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 expected back in court today
After attending his civil fraud trial for two days this week, former President Trump does not plan to return to court today.
"We're having a very big professional golf tournament at Doral, so probably not," Trump told reporters yesterday when asked about his plans to return to court.
LIV Golf is holding a team championship at Trump's Miami, Florida, golf course this weekend, which Trump plans to attend.
He has indicted that he could return to court for the testimony of his former attorney Michael Cohen, which could happen next week.
Jack Weisselberg set to continue testimony
Day 13 of the trial is scheduled to get underway this morning with continued testimony from Ladder Capital executive Jack Weisselberg, who took the stand yesterday afternoon.
The son of former Trump Organization CFO Allen Weisselberg, who is a defendant in the case, Jack Weisselberg said yesterday that he often worked directly with his father while working on a 2015 deal to refinance the Trump Organization's $160 million mortgage of its 40 Wall Street office building.
The younger Weisselberg also described interactions with the Trump Organization executives who worked to protect the sensitivity of Trump's financial information.
"I think they were concerned about confidentiality and wanted to make sure it got into my hands," said Jack Weisselberg, describing how Trump's financial documents were sent to him via a messenger.
He also testified how, when Trump Organization executives were contemplating a 2012 loan, they appeared sensitive about making certain financial documents public -- including how much fashion brand Gucci paid in rent at Trump Tower.
"He is also nervous about Gucci's rent becoming public knowledge, as he tends to embellish from time to time," Jack Weisselberg wrote in a 2012 email that was entered into evidence, apparently referring to Trump.
"I recall it being public was a concern," Jack Weisselberg said when asked about the information referenced in the email.
'We are here to enforce the law,' says AG
New York Attorney General Letitia James denounced Donald Trump as "performative" during brief remarks outside the courthouse after court was adjourned for the day.
"He's called me disgraceful. He's called me radical. He's called me a racist, and this is only Week Three," James said of the former president.
She added that she looks forward to seeing Trump again, likely during the testimony of his former lawyer Michael Cohen, which could happen next week. Trump earlier told reporters he likely will not attend court tomorrow.
"We are here to enforce the law, and nothing will change that," James said.
Trump departs for the day
Former President Trump did not return to the courtroom following an afternoon break, and his motorcade departed the courthouse shortly thereafter.
While leaving the courtroom, Trump was asked about a court employee who attempted to approach him during the trial today and was subsequently arrested.
"The attorney general should be arrested for what she's doing," Trump said.
Trial isn't likely to conclude until January, says judge
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.