New York attorney general questions Trump’s cash hoard in $464 million fraud appeal | Wilnesh News

New York state’s chief legal officer warned in a statement that former President Donald Trump has not proven he has enough cash to pay the full amount of a $464 million civil fraud judgment if his appeal fails. court filing Monday night.

That concern was raised by New York Attorney General Letitia James, who argued that Trump and his co-defendants should require them to post cash or bonds that cover the entire fraud verdict if they want to suspend the expiration of the verdict while challenging the verdict.

“Defendants have never demonstrated that Mr. Trump’s liquid assets, which may fluctuate over time, are sufficient to satisfy the full amount of the judgment upon appeal,” James told the New York appeals court.

The value of Trump’s real estate holdings may also decline as the appeal drags on, while interest continues to grow after the verdict, she wrote.

James added that his financial situation could be further exacerbated by his other civil and criminal legal actions, including a January jury verdict requiring him to pay $83.3 million in damages for defaming author E. Jean Carroll.

Trump “is saddled with significant debt that may further reduce his liquid assets, including other pending monetary judgments against him, and he faces multiple criminal prosecutions,” she wrote of the verdict.

James warned that without a full bond, the civil fraud defendants — Trump, his two adult sons, his company and its executives — may also try to “evade” or worsen their sentences if their appeals fail. implement.

She urged the appeals court to reject Trump’s bid to suspend the verdict on $100 million bail, less than a quarter of the total amount set by Manhattan Supreme Court Judge Arthur Engoron.

Trump’s attorneys did not immediately respond to CNBC’s request for comment on James’ filing.

Defense attorneys argued that the smaller bond amount would be enough to secure the verdict, coupled with continued oversight of the Trump Organization’s assets by a court-appointed financial monitor.

They claim it is “impossible” for them to obtain the full appeal bond, which could be set at 120% of the judgment, or more than $550 million, because the judgment also prohibits Trump from applying for a loan in New York.

James disputed that assertion, writing that the defendants “failed to provide information regarding what steps, if any, they took to secure the undertaking prior to filing the motion.”

She noted that they have not shown that Trump — a self-proclaimed billionaire who said in a deposition last year that he held more than $400 million in cash — had tried and failed to obtain the bonds. The borrowing ban is also not a barrier, she wrote, because the appeal bond is not a loan.

The purpose of an appeal bond is to ensure that a person who is awarded damages at trial is able to recover the money if the verdict is upheld on appeal. If the appeal is successful, the person who posted the bond will get their deposit back.

New York Court of Appeals Judge Anil Singh on February 28 rejected the $100 million bond proposal but allowed the defendants to continue operating in New York and lifted a ban on seeking loans.

The interim ruling takes effect pending a full panel of Court of Appeal judges considering the matter next week.

Meanwhile, Trump posted $91.6 million bail on Friday as he appeals a federal civil jury verdict that found him defaming Carroll after she accused him of raping her in the mid-1990s. Be responsible.

This is the second time a jury has ordered Trump to pay Carroll damages for defamation. The Republican presidential candidate continued to attack Carroll, prompting her lawyers to suggest they might file another defamation lawsuit.