Trump Asks Manhattan Court to Overturn $454M Civil Fraud Verdict
By Isabelle Durso July 23, 2024 1:27 pm
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Former President Donald Trump asked a Manhattan appeals court on Monday to overturn the $454 million civil fraud verdict against him.
In a brief filed on Monday night, Trump’s legal team challenged the verdict by Judge Arthur Engoron that Trump lied about the value of his real estate portfolio and claimed the former president was “among the most visionary and iconic real estate developers in American history.”
In February, Engoron sided with New York Attorney General Letitia James’s case against Trump and ordered Trump to pay the millions in fines. The judge also barred Trump from doing business in the state for three years.
A spokesperson for the Office of the Attorney General said in a statement to Commercial Observer that James had been expecting Trump’s latest appeal.
“Once again, the defendants are raising arguments that they were already sanctioned and fined for,” the spokesperson said. “We won this case based on the facts and the law, and we are confident we will prevail on appeal.”
James’s reply is due Aug. 21, the spokesperson said.
“The Attorney General seeks unprecedented, limitless power to punish companies for entering into highly profitable private transactions where there was never any default, missed payment, allegations of fraud or wrongdoing,” Alan Garten, executive vice president of The Trump Organization, said in a statement.
“If this decision is allowed to stand, it will only expedite the continued exodus of companies leaving New York,” Garten added.
Engoron found in February that Trump and his sons Donald Trump Jr. and Eric Trump had inflated the value of several of The Trump Organization’s properties, including Trump Tower. Prosecutors claimed the overstated values of the properties and exaggerated estimates of Trump’s net worth allowed the Trumps to secure favorable loans.
In their brief on Monday, Trump’s lawyers predicted the civil fraud verdict would be a “disaster for New York” and claimed James was targeting “victimless” transactions in politically motivated attacks, according to Bloomberg.
Trump’s lawyers also argued that the penalty issued by Engoron in the case violated state and U.S. constitutional protections against “excessive” punishments.
Trump has made similar arguments throughout the case — calling the charges a “witch hunt” — and Engoron previously rejected them as “frivolous” and “repetitive.” The former president’s previous bids to end the case have been denied on statute of limitations grounds.
In April, Trump posted a $175 million bond to prevent James’s office from seizing his assets while he appeals the verdict.
Update: This story has been updated to include a statement from the Trump Organization.
Isabelle Durso can be reached at idurso@commercialobserver.com.
