Trump arrives in New York to face trial over his business practices, a case he calls a “scam.”
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MICHAEL R. SISAKOct. 2, 2023
Former President Trump denounced the civil fraud case over his business practices as a politically motivated scam as he defiantly arrived for a trial in the lawsuit, which could cost him control of Trump Tower and other prized properties.
This is a continuation of the greatest witch hunt of all time, he said as he voluntarily traveled to a New York court for a high-stakes trial.
It’s a scam. It’s a shame, Trump said, repeating claims that New York Atty. General Letitia James’ lawsuit is a politically motivated attempt to thwart his bid to return to the White House.
What we have here is an attempt to hurt me in elections, he said, adding: I don’t think the people of this country will agree to that.
He looked away from James, a Democrat, as he passed her on the way to court, a disgusted look on his face.
The lawsuit accuses Trump and his company of misleading banks, insurers and others by habitually lying about his wealth in financial statements.
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Judge Arthur Engoron has already ruled that Trump committed fraud in his business dealings. It is a non-jury trial, so Engoron will decide six other claims in the lawsuit.
James, a Democrat, is seeking $250 million in fines and a ban on Trump doing business in New York. If last week’s judge’s ruling is upheld on appeal, Trump could be forced to give up properties in New York such as Trump Tower, a Wall Street office building, golf courses and a suburban estate.
Trump, the Republican front-runner in the 2024 presidential race, has denied wrongdoing. He says James and the judge undervalued properties like Mar-a-Lago, and it didn’t matter what he put on his financial statements because they have a disclaimer saying they can’t be trusted.
In posts on his Truth Social site, he said he was going to court to fight for my name and reputation, denounced the case as a disgrace and called on the attorney general and judge to resign.
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Before the trial Monday, James reiterated her position that Trump engaged in persistent and repeated fraud for years.
No matter how powerful you are and how much money you think you have, no one is above the law,” she said on the way to the courthouse.
Trump is not expected to testify in the coming weeks. His visit to the court Monday marked a notable departure from his previous practice.
Trump did not go to court as a witness or spectator when his company and one of its top executives were convicted of tax fraud last year. He also failed to appear at a trial earlier this year in which a jury found him liable for sexually assaulting writer E. Jean Carroll in a department store dressing room.
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In some ways, though, this new trial brings higher stakes.
Engoron’s ruling last week, if upheld on appeal, would hand control of some of his companies to a court-appointed trustee and could force him to give up valuable properties in New York. Trump called it a death sentence for corporations.
In his post Sunday evening, Trump wrote that Engoron is dishonest, unhinged and vicious in his PURSEAGE of me.
The six remaining claims in the James lawsuit that Engoron will decide include allegations of conspiracy, falsifying corporate records and insurance fraud.
James’ lawsuit accused Trump and his company of a long list of falsehoods in financial statements he gave to banks. In a recent lawsuit, James’ office alleged that Trump had exaggerated his wealth by as much as $3.6 billion.
Among the accusations, Trump claimed that his Trump Tower apartment in Manhattan, a three-story penthouse filled with gold-plated fixtures, was nearly three times its actual size and worth an astonishing $327 million. No apartment in New York City has ever sold for that amount, James said.
Trump valued Mar-a-Lago at $739 million, more than ten times a more reasonable estimate of its value, James claimed. Trump’s figure for the private club in Palm Beach, Florida, was based on the idea that the property could be developed for residential use. While Trump lives there, the deed terms prohibit further residential development on the property, James said.
Trump and his lawyers have argued that no one was harmed by anything in the financial statements. Banks from which he borrowed money were repaid in full. Business partners make money. And Trump’s own business thrived.
James’ lawsuit is one of many legal headaches for Trump as he campaigns for a return to the White House in next year’s election. He has been indicted four times since March, accused of plotting to overturn his 2020 election loss, hoarding classified documents and falsifying company records related to hush money paid on his behalf.