Marxist New York Attorney General Letitia James asked a judge to void Trump’s $175 million bond that he posted to appeal the civil fraud case
Letitia James argued that California-based Knight Specialty Insurance Company (KSIC) is not approved to do business in New York.
James also questioned whether KSIC has the funds to back up the $175 million bond Trump previously posted.
“Based on KSIC’s policyholder surplus in its most recent annual financial statement of $138,441,671, the limitation of loss on any one risk that KSIC is permitted to write is $13.8 million,” Letitia James’ office wrote in a 26-page filing according to Fox News. “The face amount of the bond exceeds this limitation by $161.2 million.”
James also argued in her filing: “KSIC is not qualified to act as the surety under this standard because its management has been found by federal authorities to have operated affiliated companies within KSIC’s holding company structure in violation of federal law on multiple occasions within the past several years.”
“KSIC does not now have an exclusive right to control the account and will not obtain such control unless and until it exercises a right to do so on two days’ notice,” James’ office wrote in the filing.
Letitia James asked the judge to void Trump’s bond and require him to post another bond within 7 days of the court’s decision.
Fox News reported:
New York Attorney General Letitia James is pushing the judge in former President Donald Trump’s civil fraud case to void the $175 million bond that Trump previously posted to appeal his New York civil lawsuit.
In her 26-page filing obtained by Fox News Digital, James questions whether the insurance company has sufficient funds to back it up.
Trump’s bond was posted by California-based Knight Specialty Insurance Company (KSIC), but James argued that the insurer was “not authorized” to write business in New York, stating it is a small insurer that is not authorized to write business in New York and is not regulated by the state’s insurance department, had never before written a surety bond in New York or in the prior two years in any other jurisdiction, and has a total policyholder surplus of just $138 million.
The company has a total policyholder surplus of just $138 million, the filing states. According to New York state law, smaller businesses like KSIC are not permitted to expose themselves to liabilities, like a bond, or any potential loss greater than 10 percent of their surplus.
An appellate court last month ruled that President Trump can post a $175 million bond to cover Letitia James’ $464 million judgment.
Letitia James last month took the initial step to seize Trump’s assets. She filed judgments in Westchester County where Trump’s private estate and golf course named Seven Springs is located.
President Trump had to either pay the judgment or convince the appellate court to allow him to defer the payment pending appeal.
Trump’s legal team filed an appeal and requested a stay on the massive $464 million judgment last month.
Last month Trump’s attorneys sent a letter to the Appellate Division of New York’s Supreme Court and asserted Letitia James’ actions are “unconstitutional.”
The appellate court intervened and ruled Trump can post $175 million bond.
“It is ordered that the motion is granted to the extent of staying enforcement of those portions of the Judgment (1) ordering disgorgement to the Attorney General of $464,576,230.62, conditioned on defendants-appellants posting, within ten (10) days of the date of this order, an undertaking in the amount of $175 million dollars,” the two-page order from the appellate said, according to ABC News.
Letitia James immediately launched an attack on Trump after the appellate court lowered the bond to $175 million and now she’s trying to void it so she can seize Trump’s properties.
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