New York state lawyers are urging an appeals court to uphold a nearly $500 million civil fraud judgment against Donald Trump, arguing that there is overwhelming evidence to support the judge’s finding that the former president lied about his wealth for years as he built his real estate empire. The appeal, filed by New York Attorney General Letitia James’ office, accuses Trump and his co-defendants of engaging in fraud and illegality on a large scale by using financial statements with blatant misrepresentations to maintain loans and generate profits. The case is set to be heard on September 26, just before Election Day and early voting begins in some states.
If the judgment is upheld, it could significantly impact Trump’s personal wealth, disrupt his Trump Organization, and damage his identity as a successful businessman. As of Wednesday, Trump and his co-defendants owe over $485 million, including accrued interest. Trump is seeking to overturn the judge’s finding that he lied about his wealth on financial statements, arguing that the verdict was erroneous and egregious. The Appellate Division could uphold the verdict, modify the penalty, or overturn the decision entirely, with Trump having the option to appeal to the Court of Appeals if unsuccessful.
State lawyers argue that the statute of limitations was applied properly and that the attorney general has authority to take action against fraudulent business conduct. Trump denies any wrongdoing and claims the case is a politically motivated attack against him. The scheduling of oral arguments in September adds to a busy month for Trump, as he campaigns for the White House and faces multiple legal challenges. The judge in his hush money criminal case is expected to rule on a defense request to overturn his conviction on presidential immunity grounds, with sentencing scheduled just before Election Day.
Manhattan Judge Arthur Engoron found that Trump and his company inflated their financial statements to create an illusion of greater wealth and value, resulting in a hefty monetary penalty and limitations on the Trump Organization’s business activities. If upheld, this ruling could force Trump to pay $485.2 million, including accrued interest, and give up a significant portion of his fortune. Trump maintains that he is worth billions of dollars and has cash assets of $400 million in addition to other investments. If he is unable to pay, the attorney general may seek to seize his assets.
Trump’s lawyers argue that upholding the judgment would grant the attorney general limitless power to target anyone, including political opponents. The case is being closely watched as it could have implications for Trump’s financial standing and business operations. The upcoming appeals court hearing and subsequent decision will determine the outcome of this high-stakes legal battle between the former president and the state of New York.
