Former President Donald Trump has been ordered by a New York judge in his civil fraud trial to pay nearly $364 million in damages for exaggerating the valuation of his real estate holdings in order to get favorable lending terms between 2011 and 2021.
Judge Arthur Engoron also barred the Trump from serving as an officer or director of any New York corporation for three years. Two of the former president’s sons, Donald Jr. and Eric, were each found liable for $4 million and Allen Weisselberg, the former chief financial officer of the Trump Organization, was found liable for $1 million.
“In order to borrow more and at lower rates, defendants submitted blatantly false financial data to the accountants, resulting in fraudulent financial statements,” said Engoron in his 92-page ruling. “When confronted at trial with the statements, defendants’ fact and expert witnesses simply denied reality, and defendants failed to accept responsibility or to impose internal controls to prevent future recurrences.”
Prior to the trial Engoron ruled that New York Attorney General Letitia James proved there was fraud in Trump’s financial statements and ordered some of Trump’s companies removed from his control and dissolved. An appeals court later put that Engoron’s decision on hold.
Trump had been critical of Engoron before and during the trial and his lawyers had they would work for an appeal before the verdict was announced.
Photo: Michael Vadon / Flickr Creative Commons
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I still don’t get why this happened. Appraisers set the value of a property. So what if he pumped up the values?……..NY got their tax money, so what are they complaining about?
Is NY going to rebate the tax money paid for the overvalued properties? If ever there was a vendetta, this sure looks like one to me.
Because he defaulted.on the loans he lied to get.
You are completely wrong. Do you have an agenda? Like the Left? He did not default on any of the loans involved in this case. The lender testified that they had NO issues, the loans had been paid in full, they liked the deal from start to finish. The judge in this trial is a complete goof, sexting to people and more.
Do your homework before making such false statements.
He did not default at all. The bank rep testified and said the banks had been paid on time and paid in full. He also stated it was not uncommon for an owner to feel the properties were worth more but they based loans on appraisals.
Fake News Rob, Fake News
New York determined there was fraud. As a state protecting its citizens, New York took steps to protect its citizens. There is evidence that the appraisal for financial statements does not match the appraisal for property taxes. So, if he paid property tax, relying on low numbers, but his financial statements to get better loan rates, are based on higher numbers, that is a problem. Also, since each bank has a limit on how much it can lend, if it lends money to someone who submits false financials, it doesn’t have money for borrowers who aren’t falsifying documents. We all suffer when people “game the system” with fraud.
You pay your taxes on the assessed value which is lower than the appraised value, So of course , you’re paying taxes on a lesser value than what you are claiming the upraised value is. Low information creates uninformed presumptions.
You probably believe that marilla was valued at eighteen million.
The taxes change in a purchase.
Refinancing properties even thought the value of the properties go higher, the property taxes will be the same. It is not taxes paid for the overvalued properties.
Classy.
It’s a leftist criminal cartel masquerading as a legitimate legal system. If there was ever an example of a third world Banana Republic it would be New York.
It’s disgusting that any elected judge can impose such unjust penalties they so choose based on bias. It really shows how we are all at the mercy of a corrupt system. I too cannot understand how Trump can be accountable for “over-valuing” properties. On a loan application there is a section named schedule of real estate owned. It’s a simple list of owned properties and what the borrower believes the value to be. A borrower is not a licensed appraiser or lender. A lender has all the technical tools at their fingertips to verify the estimated value of real estate assets. Very sad situation for America.
Well put. I have filled out forms as you described countless times. Sometimes criticized for having too high of a value. In a few incidences I sold shortly thereafter for More than I guesstimated the value.
It would be RIDICULOUS if it wasn’t so EGREGIOUS.
The idea that these idiots have any idea of property values is beyond absurd.
What country has this become?
As an American, I’m embarrassed by this whole kangaroo court.
The DA and Judge should both lose their employment.
Not being privy to the testimony presented by the prosecutor in this case, I can only assume that taking a retrospective approach to establishing an estimate of value via both a market approach as well as an income approach would have been goal number one. Under the presumption that capable appraiser professionals were contracted to confirm such findings one can logically assume that contrary conclusions were presented in order to ultimately convict the accused. If this were not the case, then the lenders should be held liable as well for any negligence in not performing their due diligence in the review process.
A Crook will always be a Crook regardless.
Yes! That crooked DA and judge need to go!
Slowly but surly we are turning this country to N. Korea.