On tape the US President can be heard saying “pay with cash” during the conversation with Michael Cohen in September 2016. The pair are believed to be talking about a potential payment to David Pecker, president of American Media Inc.
The National Enquirer – owned by AMI – had paid model Karen McDougal for exclusive rights to her story alleging a 10-month affair with Mr Trump in 2006.
During the recording, obtained by broadcaster CNN, Cohen says: “I need to open up a company for the transfer of all that info regarding our friend David.”
Mr Trump, who has denied the affair and knowledge of any payment, later asks: “So, what do we pay for this? One fifty?”
When the lawyer mentions “financing”, the President asks: “What financing?” Cohen replies: “We’ll have to pay.”
Mr Trump can then be heard saying “pay with cash”. It is unclear whether he is suggesting or ruling out a cash payment.
Mr Trump’s current personal attorney, Rudy Giuliani, said the recording gives “no indication of any crime being committed”.
Cohen, who once said he would take a bullet for Mr Trump, leaked the recording this week.
The tape, recorded just two months before the 2016 presidential election, could cause serious problems for Mr Trump.
Alleged payments of hush money to women who claim to have had a relationship with the President could be treated as a violation of US election campaign finance laws, if proven. Cohen has previously admitted making a payment of almost £100,000 ($130,000) to adult film star Stormy Daniels from his personal account.
She also claimed to have had an affair with Mr Trump back in 2006.