Donald Trump Ordered To Pay $355 Million In Business Fraud Case, Banned For 5 Years From Doing Business In New York

In a significant legal blow to former President Donald Trump‘s business empire, New York Judge Arthur Engoron has ordered the former president to pay a staggering $355 million in penalties in a civil fraud case.

Engoron’s decision, outlined in a comprehensive 92-page ruling, comes after a months-long trial and marks a significant setback for Trump and his associates.

The case was brought forth by New York Attorney General Letitia James (D) in 2022 and alleged that Trump had manipulated his net worth on important financial statements to secure tax and insurance benefits falsely. These documents, which were used to obtain loans and deals by presenting the value of the Trump Organization’s assets, form the basis of the state’s claim of fraud. Engoron had already found Trump, the Trump Organization and several high-ranking executives, which included his adult sons, liable for fraud before the trial even began.

There was no jury, so the final decision was rendered by Engoron.

The imposed fine falls slightly short of the $370 million requested by James’ office, but it nonetheless delivers a significant financial blow to Trump. Additionally, the ruling prohibits Trump from engaging in New York business activities for three years.

Trump’s sons, Donald Trump Jr. and Eric Trump, have been ordered to pay over $4 million each, while former chief financial officer Allen Weisselberg must pay $1 million. Weisselberg, along with former controller Jeffery McConney, has also been barred from serving in the financial control function of any New York corporation or business entity for life.

The trial spanned over two months and featured testimony from 40 witnesses, which included ex-Trump fixer Michael Cohen, top Trump Organization executives, Trump’s adult children involved in his business, and the former president.

Engoron’s early ruling on Trump’s fraud liability set the stage for a contentious relationship between the former president and the judge and led to repeated clashes throughout the trial.

When Trump took the witness stand, he launched verbal attacks against the judge and James and labeled them “frauds,” “political hacks” and “Trump haters.” He maintained his argument that the legal proceedings were politically motivated attempts to hinder his chances of securing a second term in the White House. Engoron reprimanded one of Trump’s lawyers at one point and reminded him that the trial was not a political rally.

The financial ramifications of the $354.8 million judgment, combined with an additional $83.3 million judgment against Trump for defamation in a separate case, are expected to have a severe impact on Trump’s financial standing. These rulings have the potential to significantly alter the landscape of Trump’s business interests.