Trump trial: 1st week of testimony ends with testimony from Cohen's former banker

"Karen McDougal was a Playboy model," former National Enquirer publisher David Pecker said, recalling how he learned in June 2016 "that there's a Playboy model who is trying to sell a story about a relationship that she had with Donald Trump for a year."

Pecker said he immediately called Trump's then-attorney Michael Cohen to inform him. By then, he was speaking to Cohen "a couple times a week," but that soon changed. Pecker said he and Cohen spoke "much more frequently" about McDougal's claims.

"Michael was very agitated. It looked like he was getting a lot of pressure to get the answer right away," Pecker said. "He kept on calling, and each time he called he seemed more anxious."

Pecker said he assumed "Mr. Trump was asking Michael Cohen, 'Did we hear anything yet?'" Pecker said.

"Did you ever come to believe that Michael Cohen had spoken with Mr. Trump about McDougal's claims?" prosecutor Josh Steinglass asked.

"Yes I did," Pecker responded before recounting a phone conversation Pecker said he himself had with Trump.

"I said I think the story should be purchased and we should buy it," Pecker recalled telling Trump. "Mr. Trump said to me, 'I don't buy stories. Anytime you do anything like this, it always gets out.'"

Ultimately, McDougal was paid $150,000 and promised a series of exercise articles in the publication.

Following that testimony, court was adjourned.

It's expected the jury will hear more on McDougal upon Pecker's return to the witness stand, when court resumes on Thursday.

According to former National Enquirer publisher David Pecker, Michael Cohen pushed for the National Enquirer to keep doorman Dino Sajudin locked into a contract until after the 2016 election, even though the story Sajudin was shopping about Trump having a love child were untrue.

"I told Michael Cohen the story was not true. I told him that the doorman is very difficult to deal with," Pecker testified.

Cohen had earlier encouraged Pecker to add a $1 million penalty to Sajudin's contract if he broke the agreement and tried to shop around the story.

"He would breach this agreement and owe American Media a million dollars," Pecker said. "It was basically a lever over him to make sure that wouldn't happen."

Cohen encouraged Pecker to keep Sajudin locked in, according to the former publisher.

"I am going release him one way or the other," Pecker said he told Cohen regarding Sajudin. "He said, 'No, release him after the election.'"

"When was he released?" prosecutor Joshua Steinglass asked Pecker.

"December 9, 2016," Pecker said.

"After the presidential election?" Steinglass asked.

"Yes," Pecker responded.

Former National Enquirer publisher David Pecker described the very first story he "caught and killed" pursuant to his agreement with Donald Trump and his then-attorney Michael Cohen: a false story from a Trump World Tower doorman in 2015.

Trump, sitting at the defense table, shook his head when Pecker laid out the allegation: that "Donald Trump fathered an illegitimate girl with a maid at Trump Tower."

Pecker testified that he "immediately called Michael Cohen" when his team got wind of those allegations being shopped by the doorman, Dino Sajudin. Cohen told him it was "absolutely not true" -- but Pecker testified he ultimately moved forward with buying the story to the tune of $30,000.

"This could be a very big story. I believe that it's important that it should be removed from the market," Pecker said he told Cohen.

Asked about Cohen's response, Pecker said: "He said the boss would be very pleased," saying he understood "the boss" to mean Donald Trump.

Pecker testified that Cohen later called back to say the story is "absolutely not true" and that Trump "would take a DNA test" -- an apparently new revelation -- but Pecker said it wouldn't be necessary.

Pecker conceded that if the story turned out to be true, it "probably would be the biggest sale" for the paper since the death of Elvis Presley.

Still, Pecker testified he would have held it until after the campaign was over.

"I would have published it after the election," Pecker said. "That was the conversation I had with Michael Cohen, and that's what we agreed to."

Ultimately, the story turned out to be untrue -- but Pecker still paid for it.

"Why are you paying $30,000 for an untrue story?" prosecutor Joshua Steinglass asked while displaying the contract Pecker had with Sajudan to the jury.

"Because if the story got out to another publication, it would have been embarrassing for the campaign," Pecker said.

"So this was a way to lock it up?" Steinglass asked.

"That's correct," Pecker responded.

Donald Trump introduced David Pecker to Steve Bannon to strategize future stories about Trump's opponents, the former National Enquirer publisher testified.

"[Trump] thought both of us could work very well together," Pecker said of Bannon, who would go on to become chief strategist in the Trump White House.

Pecker said Bannon liked some of the National Enquirer's past coverage and had ideas for the future.

"He liked them very much. He had some other ideas," Pecker said, mentioning a proposed plan to book one of Pecker's reporters on Sean Hannity's Fox News show to talk about the National Enquirer's reporting about Hillary Clinton.