Trump's Civil Fraud Trial Kicks Off: Accusations of Deceptive Valuations


Donald Trump launched a scathing attack on New York's attorney general and the presiding judge as his civil fraud trial commenced on October 2. Prosecutors have leveled allegations against the former president, asserting that he generated over $100 million through deceptive practices concerning the valuation of his real estate holdings.


Attorney General Letitia James, a Democrat, is pursuing a minimum of $250 million in fines, a permanent ban on Trump and his sons, Donald Jr and Eric, from engaging in business activities in New York, and a five-year prohibition on commercial real estate dealings involving Trump and the Trump Organization.

Prior to the trial's onset, Trump dismissed the case as a "scam" and a "sham," attributing it to political vendetta by James. During a lunch break, he criticized James as "corrupt" and accused her of driving people out of New York.

Trump also directed his ire towards Judge Arthur Engoron, branding him as a partisan Democrat who seeks to influence the 2024 presidential election. Trump labeled the judge's actions as warranting disbarment and removal from office.

Utilizing the trial's start for fundraising, Trump's election campaign framed it as a defense of his family and reputation against New York Democrats.


The case revolves around allegations by the attorney general that Trump inflated the value of his assets and net worth from 2011 to 2021 to secure favorable bank loans and lower insurance premiums. 

James contends that Trump significantly overestimated assets such as his Trump Tower penthouse in Manhattan, Mar-a-Lago estate in Florida, office towers, golf clubs, and his personal fortune, potentially inflating it by as much as $2.2 billion. The prosecution asserts that these actions constitute "not victimless crimes."

In contrast, Trump's legal team, led by Christopher Kise, maintains that Trump's financial dealings were entirely legal, emphasizing his track record in real estate investments. Kise argued that there was no intent to defraud, illegality, default, breach, reliance by banks, unjust profits, or victims.


Alina Habba, another lawyer for Trump, asserted that Trump's assets are like "Mona Lisa properties" that could command premium prices if sold.

Entering the courtroom, Trump characterized the trial as a continuation of the "single greatest witch hunt of all time." Judge Engoron presides over the proceedings without a jury.

In a significant development preceding the trial, the judge held Trump, his adult sons, and ten of his companies liable for fraud, highlighting fabricated valuations. 

These valuations included inflating the Trump Tower apartment's worth to $327 million, although its actual size justified a far lower value, and estimating Mar-a-Lago's value at up to $739 million, while its assessed worth was merely $28 million.


The judge revoked business certificates for firms controlling key aspects of Trump's business empire and announced the appointment of receivers to oversee their dissolution.

The trial is scheduled to continue until early December. 

Donald Trump, the first former U.S. president to face criminal charges, confronts numerous other legal challenges, including cases in Washington, Georgia, Florida, and New York. He has pleaded not guilty in all of these cases.

In another news, a guy accused of murdering his grandparents and uncle in January is now facing charges for another killing that happened exactly eight months later, as per Southern California police. See detailed story here

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