Former President Donald Trump has not been able to get a bond to secure the $464 million judgement against him in the New York civil fraud trial, his lawyer said on Monday.
Trump and his team have until next week to come up with the full amount or New York Attorney General Letitia James may be able to collect while he appeals the ruling.
“Defendants’ ongoing diligent efforts have proven that a bond in the judgment’s full amount is ‘a practical impossibility,’” the filing said. “These diligent efforts have included approaching about 30 surety companies through 4 separate brokers.”
The filing says the Trump team has spent “countless hours negotiating with one of the largest insurance companies in the world” and the judgment “is not possible under the circumstances presented”.
“In addition, sureties would likely charge bond premiums of approximately 2 percent per year with two years in advance—an upfront cost over $18 million,” the filing said.
Trump’s team also argued the $464 million penalty is “grossly disproportional”, saying “there are no victims, as there were no damages and no financial losses.”
Judge Arthur Engoron in February ordered Trump to pay $464 million in disgorgement and interest after holding him liable for decades of fraud regarding his business financial statements that overvalued his real estate holdings and his net wealth.
His sons Donald Trump Jr. and Eric Trump were also fined $4 million apiece.
The judgment against Trump will increase at a daily rate of $112,000 until it’s paid off because of interest on the penalty, according to the attorney general’s office.
