Donald Trump has been sentenced to penalties with penalties plus accrued interest exceeding $450 million.
A New York judge, Arthur Engoron, ruled that former US President Donald Trump must pay a staggering $354.9 million in fines for fraudulent overstatements of his net worth.
The ruling comes after a contentious three-month trial in Manhattan, adding to legal challenges that could affect Trump's real estate empire.
Engoron, in a strongly worded decision, also imposed a three-year ban on Donald Trump as an officer or director of any New York corporation. The judge criticized Trump and other defendants, saying, “His complete lack of repentance and remorse borders on the pathological.”
The ruling arises from a lawsuit filed by New York Attorney General Letitia James, accusing Donald Trump of inflating his net worth by up to $3.6 billion annually for a decade to secure favorable loan terms.
In response to the verdict, Trump's lawyer Alina Habba vowed to appeal, and Trump characteristically took to social media and called the decision a “complete and total FAILURE,” alleging “ELECTORAL INTERFERENCE” and a “HUNT FOR WITCHES”.
Engoron's decision also includes a ban on Donald Trump and his companies from borrowing from licensed financial institutions in New York for three years, which could affect Trump's ability to obtain credit from major US banks. The judge cited past legal issues, including the Trump Organization's 2022 conviction for criminal tax fraud, as a basis for the severe penalties.
The financial repercussions extend to Trump's adult sons, Don Jr. and Eric, who were ordered to pay $4 million each. Former Trump Organization CFO Allen Weisselberg, previously convicted of tax fraud, faces a $1 million fine and a lifetime ban from managing the finances of any New York company.
New York Attorney General Letitia James welcomed the ruling and emphasized accountability for Trump's “lying, deceitful and astonishing fraud.” Total penalties, including interest, exceed $450 million.
While this legal setback could affect Trump's real estate empire, his dominance in the Republican presidential race remains unscathed. Despite the potential financial strain, Trump is leading the race for the Republican nomination, setting the stage for a high-stakes political and legal battle in the coming months.
