Trump and co-defendants should post bond for full $464 million judgment, NY attorney general says
Lawyers for New York Attorney General Letitia James argued that Donald Trump and his co-defendants should be required to post a bond to cover the $464 million judgment in their civil fraud case in a court filing Monday.
The attorney general’s office argued that the former president might be unable to satisfy the judgment or could attempt to evade penalties in the absence of a full bond.
"Moreover, there is significant risk that absent a full bond or deposit, defendants will attempt to evade enforcement of the judgment or to make enforcement more difficult after an appeal," Senior Assistant Solicitor Dennis Fan said in the filing.
Last month, Trump’s lawyers asked New York’s appellate court for an emergency stay of the enforcement of the $464 million judgment in his civil fraud case. Trump was fined $354.8 million plus approximately $100 million in prejudgment interest after Judge Arthur Engoron determined that he inflated his net worth to get more favorable loan terms.
Rather than post a bond for the total amount, Trump offered to secure a $100 million bond, arguing he would need to sell properties to pay the full amount. However, Judge Anil Singh declined to issue the stay of the penalties, leaving the larger question of Trump’s delay to a full panel of appellate judges.
In a filing Monday, Attorney General James reiterated that Trump should be treated with the same rules as any other defendant.
"To stay enforcement of a set monetary judgment pending appeal, the Legislature has required defendants to post a bond or deposit funds in the full amount of the judgment. That requirement applies to defendant Donald J. Trump and his co-defendants, just as it applies to any other appellant," the filing said.
The AG’s filing said that Trump has also failed to prove his claim that he would have to sell buildings to pay off the judgment in the case, adding that Trump’s arguments run contrary to his earlier arguments about his wealth.
"First, defendants fail to provide any support for their unsubstantiated claim … that posting a bond or depositing funds is ‘impossible’ absent a sale of properties," the filing said. "Defendants have never demonstrated that Mr. Trump’s liquid assets—which may fluctuate over time—will be enough to satisfy the full amount of this judgment following appeal."
The filing also argued that Trump's overall appeal of Judge Engoron’s ruling would likely fail given the "brazen fraud" in which the defendants engaged.
"Defendants are exceedingly unlikely to succeed on the merits of their appeal. Defendants engaged in brazen fraud and illegality to enrich themselves through the use of Mr. Trump’s false and misleading Statements of Financial Condition," the filing said.
The former president has denied all wrongdoing in the case and appealed Engoron’s ruling.
Trump faces a deadline later this month to post a bond in the civil fraud case.
The former president obtained an appeals bond from the Virginia-based Federal Insurance Company totaling $91,630,000 to cover the $83 million judgment in the E. Jean Carrol case plus interest, according to a court filing from last Friday morning.
Trump requested the financial penalty in the defamation case be stalled while he appealed the case.
