NYS Judge Rules Trump & Co Repeatedly Committed Fraud in Financial Statements to Banks and Overstated Wealth By As Much As $3.6bn

U.S.
Donald Trump and his company "repeatedly" violated fraud law, New York judge rules
BY GRAHAM KATES

SEPTEMBER 26, 2023 / 4:43 PM / CBS NEWS

Donald Trump and his company "repeatedly" violated state fraud law, a New York judge ruled Tuesday.

The ruling came in response to a request by New York Attorney General Letitia James seeking judgment on one of the claims in her $250 million civil lawsuit, which is scheduled to go to trial on Oct. 2. Judge Arthur Engoron agreed in his ruling with James' office that it is beyond dispute that Trump and his company provided banks with financial statements that misrepresented his wealth by as much as $3.6 billion.

"The documents here clearly contain fraudulent valuations that defendants used in business," Engoron wrote in his ruling, in which he ordered the defendants' New York business certificates canceled. He ordered that within 10 days, they must recommend potential independent receivers to manage the dissolution of the canceled LLCs.

James' office sued Trump, his sons Donald Jr. and Eric, and the Trump Organization in September 2022, claiming they committed extensive fraud over more than a decade while seeking loans from banks. In addition to $250 million, her office is seeking several sanctions that would severely hamper the company's ability to do business in New York.

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Last Edited by Captain KC Jones on 09/26/2023 05:17 PM