Donald Trump’s company has recently faced challenges in obtaining an appeal bond for a civil business fraud case that the former president lost. Trump’s lawyers mentioned in a court filing that over 30 surety companies rejected writing a bond for him, citing their refusal to accept real estate as collateral. This refusal has made it “impossible” for Trump to secure the bond as he appeals the verdict in Manhattan Supreme Court. The inability to obtain the appeal bond has raised concerns about New York Attorney General Letitia James potentially collecting on a significant civil fraud judgment against him.
Judge Arthur Engoron issued an order requiring the Trump Organization to inform a court-appointed financial monitor of any future attempts to secure surety bonds. The company must provide advanced notice to Barbara Jones, the financial overseer, regarding their efforts to obtain the bonds. Additionally, they are expected to disclose any claims made to acquire the bonds, personal guarantees by Trump or other defendants, and any conditions imposed on the company. This level of disclosure surpasses the information Trump provided about a previous appeal bond he received for a civil defamation case.
Barbara Jones, a retired federal judge appointed by Engoron as the financial monitor for the Trump Organization, has been tasked with overseeing the company’s financial activities. The Trump Organization has expressed discontent with Jones’ oversight, as reflected in their complaints to Engoron. However, Engoron ruled in favor of retaining Jones as the monitor for three years due to findings of civil liability against Trump and others for fraudulent practices.
Despite Trump’s request to pause the judgment from taking effect without an appeal bond, the appeals court has yet to rule on his application. This delay further complicates the situation for Trump’s company, as the potential enforcement of a substantial civil fraud judgment looms over them. The ongoing legal battle highlights the complexities and challenges encountered in securing an appeal bond in cases of civil wrongdoing.
The obstacles faced by Donald Trump’s company in obtaining an appeal bond underscore the intricate nature of legal proceedings and financial transactions. The transparency mandated by the court order, coupled with the monitoring by Barbara Jones, adds another layer of scrutiny to the company’s operations. As the appeals court deliberates on Trump’s request, the outcome remains uncertain, posing significant financial and legal implications for the company and its stakeholders.