In a significant legal blow to former President Donald Trump, a New York judge ruled that he must pay $354.9 million in penalties for fraudulent overstatements of his net worth.
The ruling, issued by Justice Arthur Engoron after a contentious trial, also bans Trump from serving as an officer or director of any New York corporation for three years. Trump’s lawyer plans to appeal the decision, which stems from a civil case brought by New York Attorney General Letitia James.
The lawsuit accused Trump of inflating his net worth by billions of dollars over a decade to secure favorable loan terms. The judge criticized Trump and his co-defendants for their lack of remorse and called their behavior “borderline pathological.”
The penalties include fines for Trump’s adult sons, Don Jr. and Eric, as well as for Allen Weisselberg, the former CFO of the Trump Organization.
Engoron’s ruling could have significant implications for Trump’s real estate empire, as it limits his ability to obtain credit from major U.S. banks and imposes restrictions on his companies’ financial activities. The judge cited Trump’s past legal troubles, including convictions for tax fraud and settlements for other allegations, as factors in the severity of the penalties.
Despite Trump’s claims of political vendetta, the judge emphasized that no one is above the law. The ruling adds to Trump’s mounting legal challenges, as he faces criminal charges in multiple cases. Throughout the trial, Trump displayed combative behavior and was fined for violating a gag order against disparaging court staff.
The decision underscores the legal and financial risks facing Trump as he seeks to regain political power. While he maintains a strong position in the race for the Republican presidential nomination, the outcome of his legal battles could have far-reaching consequences for his future endeavors.
