Trump civil fraud case: Judge fines Trump $354M, says frauds 'shock the conscience'

Judge Arthur Engoron warned that he plans to "rigorously" enforce the limited gag order he handed down last month, which prohibits Trump and his attorneys from commenting on the judge's staff, after an appeals court reinstated it this morning.

"I want to make sure all counsel are aware, and they probably already are aware, that this morning the Appellate Division First Department issued a decision vacating the stay on the two gag orders that I imposed earlier on this case," Engoron said in court. "So I intend to enforce the gag orders rigorously and vigorously, and I want to make sure that counsel informs their clients of the fact that the stay was vacated."

"We're aware. It's a tragic day for the rule of law, but we are aware," Kise responded.

"It is what it is," Engoron quipped.

A New York appellate court has upheld the limited gag order imposed by Judge Engoron in the ongoing trial.

The decision reinstates the limited gag order Engoron imposed on Trump and his attorneys prohibiting them from disparaging court staff, particularly his principle law clerk, who has come under attack by Trump on social media.

The limited gag order was temporarily lifted two weeks ago by appellate judge after Trump's lawyers sued Judge Engoron.

Engoron's lawyer wrote in support of the gag order, saying that Engoron and his clerk have been inundated with threats since Trump began his attacks.

"It is ordered that the motion is denied; the interim relief granted by order of a Justice of this Court, dated November 16, 2023, is hereby vacated," the appellate court said in its ruling issued this morning.

Closing statements in the trial aren't likely to occur until January, according to an updated schedule proposed by Judge Engoron.

The trial was initially expected to wrap up in December.

Rather than have the closing arguments immediately follow the conclusion of the defense's case and a brief rebuttal case by the state, Engoron signaled that he would prefer to receive simultaneous paper briefings from both parties, followed by oral arguments in January.

He did not set a date for the closing statements or oral arguments.

State attorney Kevin Wallace initially requested that Engoron set closing statements for Dec. 13. Donald Trump is set to testify on Dec. 11, and Wallace said the state may to present a brief rebuttal case, including testimony from two witnesses, on Dec. 12.

However defense attorneys suggested that both parties submit paper filings simultaneously, then receive questions from the judge and present oral arguments in 60 days.

"There is just an awful lot of argument to cover," said Trump attorney Chris Kise.

Wallace objected to defense's proposed plan "stretching this out to February," and instead suggested a two-week period after the close of evidence.

"I like the idea of the briefs, then the argument," Engoron said, adding that he would set a "just right" date between the two proposed options.

Donald Trump's lawyers are calling real estate expert Robert Unell as a witness this morning.

Unell is one of several defense experts who submitted reports to the court disputing the New York attorney general's findings that Trump committed fraud in the statements of financial condition he provided to lenders.

"The financial information provided to the lenders was correct in all material respects and contrary to the Plaintiff's allegations, therefore the Defendants did not receive any financial benefits on commercial real estate loans based on the submission of any false, inflated, or misleading valuations," Unell wrote in his expert report.

Unell, in the deposition he gave to the defense, also defended Trump's use of a disclaimer -- which Trump has said is sometimes referred to as a "worthless clause" -- that warned lenders that Trump's statements might contain information that does not comply with standard accounting practices.

"I first read it in President Trump's deposition," Unell said regarding Trump's use of the "worthless clause" phrase. "And it kind of stuck. Because, quite honestly, I had never heard it called that, but it is truly what the meaning of it is."