Donald Trump Faces Financial Fallout From New York Court Ruling
A Manhattan judge found that Donald Trump repeatedly lied about his wealth on financial statements, but the former president claims to have half a billion dollars in cash and vows to appeal all the way to the Supreme Court.
The civil fraud trial centered around Donald Trump’s exaggerated claims of wealth, such as stating certain properties were worth three times their actual value. While Trump denies any intent to deceive, Judge James found the evidence proved Trump committed fraud and ordered him to pay $454 million in damages and profits.
However, Donald Trump told Fox News he has “almost five hundred million dollars in cash” and believes he should not have to spend it paying the judgment while appealing. Trump’s lawyers have struggled to find a bonding company willing to accept real estate as collateral rather than cash. If Trump fails to post the full bond amount, New York Attorney General Letitia James is prepared to start seizing assets.
The Battle Over Donald Trump’s Fortune
The legal fight has brought intense scrutiny onto Donald Trump’s personal finances. In court filings, Trump’s lawyers stated they were having difficulty obtaining a bond because underwriters insisted on liquid assets rather than real estate. More than 30 companies rejected the requests. For a bond, Trump may need to put up over $557 million, or 120% of the judgment.
Trump claimed owning “substantially in excess of 400 million in cash” in an April deposition, but that was before selling golf course rights for $60 million. If James begins collection efforts, a new court battle could erupt over Trump’s true assets. On a 2021 financial statement, Trump listed $293.8 million in cash but some experts doubt the accuracy of his valuations.
Donald Trump’s media company merger could be worth over $3 billion based on stock prices, though rules may prevent immediate sale of shares. Wherever the truth lies around Trump’s wealth, one thing is clear – the New York judgment poses a serious financial threat to the former president.
