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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Defense presses ex-accountant on evaluation of assets

Attorneys for the defense team declined to cross-examine Cameron Harris after the former Trump accountant completed his testimony. However they reserved the right to call him back to the stand later.

Instead, they spent the last hour of court Wednesday continuing their cross-examination of former Mazars USA accountant Donald Bender, who handled Trump's account prior to Harris.

After the defense highlighted Bender's inconsistent statements about Mazars' use of specialists to evaluate assets, Bender seemed to struggle to articulate how Mazars provided accounting expertise.

Defense attorney Jesus Suarez told Judge Engoron that he plans to continue his cross-examination of Bender through Thursday afternoon, though the defense promised to "streamline" their questions after the judge complained about the timing.

Court was then adjourned for the day.


2nd accountant says Trumps were responsible for statements

Cameron Harris, an accountant from the firm Whitley Penn, has taken the stand as the trial's second witness following hours of testimony from former Trump accountant Donald Bender of Mazars USA, whose cross-examination will continue later.

Whitley Penn succeeded Mazars as Trump's accounting firm.

Harris testified that Trump's son Eric Trump "set the tone at the top" of the Trump Organization.

Like Bender, Harris testified that the Trumps had the ultimate responsibility for their financial statements.

"Who's responsible for the statement of financial condition?" asked state attorney Kevin Wallace as Eric Trump sat in the courtroom.

"The client's responsible for that," Harris replied.

The proceedings appear to have taken a more workmanlike tone since Trump left the courtroom to return to Florida. The defense has not logged a single objection after earlier objecting so often that it drew the judge's ire.


'Trump show is over' says AG James after he departs

With former President Trump heading back to Florida after attending three days of the trial, New York Attorney General Letitia James told reporters that "the Donald Trump show is over."

Speaking to the media on her way back into court following a break, James denounced Trump's rhetoric about the case, as well as his social media post about the judge's clerk.

"Mr. Trump's comments were offensive, they were baseless, they were void of any facts," James said.

Trump, who called James "corrupt" during his various appearances outside the courtroom, also denounced the case she brought as "rigged" and said it was timed to upend his campaign for the presidency.

"This case was brought simply because it was a case where individuals were engaged in a pattern and practice of fraud," James said. "I will not be bullied."

"Mr. Trump is no longer here -- the Donald Trump show is over," said James. "This was nothing more than a political stunt, a fundraising stop."


Trump appeals judge's pretrail ruling that he committed fraud

Three days into their fraud trial, Trump and his co-defendants have appealed the pretrial ruling last week by Judge Engoron that Trump and his adult sons committed fraud in their business dealings.

Engoron made the determination last Tuesday but said the trial was still required to decide the scope of the penalty plus six remaining causes of action alleged by the New York attorney general.

Trump's appeal asks the court to consider whether Engoron "committed errors of law and/or fact, abused its discretion, and/or acted in excess of its jurisdiction" when he ruled that Trump committed fraud and canceled his business certificates in New York state.

Trump's last attempt in this case to appeal to a higher court was denied by the appellate division of the New York State Supreme Court on the eve of the trial.


Weisselberg denies discussing financial statements with Trump

After initially evading the state's question, ex-Trump CFO Allen Weisselberg denied that he ever met with Trump to discuss his financial statements.

"Did you ever meet with Donald Trump or Michael Cohen where there was discussion of the statement of financial condition before it was finalized?" state attorney Louis Solomon asked.

Weisselberg initially responded that he did not recall such a meeting happening, before answering more definitively.

"No. I don't believe it happened," Weisselberg said.

Judge Engoron, appearing skeptical of the answer, asked Weisselberg to confirm.

"Could it have happened, and you just don't remember?" Engoron asked.

"I am saying it did not happen," Weisselberg responded.

The attorney general's opening statement for the case included a portion of the deposition of former Trump attorney Michael Cohen, who claimed that Trump met with him and Weisselberg to direct them to increase his net worth, in order "to be higher on the Forbes list" of billionaires.

"Allen and I were tasked with taking the assets, increasing each of those asset classes in order to accommodate that eight-billion-dollar number [Trump requested]," Cohen said in the deposition.