Topline
Former President Donald Trump will not have to immediately post a bond for more than $454 million in the civil fraud case against him and his company, an appeals court said Monday, ruling that Trump can delay payment of the full bond while he appeals the ruling as long as he posts a partial $175 million bond within 10 days.
Former President Donald Trump leaves Trump Tower on February 15 in New York City.
Key Facts
Trump was ordered to pay $454.2 million plus interest in the civil fraud case, which found him and his associates liable for fraudulently inflating the value of assets on financial statements for personal gain, part of a broader $464.6 million judgment in the case that also included $4 million judgments for Trump’s sons and $1 million to be paid by ex-CFO Allen Weisselberg.
Trump asked an appeals court to pause that judgment while he appeals the case, claiming he tried to secure an appeals bond and it’s “not possible” to get one for the full amount, as the 30 companies he approached would not accept him using real estate as collateral.
The appeals court partially granted Trump’s request, though the $175 million it ordered him to pay immediately is more than the $100 million Trump previously asked to pay, if he wasn’t able to delay paying the full amount.
The court also paused other aspects of the judgment against Trump and his co-defendants, including restrictions on him and his sons leading New York businesses and a prohibition on Trump from obtaining loans from New York financial institutions.
While there’s no formal deadline in New York law for when Trump had to pay the judgment by, New York Attorney General Letitia James, who brought the case, was expected to start trying to enforce the judgment—and potentially seize his properties—if Trump didn’t pay by Monday.
“Donald Trump is still facing accountability for his staggering fraud,” the New York attorney general’s office, which brought the case, said in a statement Monday, adding, “The $464 million judgment—plus interest—against Donald Trump and the other defendants still stands.”
What To Watch For
Trump will now have 10 days to post a bond for $175 million, and said on Truth Social Monday he will “abide” by the ruling and “post either a bond, equivalent securities, or cash.” It’s unclear how long it will take for Trump’s case to be heard on appeal, though the court said in their order Monday it would be during its September 2024 term.
Big Number
$557 million. That’s how much Trump’s lawyers said in a court filing that they would have to pay to secure an appeals bond for Trump and his co-defendants’ full judgment, including interest and premiums. The interest on Trump’s judgment accrues at 9% per year—or more than $111,000 per day—which will keep adding up even as the judgment is paused and as Trump appeals the case. The interest will only stop accruing once Trump has fully paid off the judgment.
Forbes Valuation
Forbes estimates Trump’s net worth at $2.6 billion, of which only $413 million is made up of cash and liquid assets, meaning Trump owes more in total than he has in his bank account. Trump’s real estate properties make up the bulk of his net worth—more than $1.9 billion after debt—and the ex-president has suggested on social media and in court filings he could have to sell off properties to pay the judgment against him, if the court had not paused the judgment.
Tangent
Trump was also separately ordered to pay $83.3 million in writer E. Jean Carroll’s defamation case against him. While the former president similarly tried to have that judgment paused, arguing the amount was excessive, he ultimately posted a bond for $91.6 million in the case—covering the judgment plus interest—earlier in March.
Key Background
James sued Trump, his business associates—including his sons—and the Trump Organization in 2022, accusing them of fraudulently misstating the value of assets on financial statements in order to obtain more favorable business deals and reflect a higher net worth for Trump. Judge Arthur Engoron found Trump and his co-defendants liable following a monthslong trial—and found them liable for misstating the value of assets even before the trial began—ruling there was “overwhelming evidence” that Trump and his sons signed off on financial statements despite knowing valuations were false. Trump has railed against the civil fraud case, decrying it as a “witch hunt” designed to hurt him in the presidential election.
Further Reading
