An appeals court in New York, on Monday (Mar 25) agreed to pause former United States President Donald Trump’s $454 million civil fraud judgement if he posts a $175 million bond within 10 days marking a temporary victory for the Republican front runner amid his many legal woes. The pause comes as New York state authorities were going to begin seizing his assets on Monday.
Seizure of Trump’s assets paused
The former president had sought to delay the enforcement of a February 16 judgment just as New York Attorney General Letitia James was expected to initiate efforts and start seizing Trump’s properties.
WATCH | Trump hurtles toward Monday deadline to pay $454 million fraud penalty
The Republican frontrunner was ordered to pay $354.9 million in penalties for fraudulently inflating his assets and net worth to obtain favourable bank loans and lower insurance premiums.
The pause came after Trump’s lawyers had pleaded for a state appeals court to halt the collection saying it was a “practical impossibility” to get an underwriter to sign off on a bond for such a large sum as the former president appeals in the case.
The former president had until Monday to pay before the New York AG was going to ask the court if she could start seizing his assets to satisfy the judgment, including one of Trump’s most valuable buildings on 40 Wall Street in Manhattan.
The pause grants a temporary relief to Trump as he is facing a cash crunch while running for the upcoming presidential election against incumbent President Joe Biden.
Trump civil fraud case
The former president was found liable for fraudulently inflating his net worth by billions after James filed the civil suit in 2022.
Even before the beginning of the three-month trial in Manhattan, without a jury, Justice Arthur Engoron found Trump engaged in fraud. Therefore, the trial was primarily focused on how much Trump should pay in penalties.
The Republican frontrunner has repeatedly denounced the proceedings as a partisan “witch hunt” and a political vendetta by James, a Democrat.
(With inputs from agencies)
