Former President Donald Trump‘s admission that he was unable to secure the $464 million bond needed to file an appeal in his New York civil fraud judgment could have significant implications, according to his niece and clinical psychologist, Mary Trump.
He has until March 25 to provide the cash required to begin the appeals process.
Tough Scenario: Describing the development as a “worst-case legal scenario,” Mary Trump noted that the former president’s attorneys informed Judge Arthur Engoron in a court filing that not only was their client unable to secure the cash for the bond, but also that “over 30 surety companies through 4 separate brokers” rejected his application.
To obtain the bond, Donald Trump may need to pledge more than $550 million in cash, stocks, and bonds as collateral, which he reportedly does not have, according to Mary Trump, citing the New York Times. The psychologist suggested that this could explain why 30 insurance companies refused to provide cash in advance to Donald Trump.
“Donald has always presented himself as a man who is, in his words, ‘really rich,’ a multi-billionaire who as of last year had $400 million in the bank. Today, those claims are revealed to be the fiction they always were,” Mary Trump said.
James Puts Her Foot Down: New York State Attorney General Letitia James, who brought the case against Donald Trump, has requested the court to hold the former president to his full bond, arguing that he cannot and should not be trusted, according to Mary Trump.
“She [James] finds him so untrustworthy, in fact, that she wants to see proof that the surety companies he approached refused to accept real estate interests or ‘his private jets or helicopters’ as collateral,” the former president’s niece explained. She added that the AG also stated she would ask the judge to seize Donald Trump’s assets if he cannot pay his judgment.
Way Forward: If Donald Trump loses his appeal and is unable to pay the full judgment amount, James would file a motion to enforce the judgment, Mary Trump stated, citing views of an attorney. The court could then issue an order to seize his assets, specifying which assets are subject to seizure.
“If, for example, 40 Wall Street is seized, the sheriff's office would post a notice of seizure on the building's entrance. The seized assets would then be sold, and the proceeds would go toward satisfying the judgment,” she explained. 40 Wall Street is Donald Trump’s building in Manhattan.
Mary Trump noted that her uncle would not lose the Trump Building at 40 Wall Street without a fight. “That means his behavior could become even more volatile. There is no limit to what he's capable of — or who he'll turn to for funds if he grows desperate enough — and that is what spells real trouble with independent voters,” she warned.
“There are cracks in Donald's armor,” Mary Trump observed. Referring to the Republican primary election results, the psychologist said one of the biggest takeaways was that swing-state independents value democracy. Those are the voters the Democrats should focus on, she suggested. “It will be even easier to reach the 30% of Republicans who are tired of Donald's antics,” she added.
Read Next: How To Invest In Startups
Photo via Shutterstock
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
