Let's hear from donald trump. He joins us by phone and mr. Trump, you heard the a.G. Right there. He called your institute a lie from beginning to end. A blatant scam. Your response? George, anybody... See More
Let's hear from donald trump. He joins us by phone and mr. Trump, you heard the a.G. Right there. He called your institute a lie from beginning to end. A blatant scam. Your response? George, anybody that knows and that's in this city knows anything about eric sneiderman, we know he's a political hack. I know him very well. He comes up to my office looking for campaign contributions. He tells me lots of unflattering things about obama, he tells me lots of unflattering things about governor cuomo. He was very upset with the fact that we didn't help him. He thought we should have helped him much more. He is a political hack from beginning to end. We have a school that's a terrific school. It did a fantastic job and I've never even heard of this. It had a 98% approval rating from students. But you wouldn't -- I wouldn't be surprises if the man I just saw, possible the man also gave it a high rating but we had a 98% approval rating. The school is terrific and did a great job. One of the things he says somebody who will give testimony later filed complaints and make specific charges and says your advertisers say you hand-picked the instructors but in fact you never picked a single one. He's wrong. I looked at every resume. I met with some people, not everybody, and I did it to help people. Frankly, if they listened to me, I predicted as you no he very well, about better than anybody else the housing market. If they would have listened to me, frankly, they would have done very well but, of course, i looked at the resumes. I recommended people. We had a wonderful school with a fantastic approval rating. If you go to the wharton school of finance or harvard they don't have a 98% approval rating. This guy is a political hack looking to get publicity, by the way, he meets with president obama on thursday evening in syracuse. He meets with him. On saturday at 1:00 he files a suit. You're saying president obama is behind this. George, it's possible -- who knows. You just threw the charge out there. Do you believe it or not. Whoever head of a government agency bringing a lawsuit on saturday afternoon. He's been looking into this thing for two years. He brings a lawsuit on saturday afternoon right after he meets with president obama. I think maybe it's a mini irs, george. Well, one final question, made attempts to settle it in the past. Are you going to settle or -- I could have settled it easily. I didn't want -- I get some bad publicity, he said, trump and told somebody very strong, he said, trump won't take the bad publicity. He'll settle. Guess what, I don't mind bad publicity. Who gets more bad publicity than me anyway? So I'll take this. No, I don't want to settle this at all. Dealing with a very, ver -- I'm sure we'll come back for more. Mr. Trump, thank you very much. Got to go to lara outside.
This transcript has been automatically generated and may not be 100% accurate.