A New York judge has ruled that Donald Trump and his adult sons are liable for fraud, leading to the cancellation of the Trump Organization’s business certification. Judge Arthur Engoron’s decision, which came just days before the civil case involving the New York attorney general’s office and the former president was set to go to trial, found the Trumps responsible for providing false financial statements over approximately a decade.
Engoron granted Attorney General Letitia James’ motion for summary judgment, declaring Trump, his sons, and others legally liable for persistent violations of New York state law due to fraudulent financial statements.
The ruling is a significant setback for Trump, rejecting his claims that he did not inflate the values of his various properties on financial statements used in business transactions. Attorney General James has sought $250 million in damages, a ban on the Trumps serving as business officers in New York, and a five-year prohibition on the company’s business transactions.
Furthermore, the judge revoked the business certifications of the Trump entities involved in the case, including the Trump Organization, and appointed a receiver to oversee the dissolution of these corporate entities.
The lawsuit covers two New York properties: the commercial tower at 40 Wall Street and the Trump family compound at Seven Springs. Trump is accused of inflating the value of his triplex apartment at Trump Tower, leading to an overvaluation of up to $207 million.
In response, Trump criticized the ruling and accused Judge Engoron of bias, while his attorney vowed to explore all available appellate remedies. Eric Trump, in a statement on social media, expressed his dissatisfaction with the outcome and claimed persecution against his family.
This ruling has far-reaching implications for the Trump Organization and its members, setting the stage for a significant legal battle in the days to come.