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
New York AG moves to stop testimony from defense experts
Donald Trump's lawyers are scheduled to begin presenting the defense's case on Monday following the conclusion of the presentation of the New York attorney general's case -- but New York AG Letitia James is arguing that four of the defense's expert witnesses are no longer relevant.
In a filing made today, James argues that Judge Engoron's partial summary judgment decision and subsequent changes to the state's case have made make the testimony from the four experts irrelevant.
State lawyers plan to make an oral motion to preclude the expert testimony tomorrow, according to their filing.
'I don't recall' discussion of financial statements, Ivanka Trump says
State attorney Louis Solomon grew visibly frustrated with Ivanka Trump's limited recollections during an exchange about Donald Trump's Old Post Office building in Washington, D.C.
Solomon attempted to confront Ivanka Trump with a document that showed that the General Services Administration -- which ran the selection process for the renovation of the building -- raised concerns about Donald Trump's financial statements in 2011. New York Attorney General Letitia James, who says the statements contained fraudulent valuations, alleges that both Donald Trump and Ivanka Trump addressed those concerns during an in-person meeting with GSA officials.
"It was a general presentation. I don't recall with specificity any discussion of financial statements," Ivanka Trump said, prompting Solomon to throw his hands in the air.
"When I ask a question, she doesn't remember," an exasperated Solomon said. "The witness does have a recollection, your honor!"
"Would you like to clarify the situation?" Judge Engoron directly asked Ivanka Trump, who repeated the same description of the meeting.
"I recall one in-person meeting" about the "big picture" of the project, Ivanka Trump testified. She said recalled no discussion of "financial statements or anything granular like that."
Donald Trump's lawyers, meanwhile, have continued to object to Solomon asking questions about conduct from over a decade ago, which they say is akin to ancient history for a fast-moving real estate company.
"The GSA decision was made years before the statute of limitations," Donald Trump's lawyer Chris Kise argued, though Engoron overruled the objection.
'You are starting to sound like your client,' judge teases lawyer
Donald Trump is not in court today, but his lawyer is beginning to sound like the former president, according to a quip from Judge Arthur Engoron.
Describing the Trump Organization's renovation of the Old Post Office building in Washington, D.C., Trump's lawyer Chris Kise argued that the building was transformed from a "hulking relic" into a "world-class facility."
"You are starting to sound like your client," Engoron said, prompting some laughs from the gallery.
Ivanka Trump excused as lawyers debate statue of limitations
Ivanka Trump was removed from the courtroom for ten minutes while attorneys argued over whether the statute of limitations applied to the deals discussed during her testimony.
"These deals ... had requirements for updated financials year, after year, after year," Judge Arthur Engoron said. "To me, they are very much part of this case."
Donald Trump's lawyer argued that Ivanka Trump's conduct between 2011 and 2013 could not impact someone else recertifying the loans years later.
"It's theoretically impossible -- it's beyond implausible that some event that took place in 2016 would have changed the course of events in 2011, 2012, and 2013," Trump attorney Chris Kise said.
Judge Engoron appeared unconvinced by the arguments and allowed the testimony to continue.
"The ship has sailed," Engoron said.
Trump, James arrive at courthouse for closing arguments
Donald Trump has arrived via motorcade at the lower Manhattan courthouse where closing arguments are scheduled to take place.
The former president pulled up shortly after New York Attorney General Letitia James arrived.
Traffic around the courthouse was briefly disrupted about half an hour before Trump's arrival by a group of protesters chanting "No dictators in the USA" as they waved signs and displayed a large banner.