He may not risk prison with this civil trial, but Donald Trump is being attacked on what is most dear to him: his value and his brand. Tried with two of his sons for having overvalued their real estate assets by billions of dollars in the 2010s, the former president attacked a “sham” of justice on Monday, attacking African-American prosecutor Letitia James, according to him “racist” and “corrupt”, and a “rogue” magistrate. But in this civil trial which should last several weeks, Donald Trump could lose big.
What does Donald Trump risk?
Unlike the four criminal trials awaiting him next year, Donald Trump does not risk prison time. The former US president is on civil trial in a case that threatens to cause him to lose control of his economic empire in New York State, in addition to financial penalties of up to $250 million.
What is he accused of?
Letitia James accuses the real estate mogul and his sons of “repeated fraud” and “cheating” for years. Mainly by inflating their assets colossally to obtain more favorable loans from banks and better insurance terms, saving over $100 million. In detail, the surface area of the businessman’s triplex in Trump Tower would have been tripled, while the building at 40 Wall Street overvalued by $200 to $300 million in financial declarations.
What is Donald Trump’s defense?
This trial, one of the first in a long series, is a “sham” and “electoral interference” to prevent him from returning to the White House in 2024, he further accused, also treating the judge who presides over the debates, Arthur Engoron, a “thug”. Inside the courtroom, the former president, 77, spent his first day sitting with his face closed, speaking only to his lawyers. Chris Kise defended a “president (who) built one of the most successful real estate empires on the planet” and denied the slightest accounting irregularity. Her colleague Alina Habba insisted that her powerful client had not committed “fraud” but was doing “real estate”. “It’s not about a conspiracy, it’s about doing business,” she pleaded
Why is the trial already underway?
The case took on considerable importance last week when Judge Engoron ruled in an interim order that “repeated fraud” had been established, validating part of the prosecutor’s case. As a result, the magistrate ordered the withdrawal of business licenses in the State of New York from Donald Trump and his sons, directors of the Trump Organization, as well as the confiscation of the companies targeted by the complaint, to be entrusted to liquidators. Donald Trump, who made his fortune in real estate and casinos in the 1980s, has appealed, but if the decision were implemented, he would lose control of several of his group’s flagships, such as the Trump Tower on 5th Avenue in Manhattan.
Why is there no jury?
On Monday, Donald Trump denounced a trial which is taking place without a jury, with Judge Engoron responsible for establishing the facts. But the fault lies with his lawyers, who did not check the necessary box to request a trial before a jury, without knowing whether this was an oversight or a strategy.
Is Donald Trump required to attend the hearing?
No, in a civil trial, he is not required to be present but he chose to be present on Monday. In the process, his teams solicited his supporters on the Internet to raise funds. However, it is unlikely that Donald Trump will be there in the coming weeks.
Will he testify?
Dozens of witnesses must speak, the first of which, on Monday, was a former employee of Mazars, an accounting firm which had decided in 2021 to no longer work for the Trump Organization. The list of witnesses also includes Donald Trump himself, and three of his children, Eric, Donald Jr, and Ivanka initially targeted by the complaint but ultimately not prosecuted. On Monday, one of his lawyers assured that Donald Trump would testify, but at this stage, we do not know if this is a bluff. His former lawyer, Michael Cohen, could be called to the stand. In a video released by prosecutors, he claimed that Donald Trump notably inflated his value because he wanted to “gain places” in the Forbes ranking of billionaires.