New York judge Arthur Engoron delivered a scathing judgment on Donald Trump and his real-estate company, imposing a substantial fine of over $350 million and banning Trump and his adult sons from leading companies in New York for several years. The verdict, a significant blow to Trump's self-perceived image as a successful real estate mogul, stems from a fraud case with far-reaching implications.
Key Takeaways from the Verdict:
Fines and Calculations:
Engoron imposed a $364 million fine, closely aligned with the $370 million requested by the attorney general's office.
Significant portions of the fine ($168 million) were attributed to Trump's lower interest rates obtained through fudged financial statements, and another $126 million from the profit made in the sale of the Old Post Office building in Washington.
Trump as an Adjudicated Fraudster:
The judge labeled Trump as an "adjudicated fraudster," emphasizing how Trump profited by presenting inflated net worth figures to lenders.
The Old Post Office deal was highlighted as yet another instance where false statements played a crucial role.
Ban and Oversight:
Contrary to prosecutors' request for a permanent ban, Engoron banned Trump from leading any company in New York for three years. Eric and Don Jr faced two-year bans.
Engoron reversed a pre-trial ruling to cancel the Trump Organization's business certificates, now opting for court-appointed monitors to oversee the business, ensuring "good financial and accounting practices."
Credibility Issues:
Engoron criticized Trump's credibility during the trial, noting evasive and irrelevant responses to questions.
Eric Trump's credibility was severely damaged by denying knowledge of financial statements, later acknowledging it only when confronted with evidence.
Donald Trump Jr's claim of ignorance regarding Weisselberg's departure was deemed "entirely unbelievable."
Rejection of Trump's Arguments:
Engoron dismissed key defense arguments, including claims that lenders did not rely on financial statements and that reported figures were immaterial.
The judge emphasized that accountability for truthfulness rested with the Trump Organization, not external accountants.
Pathological Lack of Contrition:
Engoron expressed frustration with Trump and his allies' refusal to acknowledge errors, stating their "lack of contrition and remorse borders on pathological."
Despite the severity of the frauds, Engoron compared them to "venial sins" and criticized the defendants for their inability to admit wrongdoing.
The verdict delivers a severe blow to Trump's image and business dealings, with substantial fines and bans imposed. The judge's strong language and criticism of the defendants' lack of contrition suggest the depth of the legal challenges Trump now faces. As the case heads to an appeals court, the repercussions for Trump's future in business and politics remain uncertain.