Former President Donald Trump’s legal team faces a significant hurdle as they contend with a $454 million civil fraud judgment in New York. They assert that it’s impossible for Trump to secure a bond covering the full amount, signaling a severe cash shortage resulting from recent courtroom setbacks.
Legal Defense Faces Financial Constraints
Trump’s attorneys emphasized in a court filing that given the circumstances, obtaining an appeal bond matching the judgment’s total is unfeasible. Despite Trump’s claim of having over $400 million in cash last year, consecutive legal defeats have escalated his financial liabilities to over half a billion dollars.
Appeal Strategy Hindered by Bond Requirement
In a bid to halt enforcement while appealing the judgment, Trump’s legal team urged the state’s appellate court to overturn a previous decision mandating a bond covering the entire sum. New York Attorney General Letitia James, pursuing the case, has indicated intent to seize Trump’s assets if payment isn’t possible.
Financial Exposé Amid Legal Battles
Trump’s financial predicament comes into sharp focus as he contests Judge Arthur Engoron’s ruling, which implicated him and his associates in a scheme to deceive financial institutions. The judgment, coupled with accruing interest, has ballooned Trump’s owed amount to $456.8 million, escalating daily.
Collateral Requirement Adds to Burden
To secure the necessary bond, Trump and his co-defendants would need to provide collateral equivalent to 120% of the judgment, amounting to approximately $557.5 million. This requirement further underscores the financial strain faced by Trump and his associates as they navigate the legal landscape.
SOURCE : Ref Image from The New York Times
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