Smiley face
Weather     Live Markets

Donald Trump and his son Eric are facing the risk of New York’s attorney general starting to collect a $454 million civil business fraud judgment against them on Monday. The judgment stems from a case where Trump and his sons were found liable for fraud at the Trump Organization. The attorney general, Letitia James, is seeking to collect the judgment as Donald Trump appeals the verdict. His son Eric accused James of trying to bankrupt his father with the judgment and said that no one had ever seen a bond of that size.

The fraud case found that the defendants had fraudulently inflated the value of Trump’s assets to obtain more favorable loan terms for Trump Organization properties. Donald Trump, Donald Trump Jr., and Eric Trump were all found liable in the case, with the bulk of the judgment falling on Donald Trump. His sons were each ordered to pay $4 million in damages. James’s office was the plaintiff in the case, and the judgment has been registered with the county clerk’s office as a step towards seizing Trump’s properties to satisfy the judgment.

Donald Trump’s lawyers have argued that he is unable to pay for an appeal bond, which is necessary to prevent the attorney general from immediately collecting the judgment. The lawyers stated that it was nearly impossible for Trump to obtain a bond, as surety companies were requesting upwards of $1 billion in cash or equivalents as collateral. The lawyers also mentioned that more than 30 companies that were approached refused to accept real estate as collateral for the bond. If the appeal bond is not granted, Trump could seek relief from the state’s highest court, the Court of Appeals.

Eric Trump claimed that the attorney general’s actions were an attempt to deprive his father of cash and bankrupt him. He stated that his father would win the case in November and that everyone knew what was happening. Monday marks the first day that James can begin the process of seizing Trump properties to satisfy the judgment without a court order blocking her. It is unclear if Trump would be successful in seeking relief from the Court of Appeals if the mid-level appeal court does not grant him a waiver of the judgment. Losers in civil cases in New York are typically required to post an appeal bond or be liable for the judgments against them as they appeal a verdict.

Share.
© 2024 Globe Echo. All Rights Reserved.