The New York attorney general’s office suspects Donald Trump is “genuinely unable” to come up with $454 million bail in a civil fraud case, and on Wednesday the former president asked the court to sell the property. He claimed that he may have pledged it as collateral.
The motion, from AG Letitia James’ office, comes as President Trump plans to appeal the hefty verdict and has until a March 25 deadline to find a lender willing to secure the full amount he owes. The filing comes after Trump’s lawyers argued on Monday that he faces “insurmountable challenges.”
If Trump and the other defendants were “genuinely unable” to secure bond, the AG’s office said, “the court should have at least agreed to retain title to the property to satisfy the judgment.” said attorney Dennis Huang. I answered.
Alternatively, Trump “should have pledged real estate holdings of sufficient value to secure payment of the full judgment,” Huang wrote.
President Trump announced a huge verdict handed down by Manhattan Supreme Court Judge Arthur Engoron over a 10-year fraud scheme in which he inflated his net worth by billions of dollars a year to obtain favorable loan and insurance terms. and is seeking an appeal.
However, the 45th president will need to post the full amount or secure bail to proceed with the appeal.
Here’s how Donald Trump’s New York fraud conviction will affect his business
The bombshell court ruling finding Donald Trump guilty of fraud has even his lawyers scratching their heads, asking a judge Wednesday to revoke the former president’s New York business license. asked for clarification.
The 34-page ruling handed down Tuesday by Manhattan Supreme Court Justice Arthur Engoron gives the 77-year-old President Trump control of Empire State assets, including Trump Tower in Midtown, to an independent party known as the Receiver. It will force you to hand it over to a third party.
In his ruling, the judge said a trustee must be appointed to manage the dissolution of the “revoked” business certificate of a limited liability company (LLC) affiliated with the Trump Organization.
Here’s how the ruling will affect President Trump’s business, according to legal experts.
What is a business certificate and what does it mean if it is revoked?
Business certificates are issued by countries to prove the legitimacy of businesses and are used in commercial transactions.
Diana Florence, a former financial crimes prosecutor, told the Post that these can be thought of like a person’s birth certificate.
When the judge reversed the sentence, it was like being handed a “death certificate” and the sentence amounted to a “corporate death penalty,” Florence said.
Judge revokes Trump’s New York business license, finding he committed wealth extortion and fraud
Robert Hockett, a professor at Cornell University School of Law, said these certificates are required for legal entities such as LLCs and provide privileges such as protecting personal assets if the company goes bankrupt.
Hockett said a common but “unscrupulous business practice” is for companies to pretend to have more money than they actually do to help obtain an LLC certificate.
In this case, the LLC acts like an “empty shell” designed to “avoid accountability.”
“What the judge found yesterday is that Mr. Trump is effectively doing this,” Hockett told the Post. “He pretends that many of his businesses are well-capitalized and solvent to his creditors, in effect benefiting the public and guaranteeing a limited liability designation. I’m doing a good job of doing that.”
Mr. Trump’s lawyers said Monday that Mr. Trump approached 30 companies in an attempt to secure a huge bond, but none of the companies would accept Mr. Trump’s real estate as collateral, leading Mr. Trump to sell valuable real estate buildings in a “fire sale.” Because they did not want to do so, they announced that they had approached 30 companies. ” price.
“The Attorney General’s latest filing demonstrates her continued willingness to misrepresent facts and misunderstand applicable law in her political campaign against President Trump,” President Trump’s attorney Chris Kiss said in a statement Wednesday. “There is,” he said.
