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.
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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
Trump not in courtroom following break
Court has resumed following a break, but Trump is notably absent from the courtroom. His paperwork remains at the counsel table, and his lawyers have left his seat empty.
Eric Trump and New York Attorney General Letitia James returned to the courtroom after the break, along with the lawyers for both sides.
Former Trump accountant Donald Bender is back on the stand for his cross-examination.
'Tell me what the point is,' judge tells Trump attorney
Trump attorney Jesus Suarez is continuing his attempts to discredit former Trump accountant Donald Bender's testimony, but his arguments seem to be wearing thin for the judge.
After Suarez played a short clip from Bender's deposition, Judge Engoron -- who is deciding the case himself -- told the attorney, "There's no jury. Tell me what the point is."
During another portion of the cross-examination, Engoron told Suarez, "It's starting to sound like 'How many angels can dance on the head of a pin.'"
Cross-examination of ex-accountant continues
Continuing his cross-examination of Mazars USA accountant Donald Bender, who formerly worked on Trump's account, Trump attorney Jesus Suarez is adopting a less aggressive approach to his questioning than the theatrical approach he took yesterday.
When Justice Engoron appeared unreceptive to one part of Suarez's questioning, Trump, sitting with his attorneys, visibility groaned.
"It's easiest just to move on. Take a hint," Engoron said to Suarez about one of his attempts to discredit Bender.
Trump has been conferring with his attorney Alina Habba, taking notes, reviewing documents, and even ripping up papers while seated at the counsel table during the cross-examination of Bender.
Trump says his net worth is 'much higher' than statements say
Former President Trump, on his way into court for Day Three of his trial, said that his financial statements under-report his wealth, despite the judge in his case already ruling that his financial records were fraudulently inflated.
"My real net worth is much higher than that, much higher than the statement," Trump told reporters.
Decrying his trial as the "beginning of communism in our country," Trump continued his attacks on New York Attorney General Letitia James, but did not comment on Judge Arthur Engoron.
"This is just a continuation of the witch hunt that started the day I came down the escalator in Trump Tower," Trump said.
No evidence Trump asked ex-CFO to pump net worth, defense says
Defense lawyer Clifford Robert filed a letter late Thursday asking Judge Engoron to strike testimony from Trump Organization executive Patrick Birney about an alleged "scheme" to pump former President Trump's net worth.
During his testimony Monday, Birney testified that former Trump Organization CFO Allen Weisselberg told him that "Mr. Trump wanted his net worth on the statement of financial condition to go up." The New York attorney general has argued this statement supports the existence of an "illicit agreement or scheme" within the Trump Organization to inflate Trump's net worth.
Describing the statement as "merely a recitation of what Mr. Weisselberg allegedly heard from President Trump without adoption or indorsement," Robert argued that the statement cannot be assumed to be true based on Birney's testimony.
"In any event, there is nothing in the record establishing President Trump actually made the statement to Mr. Weisselberg," Robert added in a footnote to his letter.