Judge Orders Donald Trump to Pay $355 Million for Property Value Misrepresentation in New York

Former President Donald Trump has been ordered by a New York judge to pay nearly $355 million for lying about the values of his properties.

The ruling, issued by Judge Arthur Engoron, also imposes a ban on Trump serving as a company director and taking out loans from New York banks for three years.

The judge’s decision stems from allegations of property value misrepresentation and fraudulent financial practices.

The ruling refers to previous allegations of wrongdoing, including the Trump Organization’s conviction in a criminal tax fraud case in 2022.

In that case, a jury found that the organization had enriched its top executives with off-the-books benefits over more than a decade.

Judge Engoron justified the substantial penalty by stating that the defendants are likely to continue their fraudulent ways unless a significant penalty is imposed.

He pointed to the lack of contrition and remorse, describing it as bordering on pathological.

While the ruling spared Trump’s companies from dissolution, it introduced two tiers of oversight, including an independent monitor and a separate independent director of compliance, to be installed for up to three years.

In addition to the financial penalty, Trump is required to pay interest on the profits made through the fraudulent practices, potentially bringing the total to around $450 million.

The ruling also impacts Trump’s adult sons and co-defendants, Donald Jr and Eric, who are each ordered to pay $4 million and are barred from doing business in New York for two years.

Another co-defendant, Allen Weisselberg, the former CFO of the Trump Organization, has been ordered to pay $1 million.

Donald Trump, speaking from his Florida estate Mar-a-Lago, criticized the ruling as a political witch hunt and announced plans to appeal.

The judge’s thorough record of reasoning in the ruling suggests preparation for an expected appeal.

New York Attorney General Letitia James, who brought the civil case, accused Trump of massively inflating property values and lying on financial statements to secure favorable loans.

James welcomed the ruling, emphasizing the principle of equal rules for all individuals, including former presidents.

This penalty adds to the legal challenges faced by Donald Trump, as he already owes $83.3 million in a separate defamation case.

Despite the substantial amount, it is not expected to bankrupt Trump, whose estimated net worth is $2.6 billion.

The ruling reflects a significant development in New York’s legal actions against Trump and his business practices.