Donald Trump appeals $454 million loss in New York real estate fraud case

Aysha Bagchi, USA TODAY
Updated ·2 min read
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Former President Donald Trump filed an appeal Monday against the dramatic $454 million court loss he suffered in a New York real estate fraud case.

Trump's liability includes penalties of about $355 million plus interest that started running at different times for different Trump properties. Interest will continue accumulating at 9% a year until the judgment is paid, under state law.

New York Attorney General Letitia James accused Trump in the lawsuit of wildly overstating the value of his assets in financial statements provided to banks.

More: How much is Trump ordered to pay? Graphics show a possible $500 million in penalties

In a decision Feb. 16, Justice Arthur Engoron wrote that the frauds uncovered in an investigation by the New York Attorney General's Office "leap off the page and shock the conscience."

In addition to an $83.3 million loss in court last month to writer E. Jean Carroll in a New York defamation case, the verdict in Trump's civil fraud trial has created a cash crunch for the real estate mogul, who now owes more than half a billion dollars.

(FILES) Former US President Donald Trump sits in New York State Supreme Court during the civil fraud trial against the Trump Organization, in New York City on January 11, 2024. A US judge ordered Trump on February 16, 2024 to pay nearly $355 million after finding him liable for fraud and banned him from running businesses in New York state for three years. (Photo by Charly TRIBALLEAU / AFP) (Photo by CHARLY TRIBALLEAU/AFP via Getty Images) ORIG FILE ID: 2008846349

Trump filed the appeal document Monday along with his two oldest sons, former Trump Organization executives, and several business entities.

Engoron's financial judgment across the defendants totaled about $464.6 million, including interest, as of Friday. That includes penalties and interest against Trump's sons Don Jr. and Eric of about $4.7 million each. Trump and his sons have denied any wrongdoing.

Although Trump didn't lay out his appellate arguments Monday, legal experts expect he will argue that the fraud he was found liable for didn't involve traditional victims. James made the case that Trump inflated his net worth to get better loan terms, but the lenders themselves haven't sued Trump alleging they were harmed by the inflation.

"We trust that the Appellate Division will overturn this egregious fine and take the necessary steps to restore the public faith in New York’s legal system," Trump lawyer Alina Habba said in a statement Monday.

The New York Attorney General's Office declined to comment.

Contributing: Bart Jansen

This article originally appeared on USA TODAY: Donald Trump appeals $454 million loss in New York fraud case