Trump appeals fraud case as $112,000-a-day interest accrues
Donald Trump is challenging a New York judge’s decision that he must pay $454 million (£360 million) in penalties and interest in a civil fraud case.
Although the judgment this month was initially $355 million, the total has ballooned due to accruing interest, which continues to increase by at least $112,000 per day.
New York Attorney General Letitia James has warned that if Trump fails to make the payment, she will pursue the seizure of some of his assets.
The former US president was found to have inflated property values to secure more favorable loan terms. Judge Arthur Engoron additionally barred Trump from conducting business in the state for a three-year period.
Trump’s appeal filed on Monday, as the frontrunner for the Republican presidential nomination, ensures that another legal battle will extend into the election season as he gears up for a potential rematch against Democratic President Joe Biden in November.
Trump had consistently stated his intention to appeal the ruling, denouncing it as a political vendetta.
His attorney, Alina Habba, expressed hope that the appellate court would reverse the substantial fine and take action to restore public confidence in New York’s legal system.
In their court submission, Trump’s legal team outlined their argument, seeking a determination from the appellate division regarding potential errors of law or fact by Judge Engoron’s court, and whether it overstepped its authority or acted improperly.
The former president’s lawyers have also argued that he was wrongly sued under a consumer-protection statute typically used to rein in businesses that rip off customers.
Mr Trump’s legal team has previously challenged rulings by Judge Engoron at least 10 times, including a gag order.
The appeals process could last a year or longer.
Mr Trump could be granted a pause on collection of the judgment if he offers up money, assets, or an appeal bond covering the amount owed. It is unclear what route he will take.
Mr Trump’s two adult sons and co-defendants, Donald Jr and Eric, were ordered to pay $4m each and are barred for two years from doing business in New York. They have maintained there was no wrongdoing and joined their father’s appeal on Monday.
Adding to the drain on his cash reserves, the ex-president was last month ordered to pay $83m after losing a defamation case to E Jean Carroll, a woman he was found to have sexually abused.
In May 2023, he lost a lawsuit against the New York Times and was ordered to pay for the legal expenses of the reporters he had sued. On Monday, one of the reporters involved in the case, Susanne Craig, tweeted that Mr Trump had completed the mandated $392,600 payment.
According to a Forbes estimate, Mr Trump is worth about $2.6bn. Though it is unclear how much cash he has on hand, he testified last year he has $400m in liquid assets.
The civil trial that began in October focused mostly on determining penalties against Mr Trump since Judge Engoron had already ruled the ex-president liable for business fraud.
He faces another case in his hometown of New York City next month. In those criminal proceedings, it is alleged that Mr Trump falsified business records to conceal hush money paid to an adult film star before the 2016 election.
On Monday, the Manhattan prosecutor who is bringing that case asked a judge for a gag order on Mr Trump.
The district attorney’s office said such a measure was needed to protect jurors, witnesses, and court staff from Mr. Trump’s “long history of making public and inflammatory remarks”.
Steven Cheung, a Trump campaign spokesman, called the request an “unconstitutional infringement” of Mr. Trump’s rights.
He reiterated the former president’s claims that the indictments against him are partisan attempts to prevent his re-election.
