Former President Trump's lawyers urged an appeals court Monday to toss out the nearly half-billion dollar judgment against him in his New York civil fraud case, calling it an "unauthorized, unprecedented power-grab" by the state's attorney general.
The $454 million judgment against Trump, after a state judge found he altered his net worth on key financial statements to receive tax and insurance benefits, dealt a stark blow to his family’s business empire and stands to drain his personal funds as he seeks a second term in the White House.
"Based on the ruling in this case, no company will want to come to New York to do business, and many businesses are fleeing," Trump's attorneys wrote in paperwork filed with the state's mid-level appeals court. "The economic aspects of this decision are a disaster for New York. NYAG has used the statute in a way never seen before."
The former president's appeal arguments echoed those he made at trial, including that banks wanted to work with the Trump Organization, did their own due diligence and found no fraud. Trump's attorneys also contended that there were "no victims and no losses" from the company's business deals, describing the former president as "among the most visionary and iconic real estate developers in American history."
"If Appellants’ conduct constituted 'fraud' under § 63(12), then that word has no meaning, and NYAG’s power to seize and destroy private businesses is boundless — and standardless," the attorneys wrote.
Trump's legal team has on several occasions took direct aim at New York Attorney General Letitia James, suggesting she campaigned on a promise to "get Trump" and that if the judgment is upheld, she would be granted "limitless power to target anyone she desires, including her self-described political opponents."
The lawyers also castigated the judge, Arthur Engoron, contending he "unaccountably rewarded" the attorney general's "lawless" efforts and has been overruled by higher courts with "alarming frequency."
At trial, both James and the judge were frequent targets of Trump, his attorneys and his presidential campaign, which often collided with his appearances in court. When Trump took the witness stand in November, he derided them as “frauds,” “political hacks” and “Trump haters” while repeating the familiar refrain that his legal issues are “political witch hunts” aimed at keeping him out of the White House.
On top of the multimillion dollar judgment, Trump was barred from holding top leadership positions at any New York company for three years. Before the trial began, Engoron found Trump, the Trump Organization and top executives — including his sons Donald Trump Jr. and Eric Trump - liable for fraud. The executives also face penalties.
In a statement, Trump attorney Chris Kise called the former president a "visionary and iconic real estate titan who has been baselessly pursued and persecuted" by James. He also condemned the judgment as "draconian, unlawful and unconstitutional."
"During 44 days of trial, not one witness, not one complaint, and not one victim supported Letitia James' manufactured claims of 'fraud,'" Kise said. "To the contrary, the evidence established President Trump's net worth far exceeded what was reported in his financial statements and the sophisticated bankers involved pursued and enjoyed a long and satisfactory business relationship with him as a prized client."
A spokesperson for the attorney general's office said Trump's appeal arguments repeat claims they "were already sanctioned and fined for."
“We won this case based on the facts and the law, and we are confident we will prevail on appeal," the spokesperson said.
Trump secured a $175 million bond earlier this year that ensures James’s office can’t collect the multimillion-dollar judgment against the defendants while they appeal and paused other penalties. The bond amount was originally set at the full judgment amount, but an appeals panel agreed to lower the price when his lawyers said it would be “impossible” for the former president to secure a full bond.
