Donald Trump has finally been handed a win in the New York fraud case brought by New York Attorney General Letitia James.
Trump was due to pay more than $450 million on Monday to settle the judgment, but the appellate court slashed the bond by more than half and extended Trump's deadline.
Talking Points…
- Appeals Court slashes Trump bond
- Reaction to ruling
- Analysis
Donald Trump had not secured a bond for the nearly $500 million judgment, and the clock was about to run out. Trump would have had to either come up with the cash on his own, which he said he had or get lucky with his appeal. Trump got the latter, with the appellate court announcing a reduced bond judgment of $175 million.
In addition to Trump having the bond significantly reduced, Trump was also given an extra 10 days to make good on the settlement.
Keep in mind that this does not change the original ruling, as this was only an appeal for Trump to satisfy the judgment. Even though Trump is expected to post the bond, if he loses his appeals, he will still have to pay the original judgment in full after the appeals process is exhausted.
Donald Trump was obviously happy with the ruling, as he will be able to secure a $175 million bond reasonably quickly. He may even decide to pay this in case, but I doubt that. From the reports I have seen, Trump has very little in terms of liquid cash, so he will likely secure the bond to satisfy this judgment so he can move forward with his appeal. Trump immediately unloaded on Engoron after the judgment came down, stating:
"Judge Engoron has refused to obey the decision of the Appellate Division relative to the Statute of Limitations. This is a confrontation between a Judge and those that rule above him - A very bad situation in which to place New York State and the Rule of Law! Engoron has disrespected the Appellate Division and its very clear and precise ruling.
"He should be made to do so, and at the same time, release the GAG ORDER."
Trump then added that he would abide by the ruling of the court, stating:
"We will abide by the decision of the Appellate Division, and post either a bond, equivalent securities, or cash. This also shows how ridiculous and outrageous Engoron's original decision was at $450 Million."
"I DID NOTHING WRONG, AND NEW YORK SHOULD NEVER BE PUT IN A POSITION LIKE THIS AGAIN. BUSINESSES ARE FLEEING, VIOLENT CRIME IS FLOURISHING, AND IT IS VERY IMPORTANT THAT THIS BE RESOLVED IN ITS TOTALITY AS SOON AS POSSIBLE. THANK YOU!"
Trump attorney Christopher Kise added:
"The First Department no doubt recognized the rule of law must triumph over the political agenda of the Attorney General.
"President Trump looks forward to a full and fair appellate process which overturns the judgment and ends the Attorney General's abuse of power and tyrannical pursuit of the front running candidate for President of the United States."
Letitia James' office also responded, stating:
"The court has already found that he engaged in years of fraud to falsely inflate his net worth and unjustly enrich himself, his family, and his organization.
"The $464 million judgment – plus interest – against Donald Trump and the other defendants still stands."
This is clearly a win for Trump, and now he can move forward with his appeal. Obviously, this would have been a disaster for Trump had he not won the appeal, giving James the green light to start seizing his properties to satisfy the judgment. I still believe this penalty will be significantly reduced on appeal, and there is still an outside shot that Trump could get the decision reversed. Most legal experts that I have seen comment on this case believe both Engoron and James were overzealous in this case and that it will be rectified as Trump challenges the ruling.
