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

The former president was found to have defrauded lenders.

Former President Donald Trump has been fined $354.8 million plus approximately $100 million in interest in a civil fraud lawsuit that could alter the personal fortune and real estate empire that helped propel him to the White House. In the decision, Judge Arthur Engoron excoriated Trump, saying the president's credibility was "severely compromised," that the frauds "shock the conscience" and that Trump and his co-defendants showed a "complete lack of contrition and remorse" that he said "borders on pathological."

Engoron also hit Donald Trump Jr. and Eric Trump with $4 million fines and barred all three from helming New York companies for years. New York Attorney General Letitia James accused Trump and his adult sons of engaging in a decade-long scheme in which they used "numerous acts of fraud and misrepresentation" to inflate Trump's net worth in order get more favorable loan terms. The former president has denied all wrongdoing and has said he will appeal.


Summary of penalties

Donald Trump and his adult sons were hit with millions in fines in the civil fraud trial and barred for years from being officers in New York companies. The judge said the frauds "shock the conscience."

Donald Trump: $354 million fine + approx. $100 million in interest
+ barred for 3 years from serving as officer of NY company
Donald Trump Jr.: $4 million fine
+ barred for 2 years from serving as officer of NY company
Eric Trump: $4 million fine
+ barred for 2 years from serving as officer of NY company
Former Trump Organization CFO Allen Weisselberg: $1 million fine
+ barred for 3 years from serving as officer of NY company
+ barred for life from financial management role in NY company
Former Trump Organization controller Jeffrey McConney:
+ barred for 3 years from serving as officer of NY company
+ barred for life from financial management role in NY company


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Trump Jr., arriving in court, met with chants of 'crime family'

Donald Trump Jr. and his defense lawyers arrived at the New York State Supreme Courthouse this morning to be met with a small crowd of protestors chanting "crime family."

Trump Jr. did not make a statement before entering the courthouse, but offered a brief response to a question about his expected testimony.

Asked what he plans on saying today on the stand, he replied, "We'll see what I'm asked."

New York Attorney General Letitia James arrived at court shortly after Trump Jr. and took a seat in the courtroom with her staff.


Donald Trump Jr. attends UFC event ahead of testimony

Donald Trump Jr. took in some ultimate fighting ahead of his scheduled return to the witness stand this morning.

Trump Jr. attended a UFC doubleheader at Madison Square Garden on Saturday night with his father, in addition to Tucker Carlson, Kid Rock, and UFC president Dana White.

"I legitimately can't think of a better squad to roll with," Trump Jr. posted on social media.

Earlier that day while speaking at a campaign rally in New Hampshire, Donald Trump appeared to joke about appointing White to a position in a potential future administration.

"He's a guy I'd like to make my Defense Chief. I wouldn't call him my defense chief. I'd call him my 'Offense Chief.' He'd be my Offense Chief," Trump said.


Defense to begin presenting its case

As Trump's legal team prepares to begin presenting its case this morning, defense attorney Alina Habba says responsibility for the financial statements that the New York attorney general says are fraudulent lies with Trump's external accounting firm.

Previewing the defense's case during an appearance on Fox's Sunday Morning Futures with Maria Bartiromo, Habba also said the banks that loaned money to the Trump Organization were responsible for conducting their own due diligence regarding Trump's financial statements.

The state rested its case last week in the sixth week of the trial. The defense has said they expect their case to wrap up by Dec. 15.

Habba also suggested that Donald Trump plans to file a motion seeking a mistrial.

While Habba declined to comment on alleged misconduct by Judge Arthur Engoron's clerk -- which she is prohibited from doing due to the limited gag order handed down by the judge -- she said the issue would be addressed in their mistrial motion "very soon."

"I actually can't tell you why, because I am gagged. I can tell you that we will be filing papers to address all of those issues," Habba said.

However, Habba downplayed the chance the motion would be favorably decided Engoron.

"The problem we have is the judge is the one who is going to make those decisions, and he has proven himself to be quite motivated by the other side," Habba said.


Court administrator responds to Stefanik's complaint

In response to Rep. Elise Stefanik's letter of complaint against Judge Engoron that she filed Friday with the New York State Commission on Judicial Conduct, a spokesperson for New York State Office of Court Administration has issued a statement.

"Judge Engoron's actions and rulings in this matter are all part of the public record and speak for themselves," said Office of Court Administration communications director Al Baker. "It is inappropriate to comment further."


Defense to scrutinize Deutsche Bank's due diligence

Trump attorney Jesus Suarez will continue his cross examination of former Deutsche Bank risk management executive Nicholas Haigh when Trump's civil trial resumes this morning.

Deutsche Bank was the Trump Organization's largest single lender between 2011 and 2022, loaning the former president upwards of $300 million through the bank's private wealth management division.

Describing himself as an "ultimate decider" of the loans' riskiness, Haigh testified Wednesday that his decision-making process relied on Trump's financial statements -- documents that the New York attorney general alleges were fraudulent.

"I assumed that the representations of the assets and liabilities were broadly accurate," Haigh said yesterday.

Earlier witnesses have testified about how Trump's financial documents were drafted, finalized, and sent to banks -- but Haigh is the first witness to testify from the perspective of the banks, which the attorney general says were allegedly deceived by Trump's inflated financial statements.

Suarez, during his first hour cross examining Haigh on Wednesday, said Deutsche Bank was a sophisticated company that profited from the loans.

Haigh also acknowledged that the bank failed to conduct its own independent appraisals of Trump's top properties, and did not rigorously examine his financial information.