Connect with us


Fraud Case: The plot thickens for Donald Trump



Fraud Case: The plot thickens for Donald Trump

Former President Donald Trump is facing mounting pressure as the deadline approaches for him to secure a half-billion-dollar bond to appeal his civil fraud case in New York, according to sources close to the situation.

Trump’s legal team admitted on Monday that they were struggling to find an insurance company willing to underwrite his $454 million bond. Despite Trump’s hopes resting on Chubb, the insurance company responsible for his previous bond, they recently informed his attorneys that they would not be providing coverage this time.

With the March 25 deadline looming, Trump’s team is scrambling to find solutions. They’ve reached out to wealthy supporters and are considering which assets could be sold quickly to raise the necessary funds.

However, the former president is deeply concerned about the optics of this financial predicament, particularly given his long-standing association with wealth and success.

Privately, Donald Trump is said to have expressed frustration towards New York Attorney General Letitia James and Judge Arthur Engoron, who ruled against him in the case. He sees the situation as politically motivated and has accused his opponents of interference in the legal process.

In a series of social media posts early Tuesday morning, Trump aired his grievances about the deadline, arguing against having to put up such a substantial sum of money. He voiced concerns about the potential need to sell off assets at reduced prices and the impact this could have on his financial standing.

While Trump’s legal team claims to have approached 30 underwriters for the bond, the former president himself has expressed doubts about the feasibility of meeting the requirement. Underwriters are reportedly demanding cash to back the bond, rather than properties, which further complicates the situation.

The bond stems from a recent ruling by Judge Engoron, who ordered Trump to pay $355 million in disgorgement for his involvement in fraudulent activities. The judgment accuses Donald Trump and his associates, including his adult sons, of inflating asset values to secure more favorable loans and insurance rates.

To halt the enforcement of the judgment, Trump must post the bond, which will be held in an account throughout the appellate process—a process that could extend over several years.

While Trump did manage to post a $91.6 million bond earlier in a separate case, industry experts note that securing a bond exceeding $100 million can be challenging due to internal policies of major underwriters.

As the deadline approaches, Donald Trump finds himself in a precarious position, with the outcome of his appeal hanging in the balance.