{"slug":"trump-new-york-civil-fraud-judgment-454-million","title":"New York Civil Fraud Judgment: $454 Million for Inflating Assets Over Decades","date":"2024-02-16","lastUpdated":"2024-05-20","description":"On February 16, 2024, New York Judge Arthur Engoron issued a $454 million civil fraud judgment against Donald Trump, two of his sons, and the Trump Organization, finding that Trump had repeatedly and fraudulently inflated the value of his real estate assets — including his homes, golf courses, and commercial properties — to obtain favorable bank loans and insurance rates, while deflating values for tax purposes. The fraud had continued for a decade. Trump was barred from serving as an officer of any New York corporation for three years.","summary":"Judge Engoron found that Trump had consistently and intentionally misrepresented asset values across a decade of financial statements. His Mar-a-Lago estate was valued in financial statements at up to $739 million — despite its deed restricting it to residential use, with an estimated fair market value of $75-100 million. His Trump Tower triplex was listed at 30,000 square feet when it was actually 10,996 square feet — nearly three times its actual size. The fraud allowed Trump to obtain loans at more favorable rates than he would have received with accurate valuations.","category":"corruption","severity":"critical","ongoing":false,"sources":[{"url":"https://www.nytimes.com/2024/02/16/nyregion/trump-fraud-ruling.html","title":"Trump Ordered to Pay $364 Million in Fraud Judgment","publisher":"The New York Times"},{"url":"https://www.washingtonpost.com/dc-md-va/2024/02/16/trump-civil-fraud-judgment-new-york/","title":"Trump ordered to pay $364 million in civil fraud ruling; amount rises to $454 million with interest","publisher":"The Washington Post"},{"url":"https://apnews.com/article/trump-civil-fraud-ruling-new-york-engoron","title":"New York judge orders Trump to pay $364M in civil fraud trial","publisher":"The Associated Press"},{"url":"https://iapps.courts.state.ny.us/nyscef/ViewDocument?docIndex=xAV2vq+j8u9y5axbGVvdAg==","title":"Decision and Order — State of New York v. Trump et al.","publisher":"New York Supreme Court"}],"draft":false,"status":"published","tags":["fraud","civil-judgment","New-York","post-presidency","financial","Deutsche-Bank"],"relatedEntries":[],"timeline":[{"date":"2022-09-21","title":"NY AG Letitia James files $370 million civil fraud suit","summary":"New York AG Letitia James files a civil lawsuit alleging that Trump, the Trump Organization, and senior executives committed persistent fraud by falsely inflating asset values in financial statements submitted to banks and insurers."},{"date":"2023-09-26","title":"Trial begins — judge has already found fraud","summary":"Civil fraud trial begins in Manhattan. Judge Engoron had previously ruled on summary judgment that the fraud had occurred; the trial was to determine the extent of liability and damages."},{"date":"2024-02-16","title":"Judge issues $454 million judgment","summary":"Judge Engoron issues a 92-page decision imposing $355 million in disgorgement plus approximately $100 million in pre-judgment interest. Trump is barred from New York corporate officer roles for three years."},{"date":"2024-03-25","title":"Trump posts $175 million bond","summary":"After struggling to post the full $454 million bond (lenders declined to provide it against real estate collateral), the appeals court allows a reduced $175 million bond while Trump appeals."},{"date":"2024-05-20","title":"Appellate division hears arguments","summary":"Trump's appeal is argued before the New York Appellate Division. A ruling is pending."}],"location":{"name":"New York, NY","lat":40.7128,"lng":-74.006},"custom":{"era":"post-presidency","posture":"judicial-finding","warCrimeClassification":"enabling","internationalLaw":[],"iccRelevance":false,"victims":"Banks and insurers that extended credit based on fraudulent valuations; financial market integrity; New York taxpayers who subsidized fraudulent business practices","structuredPerpetrators":[{"name":"Donald Trump","role":"Primary defendant; personally certified fraudulent financial statements; primary beneficiary","institution":"Trump Organization"},{"name":"Donald Trump Jr.","role":"Named defendant; Trump Organization executive officer","institution":"Trump Organization"},{"name":"Eric Trump","role":"Named defendant; Trump Organization executive officer","institution":"Trump Organization"}],"updateLog":[{"date":"2024-05-20","summary":"Updated with appellate division hearing."}]}}