Donald Trump trapped in Fraud case

Former President Donald Trump has found himself trapped in his legal battles as his New York civil fraud case continues trial.

The former president is reportedly facing challenges in meeting the requirements of a New York civil fraud case, as he struggles to secure a guarantee for the $464 million he has been ordered to pay.

The court has mandated that Donald Trump either pay the full amount in cash or obtain a bond to continue his appeal process.

Trump expressed the difficulty of securing a bond of this magnitude, stating it was “practically impossible” and unprecedented for any company, including his own, to provide such a guarantee.

His legal team revealed extensive efforts to negotiate with insurance companies, but they encountered resistance, with very few bonding companies willing to consider a bond of this scale.

The former president’s sons are also facing substantial financial obligations in the case. In addition to the monetary penalty, New York Judge Arthur Engoron imposed a three-year ban on Trump from running any businesses in the state after finding him guilty of inflating assets to obtain favorable loan terms.

While a judge temporarily paused the business ban, Trump’s bid to provide a smaller bond amount was denied. Legal experts note that penalties of this magnitude are typically imposed on large corporations, making Trump’s situation unprecedented and challenging to navigate.

Trump’s legal team’s delay tactics are facing limitations as the attorney general of New York has vowed to seize his assets if he fails to pay the fraud judgment. Interest on the penalty continues to accrue, adding to his financial burden.

Despite Trump’s considerable wealth, his lawyers emphasized that bond companies require cash or cash equivalents as collateral, making it difficult to leverage his real estate assets. Trump’s net worth is estimated at around $2.6 billion, with $400 million in liquid assets.

In addition to the civil fraud case, Donald Trump is also facing legal setbacks in criminal cases, including a denial to block key witness testimonies in a trial where he is accused of falsifying business records to conceal hush money payments.

The trial could commence as early as April, further complicating Trump’s legal predicament.