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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'There's no fraud,' Trump says before entering courtroom

Donald Trump is back at the defense counsel's table in the courtroom, seated between his lawyers Alina Habba and Chis Kise.

Speaking to the press before entering the courtroom, Trump railed against the trial, telling reporters that his assets were undervalued, reiterating his desire for a jury trial, and criticizing New York Attorney General Letitia James.

"This is the railroading that's all coming out of the Department of Justice," Trump said without offering proof of the accusation.

Press photographers were briefly permitted to enter the courtroom and take photos before testimony resumed.

"They are the eyes and ears of the public, or at least the eyes in this case," Judge Arthur Engoron remarked as the photographers left the court.


Attorney general back in attendance

New York Attorney General Letitia James is attending the civil trial this morning.

After greeting the press in the courtroom's gallery, James returned to same front-row seat she used earlier in the trial.

James attended the first six days of the trial but had not been in the courtroom the last week.


Trump says he'll return to courtroom this morning

Donald Trump plans to attend his ongoing fraud trial in downtown Manhattan this morning, the former president said in a Truth Social post this morning.

Star witness Michael Cohen, Trump's former lawyer and self-described "fixer," will be absent from the courtroom after a medical issue delayed his testimony.

Trump will instead hear testimony from his company's assistant controller, Donna Kidder.

State attorneys also plan to call real estate executives who appraised Trump properties, as well as real estate executive Jack Weisselberg, the son of former Trump Organization CFO Allen Weisselberg, who worked on a refinanced loan for Trump's 40 Wall Street property.

Trump was in attendance for the first three days of the trial when it began two weeks ago.


Trump Hotels chief accounting officer concludes testimony

State attorney Andrew Amer concluded his direct examination of Trump Hotels chief accounting officer Mark Hawthorn by applauding Hawthorn's skills and experience.

Amer highlighted that Hawthorn successfully conducted cash flow analysis, understood estimated current value, and applied the generally accepted accounting principles to his work.

Asked by Amer if he was ever asked to work on Trump's statement of financial condition -- a job that was handled by other executives like CFO Allen Weisselberg and controller Jeffrey McConney, who in earlier testimony acknowledged their lack of knowledge regarding foundational accounting principles -- Hawthorn replied that he was never approached about the task.

"I would be qualified to give it a try," said Hawthorn.

Hawthorn then stepped down from the witness stand to make way for Trump Organization assistant controller Donna Kidder to begin her testimony, after which court was adjourned for the day.

Kidder's testimony is scheduled to resume tomorrow morning, when former President Trump is expected to return to the courtroom.


NY AG calls ruling a 'tremendous victory'

New York Attorney General Letitia James, whose office brought the civil fraud case against Donald Trump, described the ruling as a "tremendous victory for this state, this nation, and for everyone who believes that we all must play by the same rules -- even former presidents."

“When powerful people cheat to get better loans, it comes at the expense of honest and hardworking people," James said in a statement. "Everyday Americans cannot lie to a bank to get a mortgage to buy a home, and if they did, our government would throw the book at them. There simply cannot be different rules for different people."

The former president is "finally facing accountability for his lying, cheating, and staggering fraud," she said.