Former U.S. President Donald Trump holds up a banner about New York City as he addresses the media at one of his properties at 40 Wall Street following closing arguments in his civil fraud trial in New York City on January 11, 2024. News report from state Attorney General Letitia James.
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Donald Trump has been unable to secure a bond to secure a $454 million civil business fraud judgment against him as he appeals the case, his lawyers said in a New York court filing on Monday.
Lawyers for Trump and his co-defendants in the fraud case argued it was “impossible” for them to obtain the full appeal bond, which would “effectively” require “close to $1 billion in cash reserves.”
“The defendants’ continued efforts demonstrate that the full bond required by judgment is “practically impossible,” the attorneys wrote, citing an affidavit included in the filing in the Appellate Division of Manhattan Supreme Court.
They said they had approached about 30 surety companies through four different brokers and “spent countless hours negotiating with one of the largest insurance companies in the world.”
If the appeals court considers denying the request for a stay of judgment, oral arguments should be scheduled on the issue, attorneys said. If the department denies granting a stay, attorneys asked the department to allow them to appeal to the Court of Appeals, the New York State Supreme Court.
Manhattan Supreme Court Justice Arthur Engoron in February ordered Trump and his co-defendants to pay a total of $464 million in damages and interest for violating New York’s anti-fraud statutes. Of that amount, Trump was ordered to pay $454 million. Post-judgment interest on Trump continues to accrue at a rate of nearly $112,000 per day.
The lawsuit filed by New York Attorney General Letitia James accuses Trump, his two adult sons, his company and its executives of falsely inflating the value of Trump’s assets for years to increase his net worth and obtain financial benefits. .
The defendants had previously offered to post a $100 million bond, less than a quarter of the total verdict, to prevent James from collecting fines during the appeal process.
Appeals Court Judge Anil Singh rejected the offer but allowed the defendants to continue doing business in New York and lifted Ngoren’s three-year ban on Trump seeking loans in New York. Singer’s order is in effect temporarily until a stay motion is heard by a full appeals court jury.
Trump’s attorney, Alina Haba, did not immediately respond to CNBC’s request for comment on the document.
Earlier this month, Trump secured a $91.6 million bond from Chubb Insurance Company to secure a civil defamation verdict against him in favor of author E. Jean Carroll, while he challenged the verdict appeal.
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