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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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."


Rep. Stefanik files complaint against Judge Engoron

Rep. Elise Stefanik of New York has filed a judicial complaint against Judge Arthur Engoron.

The letter, addressed to the New York State Commission on Judicial Conduct, largely concerns the judge's rulings in the case and his public statements, and is unlikely to impact the proceedings of the trial.

"Judge Engoron's bizarre and biased behavior is making New York's judicial system a laughingstock," Stefanik, a staunch Trump supporter, wrote.

The lengthy letter echoes some of Trump's attacks on the trial, criticizing Engoron's limited gag order in the case, the actions of his legal clerk, his summary judgment ruling, and his comments during Trump's testimony this week.

"Simply put, Judge Engoron has displayed a clear judicial bias against the defendant throughout the case, breaking several rules in the New York Code of Judicial Conduct," Stefanik wrote.


Deutsche Bank courted Trump for more business, referrals

Deutsche Bank executives courted Donald Trump to attract more business and referrals, viewing the former president as an opportunity to sell services to his family members and other high-net-worth individuals, according to the testimony of former Deutsche Bank managing director Rosemary Vrablic.

"Given the circles this family travels in, we expect to be introduced to the wealthiest people on the planet," Vrablic wrote to colleagues while courting Trump in the early 2010s, according to materials entered into evidence.

Recruiting Trump stemmed from a 2007 effort in the bank to develop a broader commercial real estate financing division for their high-net-worth individuals.

"He would have fit the category of the entrepreneur and investor with a successful track record," Vrablic testified on the stand regarding Trump's profile.

After being introduced to Donald Trump Jr. through Ivanka Trump's now-husband Jared Kushner, Vrablic began pursuing Donald Trump's business.

"We are whale hunting ... Haven't seen him yet. Also maybe Dad will convert like Ivanka did," Vrablic wrote in a 2011 email to a colleague.

"It is a term used when there is a very high-net-worth individual who is a prospect," Vrablic said in explaining why she referred to Trump as a "whale."

Once Trump was on board, leadership from the bank personally courted Trump to do more business with the bank and to connect them to other potential clients. The former CEO of the bank personally met with Trump with the express goal of gaining more deposits from Trump and leveraging Trump's relationships.

CEO Anshu Jain "thought that if Mr. Trump wanted to, there could be additional leverage provided among his world," Vrablic testified.

The effort appeared to work, as the bank made over $3 million in revenue from Trump in 2013, up from only $13,000 in 2011.