New York Attorney General Letitia James has taken an initial step toward laying the groundwork for a possible seizure of former President Donald Trump’s assets in New York’s Westchester County as part of the $464 million judgment in Trump’s civil fraud trial.
State officials have entered the judgment from Trump’s civil fraud trial in Manhattan with the county clerk’s office in Westchester, which would allow James to move to take possession of Trump National Golf Course in Briarcliff Manor and Seven Springs, a private estate in Bedford, if Trump fails to secure a bond.
His lawyers this week said Trump is facing “insurmountable difficulties” obtaining a bond to cover the $464 million judgment imposed by Judge Arthur Engoron. They have asked an appeals court for permission to post a smaller bond or none at all.
If Trump does not secure a financial guarantee by Monday’s deadline, James could begin the legal process of seizing Trump’s bank accounts and physical assets in Manhattan and Westchester through liens and foreclosures.
A representative from the Trump Organization did not respond to a request for comment from ABC News.
On Thursday, lawyers for Trump doubled down on their claim that securing the bond is impossible, according to a letter sent to New York’s Appellate Division Thursday.
Trump attorney Clifford Robert described James’ suggestion Wednesday that Trump secure multiple smaller bonds or hand over property to the court as “illogical,” “unconstitutional,” “impractical,” and “unjust.”
Former President Donald Trump speaks during a Buckeye Values PAC Rally in Vandalia, OH, March 16, 2024.
Kamil Krzaczynski/AFP via Getty Images
“Perhaps worst of all, the Attorney General argues that Defendants should be forced to dispose of iconic, multi-billion-dollar real-estate holdings in a ‘fire sale,'” Robert wrote in the letter.
Pushing back on the suggestion that Trump could hand over properties to the court, Robert said that the proposal was impractical and “functionally equivalent” to the Trump Organization’s court-appointed monitor.
He argued that James’ suggestion that Trump procure a series of smaller bonds would fail to resolve Trump’s current predicament because lenders are still unwilling to offer a bond using both cash and property as collateral.
“As explained in Defendants’ Affirmations, those separate bonds would still require a total collateralization of cash or cash equivalents in excess of $557 million, regardless of how many sureties were involved,” the letter said.
“It would be completely illogical — and the definition of an unconstitutional Excessive Fine and a Taking — to require Defendants to sell properties at all, and especially in a ‘fire sale,’ in order to be able to appeal the lawless Supreme Court judgment, as that would cause harm that cannot be repaired once the Defendants do win, as is overwhelmingly likely, on appeal,” Robert wrote on Thursday.
New York Judge Arthur Engoron in February ordered Trump to pay $464 million in disgorgement and pre-judgment interest after he found the former president and his adult sons liable for using “numerous acts of fraud and misrepresentation” to inflate his net worth in order to get more favorable loan terms. Trump has denied all wrongdoing and has appealed the decision in the case.
Earlier this week, Trump’s lawyers argued that the former president is unable to secure a bond for the judgment, having been rejected by over 30 insurance companies due to its size and his need to post properties as collateral.
The New York Attorney General’s office has recently taken a significant step in the ongoing legal battle against former President Donald Trump and his family business. Attorney General Letitia James has initiated the process for potentially seizing Trump’s assets as part of a $464 million fraud case.
The case stems from allegations that the Trump Organization inflated the value of its assets to secure loans and tax benefits. The investigation, which has been ongoing for several years, has uncovered evidence of fraudulent practices within the organization, including inflating the value of properties and providing false information to lenders and tax authorities.
In a statement released by the Attorney General’s office, Letitia James stated, “We are seeking to hold Donald Trump and the Trump Organization accountable for their illegal conduct and ensure that they are not able to continue defrauding the public.” The potential seizure of Trump’s assets is a significant development in the case and could have far-reaching implications for the former president and his business empire.
The process for seizing assets in a fraud case is complex and involves a thorough investigation into the individual’s financial holdings. In this case, the Attorney General’s office will work with financial experts and forensic accountants to trace the flow of funds and identify any assets that may have been obtained through fraudulent means.
If the Attorney General is successful in seizing Trump’s assets, it could have a significant impact on his financial standing and future business dealings. The potential loss of assets could also have legal implications for Trump, including potential criminal charges for fraud and other financial crimes.
The case against Trump and the Trump Organization is just one of several legal challenges facing the former president since leaving office. In addition to the fraud case in New York, Trump is also facing investigations into his tax returns, business dealings, and potential involvement in the January 6th insurrection at the Capitol.
As the legal battle continues to unfold, it remains to be seen how Trump will respond to the potential seizure of his assets and what impact it will have on his future business endeavors. One thing is clear: the New York Attorney General’s office is committed to holding Trump and his organization accountable for their alleged illegal conduct and ensuring that justice is served.
