Former President Donald Trump has posted a $175 million bond as he appeals a judgment in a New York civil fraud case brought by state Attorney General Letitia James. The bond, underwritten by Knight Specialty Insurance, pauses any action James could take against Trump’s properties in response to the judgment until at least September when the state appeals court is set to hear his appeal of the $464 million verdict against him. Despite initially claiming he would use cash to cover the bond, Trump’s attorneys argued that underwriting the full amount was not feasible, prompting the appeal court to lower the bond amount.
In January, Judge Arthur Engoron fined Trump and his co-defendants $464 million for fraudulently inflating the value of Trump’s assets to obtain better loan rates. Trump was given 30 days to post bond for the full amount, but his attorneys stated they could not find an insurance company to underwrite such a large bond. James began preparing to seize Trump’s assets if he failed to post bond, but the New York appeals court stepped in, lowering the bond to $175 million and giving Trump an additional 10 days to comply. Trump’s attorney confirmed that he has posted the bond and looks forward to appealing and overturning the verdict.
The bond amount was lowered by the state appeals court after Trump’s attorneys argued that covering the full bond on the $464 million verdict against him was not feasible. Trump himself was ordered to pay $454 million, with the $464 million also including disgorgement for his adult sons Don Jr. and Eric. Trump initially mentioned using personal funds to cover the bond but later referred to possibly using them for his reelection campaign, stating that it was none of the public’s business. Despite the uncertainty surrounding the bond, Trump ultimately met the deadline and posted the required amount.
The bond was underwritten by Knight Specialty Insurance, but the collateral Trump used to secure the bond was not specified in court documents. Trump also posted a $91.6 million bond in the E. Jean Carroll defamation case last month while appealing that verdict against him. The developments in the ongoing legal battles involving Trump highlight the financial challenges and legal complexities he faces as he appeals judgments against him. The outcome of the appeals in both cases will determine the financial and legal consequences for Trump and his co-defendants, including his adult sons and his company. Trump’s decision to post the bond and proceed with the appeals signals his commitment to defend his rights and overturn what he views as unjust verdicts.
