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Photo: Bill O'Leary/The Washington Post via Getty Images

D.C. Attorney General Karl Racine filed a lawsuit against President Trump's inaugural committee and business Wednesday, claiming that the committee "abandoned" its purpose as a nonprofit by improperly overpaying to book event space at Trump's D.C. hotel.

The big picture: The lawsuit alleges the committee coordinated with the Trump family to "grossly overpay" for event space in the hotel without considering other venues. The committee allegedly ended up paying a total of $1 million for the space, including on days it wasn't used.

What they're saying: "District law requires nonprofits to use their funds for their stated public purpose, not to benefit private individuals or companies," Racine wrote. "In this case, we are seeking to recover the nonprofit funds that were improperly funneled directly to the Trump family business."

The Trump Organization responded with the following statement, per the Washington Post:

"The AG's claims are false, intentionally misleading and riddled with inaccuracies. The rates charged by the hotel were completely in line with what anyone else would have been charged for an unprecedented event of this enormous magnitude and were reflective of the fact that hotel had just recently opened, possessed superior facilities and was centrally located on Pennsylvania Avenue. The AG's after the fact attempt to regulate what discounts it believes the hotel should have provided as well as the timing of this complaint reeks of politics and is a clear PR stunt."

Go deeper: Trump Organization considers sale of flagship D.C. hotel

Go deeper

Trump voices support for Saturday's pro-Capitol riots rally

Photo: Tayfun Coskun/Anadolu Agency via Getty Images

Former President Trump on Thursday expressed solidarity with people facing prosecution in connection to the Capitol insurrection.

Why it matters: The statement was issued ahead of Saturday's rally to protest the treatment of Capitol rioters. Over 600 known federal defendants face charges related to the Jan. 6 insurrection.

Clinton-linked lawyer indicted in investigation of FBI's Russia probe

Photo: Eric Baradat/AFP via Getty Images

A grand jury has returned an indictment against Michael Sussmann, a lawyer whose firm represented the 2016 Clinton campaign, for lying to the FBI about not representing "any client" when he presented them with allegations about a secret Trump Organization back-channel to a Russian bank.

Why it matters: It's the second criminal charge stemming from special counsel John Durham's review of possible misconduct by the intelligence community and prosecutors who investigated the 2016 Trump campaign's ties to Russia.

Federal judge blocks Biden administration's use of Title 42 policy

Photo: Stefani Reynolds/Bloomberg via Getty Images

A federal judge on Thursday blocked the Biden administration from enforcing a public health order that fast-tracked deportations of migrant families at the southern border.

Why it matters: President Biden has faced significant backlash for retaining the Trump-era policy, which was implemented as a COVID containment measure. The expulsions deny adult migrants and families the chance for asylum.