In a recent ruling, Judge Arthur Engoron has mandated that former President Donald Trump pay almost $355 million (£281 million) to the state of New York for deliberately misrepresenting the values of his properties. The judge also imposed a three-year ban on Trump serving as a company director and obtaining loans from banks within the state. Furthermore, Trump announced his intention to appeal the decision, dismissing it as a politically motivated “witch hunt” during a statement from his Mar-a-Lago estate in Florida.
Judge Engoron’s decision stems from allegations of fraudulent activities, citing the Trump Organization’s conviction in a 2022 criminal tax fraud case. The judge emphasized the lack of contrition and remorse, describing their actions as “pathological” and highlighting the shocking nature of the frauds uncovered. Despite the severe penalties, Trump’s companies avoided dissolution, averting potential bankruptcy.
The ruling encompasses additional measures, including the appointment of an independent monitor and a director of compliance, along with requiring Trump to pay prejudgment interest on the fraudulent profits. The total penalty could reach approximately $450 million. Donald Trump’s two adult sons, Donald Jr and Eric, face individual fines of $4 million each and a two-year ban from conducting business in New York. Allen Weisselberg, the former CFO of the Trump Organization, has been ordered to pay $1 million.
Trump, his company, and affiliates are also prohibited from applying for loans in New York for three years. The judge’s decision followed a 43-day trial that focused on determining penalties against Trump, with the ruling providing a detailed account of financial misrepresentations and accounting irregularities.
New York Attorney General Letitia James, who pursued the civil case, expressed the necessity for consistent rules, stating that former presidents are not exempt from accountability. James accused Trump of inflating property values and providing false financial statements to secure favorable loans. While Trump vehemently denies any wrongdoing, legal experts suggest that the comprehensive record compiled by Judge Engoron anticipates an appeal from the former president.
The ruling adds to Trump’s financial challenges, as it comes in addition to the $83.3 million he owes in a separate defamation case brought by writer E Jean Carroll. Despite the substantial penalties, it is unlikely to lead to bankruptcy for Trump, whose estimated net worth stands at $2.6 billion. Source: BBC
