Last month, Donald Trump lost a huge case with the state of New York, getting slapped with a judgment of more than $350 million, which has now increased to more than $460 million with fines and penalties, and it continues by more than $110,000 with every passing day due to interest charges.
Donald Trump tried to secure a bond for the judgment, but he has been unable to obtain one, which now leaves him only days to figure out how to pay the judgment or forfeit his right to appeal.
Talking Points…
- Trump struggling to pay judgment
- Biden cracks a joke about Trump's situation
- Analysis
Donald Trump has been trying to obtain a bond for the $464 million, but it has been a bit of a struggle. His attorneys have stated they have approached dozens of lenders, but for a loan of this size, Trump would need roughly $1 billion in cash reserves to secure the bond, which he does not have.
Trump only has until Monday to make good on the judgment. He tried to have the payment stayed, considering the size, but he lost that motion as well. With time quickly expiring, his attorneys noted their frustration over the task, stating:
"A bond requirement of this enormous magnitude — effectively requiring cash reserves approaching $1 billion — is unprecedented for a private company."
Trump commented on the challenge on Tuesday, noting that if he cannot get the bond, he will have to start selling off properties to pay it. He stated:
"Judge Engoron actually wants me to put up Hundreds of Millions of Dollars for the Right to Appeal his ridiculous decision. In other words, he is trying to take my Appellate Rights away from me.
"I would be forced to mortgage or sell Great Assets, perhaps at Fire Sale prices, and if and when I win the Appeal, they would be gone. Does that make sense?"
Joe Biden is using Trump's financial woes to crack jokes when he is out campaigning. Biden was at the Gridiron Dinner when he decided to get a chuckle at Trump's expense. He stated:
"Our big plan to cancel student debt doesn't apply to everyone. Just yesterday, a defeated-looking man came up to me and said, 'I'm being crushed by debt. I'm completely wiped out.' I said, 'Sorry, Donald, I can't help you.'"
This is more than a personal problem for Trump; it is quickly becoming a campaign issue.
Democrats are already pushing the narrative that since Trump could not get the money domestically; he may be forced to seek a loan from a foreign bank. Of course, this starts to raise the question of Trump being beholden to another country because of his financial woes.
From the Biden perspective, I would avoid cracking jokes because it does make it appear as though the plan that everyone suspects Democrats put in play to weaponize the DOJ and ruin Donald Trump is coming to fruition.
I cannot stress enough how much of a problem this is for Trump because if the judgment is not paid, New York Attorney General Letitia James can start placing liens against his properties to satisfy the judgment. If that happens, with the property valuations she had, she can just about wipe out his portfolio. Not only that, but Trump loses the right to appeal the case, which means everything is gone for good. Letitia James is on the verge of delivering her campaign promise to ruin Donald Trump. That very well may happen in less than a week unless Trump can get his hands on half a billion dollars.
