:quality(75)/cloudfront-us-east-1.images.arcpublishing.com/elcomercio/UW2A5VQXZZCMTL33NDNWSFU67E.jpg)
donald trump He began his political career after having made a fortune in the real estate sector, but now that he intends to return to The White HouseYou can lose control of part of your empire by repeatedly inflating the value of your assets and lying to the banks.
Before a civil trial against the family business begins on Monday Trump Organization and his mayor, among them Donald Trump and his sons Donald Trump Jr and Eric Trump, the judge of the Supreme Court of the state of New York, Arthur Engoron, said in part the reason to the inspector Letitia James, who had initiated judicial proceedings in this case.
MORE INFORMATION | American soldier Travis King returned to the United States after being released by North Korea
In a blunt resolution, the judge considers that there was “continuous fraud” and describes a system of overvaluation of assets related, for example, to the emblematic Trump Tower in New York and other properties of the group – of “812 million and 2.2 billion of euros”. dollars” – to negotiate more advantageous loans with banks.
Among the consequences, he ordered the cancellation of commercial licenses for donald trump and his children in the state of New York and asked the “parties” to propose “liquidators” in charge of managing the “dissolution of the companies” in question.
The companies affected by the attorney general’s complaint control some of the Republican billionaire’s flagships, such as Trump Tower, his restaurants and boutiques on Manhattan’s prestigious 5th Avenue and the almost century-old skyscraper on Wall Street, in the financial district, which according to judge Engoron was overvalued by “more than 300 million dollars”.
“Nationalization”
“This decision simply puts an end to the possibility of trump of doing business in New York State”sums up former New York prosecutor and Pace University law professor Bennett Gershman.
“The liquidators will manage the assets. This means that Trump and his organization will not be able to do so.”then they will lose control, he adds to AFP.
The team of trump announced that it will appeal the court decision, which surprised many experts due to its scope. For one of his lawyers, Chris Kise, Judge Engoron wants “nationalize one of the most prosperous corporate empires in the United States and take control of private property, while acknowledging that there is no evidence of non-payment, default, late payment or claim for compensation”.
The lawyers of trump They also filed appeals to try to delay the trial and reduce its scope.
YOU MAY BE INTERESTED | Judge finds Trump responsible for fraud in case involving his New York company
There is a lot at stake for the 77-year-old Republican billionaire, who wants to return to the White House in 2024, and for his family group. According to Forbes magazine, in March 2023, real estate assets in New York represented 720 million dollars of the former president’s fortune (out of a total of 2.5 billion dollars).
Outside of New York, the Trump Organization It is present in luxury hotels, golf clubs and private clubs such as the Mar-a-Lago residence in Palm Beach, Florida.
“Hard hit”
For Will Thomas, associate professor of Commercial Law at the University of Michigan, there are still many unknowns after this first decision, especially because “the liquidators will wait for the outcome of the trial” before acting.
Although the judge ruled partially in the attorney general’s favor, a trial must still be held to decide potential financial sanctions, as James is seeking $250 million in damages on behalf of the New York State.
But in any case, Judge Engoron’s decision, described as “insane” by the former president of U.S (2016-2020), assumes “a symbolic blow to the story Donald Trump tells about himself as a businessman”adds the academic.
“We knew, even before he was president, that Donald Trump valued his wealth as a symbol of his talent”remembers the teacher. “And what we saw (Tuesday) is that a court declared that there was no doubt that donald trump “He systematically lied about his wealth, on enormous scales, from hundreds of millions to billions of dollars.”To add.
donald trump He faces criminal charges in several other high-profile court cases, including charges of trying to overturn the results of the 2020 presidential election, but remains the front-runner in Republican primary polls.
CHECK OUT HERE | Biden urges Republicans to “do their job” and avoid a government shutdown
Source: Elcomercio
I am Jack Morton and I work in 24 News Recorder. I mostly cover world news and I have also authored 24 news recorder. I find this work highly interesting and it allows me to keep up with current events happening around the world.
