The $ 500 million fine received by Trump and Trump Organization in a financial fraud process was canceled by a court of appeal. Eric Trump: “It is the biggest victory in the world”
Donald Trump Jr. (left) and Eric Trump (center), sons of US President Donald Trump. Photo credit: Timothy A. Clary / AFP / Profimedia
A court of appeal annulled on Thursday the civil sanction for fraud pronounced against US President Donald Trump, who was going to cost the billionaire and his business over 500 million. A group of judges in New York canceled the initial sentence, qualifying it as “excessive”, writes NBC News.
The judges of the court of appeal, in a decision that was not unanimous, have largely agreed with the fraud findings of the first-court judge Arthur Encoron in the case of the president and his companies, but found that the damages are “excessive”, reports News.ro citing NBC News.ro.
The massive fraud in case in the case of Trump Organization had been documented by the Prosecutor General of New York, Letitia James, in 2022. In essence, the current president of the US has been accused of fraudulently overvalued the value of his properties and other assets to strengthen his family business.
Judge Encoron found that Trump has swollen his wealth over several years before becoming president in 2017, to deceive creditors and insurers to offer better Trump Organization. In his Judgment of February 2024, Judge Encoron initially ordered Trump and his companies to pay damages of over $ 350 million. Since then, this amount has increased to over $ 500 million with interest.
Trump challenged the judgment of Judge Arthur Engoron, pronounced in a state-owned state court, following a three-month lawsuit.
“A lack of almost pathological remorse”
Trump was personally liable for 98% of the amount established as a sanction by the court decision, and his sons Donald Trump JR and Eric Trump, as well as the former financial director of Trump Organization, were to pay the rest of the amount.
Referring to Trump and other personalities in Trump Organization, Encoron said that “their total lack of remorse is almost pathological.”
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Engoron also forbade Trump and Trump Organization to request loans from banks registered in New York for three years and effectively banned Donald Trump Jr. and Eric Trump to run the business for two years.
These restrictions were suspended during the appeal process, but the activity was monitored by a supervisor appointed by the court for Trump Organization.
Prosecutors could decide to confiscate Trump's wealth, from the Wall Street tower at Trump Tower apartment, planes, golf courses
Eric Trump: “A big day for us”
Trump denied that he had committed any illegality. His lawyers claimed that the punishment is too great and that prosecutor James exaggerated.
Eric Trump reacted enthusiastically on Thursday in a telephone call with NBC News to the news of the Court of Appeal saying: “This is the biggest victory in the world.”
“I always knew this will happen, the case is completely won and it is a big day for us,” he added.
