Judge directs Cohen team and prosecutors to 'be prepared' for a special watchdog to handle FBI-seized files

A judge overseeing the Michael Cohen trial is considering appointing a special watchdog to review files obtained by the FBI, reports CNBC.

Michael Cohen is currently under criminal investigation by the United States Attorney's Office for the Southern District of New York. He is scheduled to appear in court on Thursday.

On April 9th, the FBI raided his hotel and home office in Manhattan. During the raid the FBI found sensitive materials such as statements and receipts, and even came across a document that details more information about a $130,000 payment Cohen made to adult film star Stormy Daniels in 2016.

U.S. District Judge Kimba Wood directed Cohen’s team and prosecutors to “be prepared” to discuss a watchdog “should one be appointed.” Wood went on to say that the purpose of the watchdog would ensure that no one violates attorney-client privileges.

The files have not been reviewed because both parties have not agreed on how the files should be handled.

Cohen's team wants to have a filter team review the material. They wished to have the files reviewed first before sending them to prosecutors. Last week Judge Wood denied their request.

The judge told Cohen that his team has until late Wednesday to decide and come up with the resources for how "to produce such materials to a Special Master." She also wants them to make a decision on how to handle the "production of non-privileged materials."