Former President Donald Trump has been banned from operating a business in New York for three years and more than $350 million in civil fraud lawsuits filed by New York Attorney General Letitia James against him, his family, and the Trump Organization. was found to be liable for damages.
New York Judge Arthur Engoron issued the ruling Friday after a months-long trial that began in October, stemming from Mr. James’ lawsuit alleging that the former president inflated his assets and committed fraud. .
Engoron said Trump and the defendants committed “persistent and repeated fraud,” “falsifying business records,” “issuing false financial statements,” “conspiracy to falsify false financial statements,” “insurance fraud,” The court found him liable for “conspiracy to commit insurance fraud.” . ”
L – Former President Donald Trump R – New York State Judge Arthur Engoron (Fox News)
The judge also barred Donald Trump Jr. and Eric Trump from serving as officers or directors of any New York business or corporation for two years.
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Engoron also claims that defendants Allen Weisselberg, former chief financial officer of the Trump Organization, and former executive director Jeffrey McConney are “a New York corporation or similar business registered and/or chartered in the State of New York.” Permanently prohibited from engaging in financial management functions of the body. in the State of New York,” where he shall serve for three years as a director of a New York corporation or other corporation located in New York.
In his 92-page ruling, Engoron criticized Trump and his testimony during the trial, saying, “Trump rarely answered questions and frequently gave long, unrelated speeches on issues far beyond the scope of the trial.” “I got caught,” he said.
“His refusal to answer questions directly, or in some cases not at all, seriously damaged his credibility,” Engoron wrote.
Former U.S. President Donald Trump gestures to the audience during a campaign event in Pickens, South Carolina, on July 1, 2023. (Sean Rayford/Getty Images)
Trump’s attorney Christopher Kiss said the court “ignored the law, ignored the facts, and simply approved the attorney general’s clearly unjust political campaign against the front-runner for president of the United States.” denounced.
“Litigations should be judged based on the application of established legal principles to the actual evidence,” Kise said. “During the 44-day trial, not a single witness, complaint, or victim supported the Attorney General’s fabricated ‘fraud’ claims.”Furthermore, the evidence showed that President Trump’s net worth was not reported in his financial statements. We have proven that we are far more than what we have.”
Kise said, “Even the bankers who were actually involved in the loans testified that there was nothing misleading, there was no fraud, and the transactions were all very profitable.”
“But the court blatantly refused to abide by the binding Appellate Division decision, ignored and distorted the evidence, and delivered harsh judgments against President Trump, his family, and the extraordinary global business empire he has built. It imposed unconstitutional fines and a “death penalty” for businesses. It is a lifelong effort and achievement,” Kise continued. “It’s hard to imagine a more unfair process, and it’s hard to believe this is happening in the United States.”
Kise added: “Make no mistake, the serious future consequences of this tyrannical abuse of power will not only affect President Trump.”
Kise said, “America’s economic prosperity and way of life will suffer if courts are willing to allow reckless government officials to interfere in the lawful, private, and profitable affairs of the public based on political bias. It is at extreme risk of extinction.”
“Both the trial and this unprincipled decision have certainly diminished the public’s confidence in the soundness of our legal system,” he said, adding, “If left unchecked, this decision will undermine the business community and our nation’s laws.” It would cause irreparable damage to both parties.” Country. ”
Kise said Trump “will of course appeal, and I am confident that the Appellate Division will ultimately correct the countless catastrophic errors made by a trial court that was unfettered by law and reality.” .
The former president’s lawyer, Alina Haba, also slammed the ruling, calling it “a clear injustice, plain and simple.”
“This is the culmination of a years-long politically motivated witch hunt aimed at ‘bringing down Donald Trump’ before Letitia James even set foot in the Attorney General’s office. Countless… “Those hours of testimony proved there was no wrongdoing. It was a crime, but there were no victims,” Haba said. “Given the significant risks, we believe the Appellate Division will reverse this damning decision and end this relentless persecution of my client.”
Haba added: “Let’s be clear: this is not just about Donald Trump. If this decision stands, every American will know that New York is no longer open for business.” It will be a signal to people,” he added.
New York Attorney General Letitia James filed a lawsuit accusing President Trump and the Trump Organization of deceptive business practices. The court proceedings have been controversial, and Mr. Engoron has repeatedly imposed partial gag orders to prevent Mr. Trump from criticizing court officials.
James was seeking $370 million from Trump, plus 9% interest on the penalty. Funds awarded will be contributed to the New York State Treasury unless otherwise directed by the State Comptroller.
Throughout the trial, President Trump dismissed it as a “witch hunt” and accused Engoron and James of working as political operatives for the Democratic Party. Trump’s lawyers also repeatedly criticized the lack of a jury in the trial.
Judge Arthur Engoron presides over the civil fraud trial of former President Donald Trump and his children in New York State Supreme Court in New York City on November 13, 2023. (Erin Schaff Pool/Getty Images)
“A jury trial was never an option,” President Trump’s press secretary told Fox News Digital last month. “It is unfortunate that a jury will not be able to hear how absurd the merits of this case are and conclude that no wrongdoing occurred.”
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Trump and his family have denied any wrongdoing, and the former president said his assets were undervalued. Trump’s lawyers argued that there was a disclaimer in his financial statements and made it clear that banks should conduct their own evaluations.
President Trump said the financial statements were “perfect” and that the bank loan had been repaid and he was “couldn’t be happier.”
Throughout the trial, Mr. Trump’s lawyers called witnesses, including former Deutsche Bank executives, who testified that the banks viewed Mr. Trump as a “customer whale” and sought additional business from him.
Trump’s defense also brought in expert witnesses, including New York University accounting professor Eli Bartov, who reviewed Trump’s financial statements at issue in the case and found no evidence of accounting fraud. Stated.
Bartov testified last month that President Trump’s financial statements did not violate accounting principles, suggesting that everything at issue, including the estimated value of his Trump Tower penthouse, which increased significantly from year to year, was simply a mistake. did.
“My main finding is that there is no evidence of any accounting fraud,” Bartov testified. He said there were “no material misstatements” in President Trump’s financial statements.
Mr. James’s office ordered Engoron to bar Mr. Trump, his sons, and other defendants from applying for loans in New York for five years, in addition to blocking the Trump Organization from handling any real estate business for the same period. was demanding.
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New York Attorney General Letitia James filed a lawsuit accusing President Trump and his company, the Trump Organization, of deceptive business practices. (AP Photo/Britteny Newman)
Trump and his team pointed to comments James made to supporters when he ran for office.
“We’re definitely going to sue him. It’s going to really hurt,” James once told supporters in a video.
James has previously said that Trump is an “existential threat” and that “the biggest problem in this country is to defeat Donald Trump.”
“Nothing else matters,” James said.
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Mr. Engoron disclosed in September that Mr. Trump and the Trump Organization defrauded banks, insurance companies and others by overstating assets and exaggerating their net worth on documents needed to make deals and secure financing as they built their real estate empire. He was found to have committed fraud.
“He ruled against me without knowing anything about me,” Trump said on the stand during his trial last year. “He called me a fraud, but he didn’t know anything about me.”
The Engoron ruling came weeks after Trump was ordered to pay more than $83 million in a defamation lawsuit filed by author E. Jean Carroll, who accused Trump of sexual assault.
