Trump can’t catch a break thanks to these Democrats.
In a recent legal battle, attorneys representing New York state have strongly contested former President Donald Trump’s assertions regarding the feasibility of posting a bond to cover a staggering $454 million civil fraud judgment during his ongoing appeal. Trump, who is also the presumptive 2024 Republican presidential nominee, claimed that finding an underwriter willing to assume the entire amount proved impossible. However, New York state attorneys argue that Trump and his co-defendants failed to thoroughly explore all potential options.
Dennis Fan, a lawyer representing the state attorney general’s office, emphasized in court documents that the defendants had not presented a credible alternative to fully secure the judgment. Fan suggested that potential alternatives might include dividing the total amount among multiple bonds from different underwriters or allowing a court to hold some of Trump’s real estate assets while the appeal is underway. The underlying case revolves around allegations that Trump and key executives artificially inflated his wealth on financial statements to obtain loans and insurance.
Trump, in response to the latest legal development, reiterated his grievances about the case, the judgment, and the bond requirement in a radio interview. He expressed frustration at the prospect of having to post a bond before being able to appeal, highlighting concerns about potential asset loss.
The judgment against Trump mandates payment of over $454 million in penalties and accumulating interest, with additional financial obligations for some co-defendants. To delay enforcement pending appeal, courts have insisted that Trump post a bond covering his entire liability.
Despite Trump’s previous claims of possessing substantial liquid assets, his current legal liabilities exceed $543 million, stemming from judgments in the civil fraud case initiated by New York Attorney General Letitia James and two lawsuits filed by writer E. Jean Carroll, who accused Trump of sexual assault and defamation.
Although Trump has posted a $91.6 million appeal bond in one of Carroll’s suits and placed over $5 million in escrow for the other, his lawyers recently petitioned the state’s intermediate appeals court to waive the requirement for the $454 million judgment in the business fraud case. They argued that the circumstances rendered posting such a bond impossible, citing underwriters’ insistence on cash or other highly liquid assets rather than real estate collateral.
However, Gary Giulietti, an insurance broker with ties to Trump, testified that bonds of such magnitude are exceptionally rare, typically reserved for large public companies rather than private entities like Trump’s company. Conversely, Fan countered this argument, citing precedent wherein even billion-dollar judgments were fully bonded on appeal, primarily involving publicly traded companies.
With the legal battle intensifying, New York Attorney General Letitia James has vowed to pursue enforcement measures if Trump fails to meet his financial obligations. The appeals court’s forthcoming decision will significantly impact the trajectory of the case, potentially leading to asset seizures if Trump cannot fulfill the bond requirement.
