Saturday, February 17, 2024

Trump's Half-Billion-Dollar Nightmare

 Yesterday’s $354.9 million fine in Trump’s New York business fraud case, combined with his more than $88.3 million in fines in two separate judgments in the E. Jane Carroll defamation case, plus his reported $50 million+ in legal fees to date brings Donald Trump’s criminal financial penalties within virtual pocket change of a half billion dollars.

Trump has always bragged that he is a very rich man, but even if true, which many experts doubt is the case, these assessments will cut a major slice away from his pie of wealth.

The judge in New York yesterday did not dissolve the Trump Corporation or permanently suspend his license to do business in the state, which is almost the only silver lining for the former president in that matter. But he did take control of the company away from Trump and his sons and place it under the supervision of an independent monitor.

Trump will appeal as many aspects of the financial penalty as he can, but remember that these are all judgments rendered in state courts, not federal, so even should he win re-election, he cannot pardon his way out of these legal obligations. It is likely, however, that some of the financial penalty from the fraud ruling will be reduced on appeal, so the final damage awaits the appeals process.

Meanwhile, the penalties assessed yesterday are accruing interest as long as they remain unpaid. According to the New York attorney general, that interest is already over $100 million. It is not clear how much liquidity Trump has to deal with this but he will need to post a sizable bond while he appeals the ruling.

Ad it seems likely he will have to sell property as collateral against that bond.

So these are dark days down at Mar-e-Lago. Most significantly, so far he’s only faced civil penalties; his felony criminal cases are still to come.

(Read yesterday’s ruling.)

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