Donald Trump unable to secure bond in $454 million New York civil fraud case

The Legal Battle of Donald Trump: Efforts to Obtain a Bond

March 18, New York - Former U.S. president, Donald Trump, is facing challenges in securing a bond to appeal a $464 million judgment in a New York civil fraud case. The judgment, issued by Justice Arthur Engoron on Feb. 16, requires Trump and his co-defendants to pay penalties and interest for misstating property values, leading lenders and insurers astray.

Unsuccessful Attempts to Obtain a Bond

Trump's legal team revealed that they have been unsuccessful in securing a bond that would allow him to appeal without having to post the full amount himself. They stated that Trump must either produce the cash or secure a bond to prevent the state from seizing his properties during the appeals process. Despite approaching 30 surety companies through four brokers, they have been unable to meet the bond requirement.

Request to Delay Enforcement

In a court filing, Trump's lawyers urged a mid-level state appeals court to delay the enforcement of the judgment, arguing that the amount imposed is excessive and would cause "manifest irreparable injury." They proposed that Trump be allowed to post a $100 million bond while he appeals the judgment, with a bonding company being liable for any payout if Trump loses the appeal.

Challenges in Obtaining the Bond

Trump's efforts to secure the bond have been met with difficulties. Gary Giulietti, an executive with insurance brokerage the Lockton Companies, stated that obtaining a bond for the full $464 million "is not possible under the circumstances presented." He noted that many sureties were unwilling to issue bonds above $100 million and were only willing to accept cash or securities, not real estate, as collateral.

Background of the Case

The case was brought by New York Attorney General Letitia James in New York state court in Manhattan. Trump has denied any wrongdoing in the matter.

Previous Legal Battle

Earlier this month, Trump posted a $91.6 million bond to cover a separate $83.3 million defamation verdict in a case involving writer E. Jean Carroll. This case stemmed from Trump branding her a liar after she accused him of raping her decades ago.

(Reporting by Luc Cohen in New York Editing by Nick Zieminski)