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
Rep. Stefanik files complaint against Judge Engoron
Rep. Elise Stefanik of New York has filed a judicial complaint against Judge Arthur Engoron.
The letter, addressed to the New York State Commission on Judicial Conduct, largely concerns the judge's rulings in the case and his public statements, and is unlikely to impact the proceedings of the trial.
"Judge Engoron's bizarre and biased behavior is making New York's judicial system a laughingstock," Stefanik, a staunch Trump supporter, wrote.
The lengthy letter echoes some of Trump's attacks on the trial, criticizing Engoron's limited gag order in the case, the actions of his legal clerk, his summary judgment ruling, and his comments during Trump's testimony this week.
"Simply put, Judge Engoron has displayed a clear judicial bias against the defendant throughout the case, breaking several rules in the New York Code of Judicial Conduct," Stefanik wrote.
Court adjourned until Monday
Court has adjourned for the day, with the trial scheduled to resume Monday for the start of the defense's case.
The court will be closed Friday in observation of Veterans Day.
Donald Trump Jr. will return to the witness stand to testify as the defense's first witness on Monday, assuming the judge does not rule in favor of Trump's motion for a directed verdict to end the case early.
Judge denies NY AG's motion to quash 4 defense witnesses
Judge Engoron has denied a motion from the New York attorney general to preclude four expert witnesses from testifying for the defense when the defense presents it case starting on Monday.
The state had sought to preclude the four experts' testimony on the grounds that, following the testimony of the state's witnesses, the four defense witnesses were no longer relevant to the case.
"You've won the battle. We'll see if you win the war," Engoron told defense attorney Chris Kise -- though he warned Kise that he would cut off the witnesses if they try to debate facts already established in the case.
In making his ruling, Engoron reiterated his finding from his earlier summary judgment order that Donald Trump made at least ten internally contradictory claims in his statements of financial condition.
"You can't have a correct statement with these kinds of errors," Engoron said.
Kise told the court that Donald Trump Jr. will be the first witness to testify in the defense's case on Monday.
"Oh, I know him," Engoron deadpanned after the announcement.
It will mark Trump Jr.'s return to the witness box after the state put him on the stand last week.
Defense attorney apologizes for barb
Court has resumed after a lunch break, and Trump attorney Chris Kise appears to have had a change of heart regarding his earlier barb directed toward state attorney Andrew Amer.
Before lunch, Kise threw some shade at Amer during arguments over the state's motion to preclude testimony from four of the defense's expert witnesses.
Returning from court after the break, Kise took back his words and apologized.
"I am going to apologize to the court, I am going to apologize to Mr. Amer," Kise said.
"I appreciate it and accept the apology," Amer responded.
Trump's closing argument in doubt after heated email exchange
Former President Donald Trump's plan to deliver part of his closing argument Thursday, as reported yesterday by ABC News, is now in doubt after he failed to meet a deadline to agree to limitations imposed by Judge Arthur Engoron.
According an email exchange between Engonon and defense counsel that was posted to the public docket Wednesday, Engoron said that Trump would have to follow the case's limited gag order, and that he would not be allowed to "impugn" the New York attorney general or her staff -- limitations that Trump attorney Chris Kise rejected, calling them "untenable."
"The limitations I am imposing, in my absolute discretion, are not subject to further debate. Take it or leave it," Engoron replied on Jan. 9, according to the email thread.
When Trump's lawyers missed the first deadline set by Engoron, the judge determined that Trump could not testify. Kise then responded that he did not see the deadline and requested that the closing arguments be postponed because of the death of Melania Trump's mother on Tuesday.
"I am sad to advise the Court that Mrs. Trump's mother passed away this evening. Because of the challenges presented by this deeply personal family matter, President Trump has asked that I request the Court postpone the date for closing argument," Kise wrote yesterday.
Engoron promptly denied the request and said the closings would continue as planned.
"On balance, going forward makes the most sense. Please tell Mr. Trump that I am sorry," Engoron wrote.
Kise informed Engoron that Trump still planned to attend the closings and speak.
"Despite the fact that his Mother-in Law, who he was very close to, passed away late last night, President Trump will be speaking tomorrow," Kise said in an email this morning.
When Engoron asked for assurance that Trump agreed to his rules, Kise pushed back, writing, "You are not allowing President Trump, who has been wrongfully demeaned and belittled by an out of control, politically motivated Attorney General, to speak about the things that must be spoken about."
"I won't debate this yet again. Take it or leave it. Now or never. You have until noon, seven minutes from now. I WILL NOT GRANT ANY FURTHER EXTENSIONS," Engoron replied at 11:54 a.m.
After Kise failed to respond, Engoron emailed him at 12:12 p.m. that he assumed Trump would not be speaking and that their email exchange would be posted to the court's public docket.
Responding to the development, Trump's legal spokesperson, Alina Habba, said in a statement to ABC News: "Is anyone surprised anymore?"