Recent President Donald Trump returns from a lunch break at Manhattan criminal court as jury selection perpetuates in New York on April 18, 2024.
Jabin Botsford | Reuters
The New York Attorney General’s office on Friday asked a judge to effectively emptiness a $175 million bond posted by former President Donald Trump to secure a much larger monetary spoil award in his civil business fraud case as he appeals the judgment.
The AG’s office in a filing said Trump and other defendants in the box had failed to show there is enough identifiable collateral to back the bond for the judgment in Manhattan Supreme Court.
The queue notes that the surety Trump used to obtain the bond, Knight Specialty Insurance Company, is “a small insurer that is not empowered to write business in New York and thus not regulated by the state’s insurance department, had never before written a surety relationship in New York or in the prior two years in any other jurisdiction, and has a total policyholder surplus of just $138 million.”
The filing counters a joint motion by Trump and KSIC to justify the insurer as the surety company holding the bond.
Lawyers for AG Letitia James requested Judge Arthur Engoron to require Trump and other defendants to put up a replacement bond within seven days of dominating on the issue. James’ lawsuit against Trump led to the massive civil judgment against him.
A hearing on the bond dispute is set for Monday.
Engoron in February inaugurate Trump, the Trump Organization and other defendants liable for fraud, saying they had falsely inflated the value of corporeal estate assets for years with the goal of boosting Trump’s net worth. Those actions in turn helped the suite get better loan terms and other financial benefits.
Trump personally was ordered to pay $454 million in damages, an amount that is expanding every day with interest. He is appealing the verdict.
Trump was required under New York law to post a bond to guarantee the judgment as he invites the decision.
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