NEW YORK — Fresh from victories in other court cases, Donald Trump on Monday pressed a New York appeals court to overturn a nearly $500 million civil fraud judgment that threatens to drain his personal cash reserves as he campaigns to retake the White House.
In papers filed with the state’s mid-level appeals court, the former president’s lawyers said Manhattan Judge Arthur Engoron’s Feb. 16 conclusion that Trump lied to banks, insurers and others about his wealth was “erroneous” and “egregious.”
Trump’s appeal arguments echo many of the grievances he made during his trial in front of television cameras outside the courtroom.
His lawyers argued that New York Attorney General Letitia James’ lawsuit should have been dismissed quickly, that the statute of limitations barred certain claims, that no one was harmed by Trump’s alleged fraud and that James’ involvement in private business transactions threatened to drive companies out of state.
Trump’s lawyers argue that Engoron’s decision, if upheld, would give James, a Democrat, “unfettered power to target anyone she wants, including her self-proclaimed political opponents,” Trump’s lawyers wrote in a 116-page brief filed with the state District Court’s Appellate Division.
Engoron dismissed many of the same objections at last year’s trial, at one point comparing them to the plot of the movie “Groundhog Day” and fining some of Trump’s lawyers $7,500 each for “repetitive and frivolous” arguments.
In April, Trump posted a $175 million bond to halt collection of the judgment and prevent James’ office from seizing his assets while he appeals. If he wins, he won’t have to pay the state anything and would get back the money he’s paid so far.
“Such an outrageous miscarriage of justice is profoundly un-American, and a complete reversal is the only means available to restore public confidence in the integrity of the New York judicial system,” Trump’s attorney Christopher Kise said in a statement. He called Engoron’s rulings “legally baseless” and “unrelated to law or commercial reality,” and called the stunning judgment “draconian, illegal and unconstitutional.”
The Appellate Division said it would hear oral arguments in late September. Trump’s lawyers filed their appeal days after Engoron’s decision and had until Monday to file written arguments.
James’ office said Trump and his lawyers were raising meritless arguments.
“We won this case on the facts and the law, and we are confident we will prevail on appeal,” James’ office said in a statement.
Monday’s appeal filing is the latest development in a long legal and political series for Trump, who last week accepted the Republican nomination for president just days after he was injured in a shooting at a campaign rally in Butler, Pennsylvania. One attendee was killed and two others were wounded.
On July 1, the Supreme Court sided with Trump, ruling that former presidents are immune from criminal prosecution for official acts performed while in office, further delaying his election interference trial in Washington, D.C., and causing his sentencing in his criminal bribery case in New York to be postponed until September 18, while his lawyers fight to have that conviction overturned.
On July 15, a federal judge in Florida dismissed Trump’s lawsuit over classified documents, ruling that special counsel Jack Smith, who brought the complaint, had been unlawfully appointed by the Justice Department. Smith has appealed.
In the civil fraud case, Engoron found that Trump, his company and top executives — including his sons Eric and Donald Trump Jr. — conspired for years to inflate his wealth on financial statements used to secure loans and close deals.
In addition to the hefty fine, the judge imposed strict restrictions on Trump’s company’s ability to operate. Among other consequences, Engoron placed the Trump Organization under the supervision of a court-appointed monitor for at least three years.
Trump’s appeal ensures that the legal battle over Trump’s business practices will continue through the fall and beyond.
If Engoron’s decision is upheld, Trump will be forced to forfeit a significant portion of his fortune. The judge ordered Trump to pay $355 million in fines, but with interest, the total comes to more than $470 million, including $16.8 million accrued since the verdict. The sum will grow by nearly $112,000 per day until he pays, unless the verdict is overturned.
Trump claims to be worth billions of dollars and said last year that he had about $400 million in cash, in addition to real estate and other investments. James, a Democrat, said that if Trump is unable to pay, she would seek to seize some of his assets.
Trump and his lawyers set the stage for their appeal by repeatedly objecting to Engoron’s handling of the trial. Trump called Engoron’s decision “election interference” and “the weaponization of a political adversary.” He complained that he was being punished for “building a perfect company, big money, big buildings, all the best.”
During the trial, Trump’s lawyers accused Engoron of “tangible and overwhelming” bias. They also challenged the legal mechanics of James’ lawsuit. Trump argues that the law she sued him under is a consumer protection law that is normally used to police companies that rip off customers.
Trump’s lawyers have gone to the appellate division at least 10 times to challenge Engoron’s previous rulings, including during the trial in an unsuccessful attempt to overturn a gag order and $15,000 in fines for violations after Trump posted a derogatory and false social media post about a key court staffer.
Trump’s lawyers have long argued that some of the allegations are time-barred, saying Engoron failed to comply with an appellate division ruling last year requiring it to narrow the scope of the lawsuit to eliminate stale allegations.
The appeals court could either uphold Engoron’s verdict, reduce or modify the sentence, or overturn the decision entirely. If Trump fails in the appeals court, he can ask the state’s highest court, the Court of Appeals, to consider taking his case.
Originally published:
