do you think of this?”

“It's an absolute disgrace, Don and I’m disgusted by it,” Avenatti replied. “Every American, regardless of their political persuasion, I don't care if you're on the left, I don't care if you're on the far right, I don't care where you line up, you should be disgusted by what has happened in connection with the lies you have been told over the last three months about this payment.”

“You should be disgusted by the fact that the president of the United States stood on Air Force One, on video and audio, [and lied],” Avenatti said.

Rudy Giuliani from what I've just seen stated there were bogus law firm bills, fraudulent law firm bills,” he explained. “Well, guess what? That's fraud. That's illegal. And if you have parties that know about that, namely the party that is sending out the invoice plus the party that's paying it, that's a felony. You can't do that.”

“So basically what Rudy Giuliani among other things, and this is an important point, he’s stating that Michael Cohen sent out bogus invoices for $35,000 for legal work with no understanding no work would be done and the president paid the $35,000 invoice knowing no work was done, and that's how they basically laundered the reimbursement of this $130,000, plus a little bit of profit, plus addition money for taxes,” Avenatti added. “This is serious, serious matter.”

Watch below, via CNN: