Judge orders Trump and his companies to pay $355 million in New York civil fraud case

NEW YORK — A New York judge ordered Donald Trump and his companies to pay $355 million Friday, finding they engaged in a yearslong scheme to dupe banks and others with financial statements that inflated his wealth.

Trump won’t have to pay out the money immediately as an appeals process plays out, but the verdict still is a stunning setback for the former president.

If he’s ultimately forced to pay, the magnitude of the penalty, on top of earlier judgments, could dramatically diminish his financial resources.

Trump, who built his reputation as a real estate titan, also was barred from serving as an officer or director of any New York corporation for three years or from getting a loan from banks registered in his native state.

Eric Trump, left, and Donald Trump Jr. wait for President Donald Trump to speak Aug. 27, 2020, from the South Lawn of the White House in Washington.

Evan Vucci, Associated Press

The judge ordered his eldest sons, Trump Organization Executive Vice Presidents Donald Trump Jr. and Eric Trump, to pay $4 million each and barred them from being officers of New York companies for two years. Former chief financial officer Allen Weisselberg was ordered to pay $1 million.

People are also reading…

The total $364 million verdict keeps the Trump Organization in business: The judge backed away from an earlier ruling that would have dissolved the former president’s companies.

Trump’s lawyers vowed to appeal.

Judge Arthur Engoron issued his decision after a 2½-month trial that saw the Republican presidential front-runner complaining under oath that he was the victim of a rigged legal system.

Engoron concluded that expert witnesses who testified for the defense “simply denied reality” and that Trump and his co-defendants “failed to accept responsibility” for their actions.

Justice Arthur Engoron presides over Donald Trump Jr.’s testimony Nov. 13 in his family’s civil fraud case at the New York State Supreme Court in New York.

Erin Schaff, The New York Times

“They did not rob a bank at gunpoint. Donald Trump is not Bernard Madoff. Yet, defendants are incapable of admitting the error of their ways,” wrote Engoron, a Democrat. He said their “complete lack of contrition and remorse borders on pathological.”

“The frauds found here leap off the page and shock the conscience,” the judge added.

The stiff penalty was a victory for New York Attorney General Letitia James, a Democrat, who sued Trump over what she said was years of deceptive practices as he built the multinational collection of skyscrapers, golf courses and other properties that catapulted him to wealth, fame and the White House.

James sued Trump in 2022 under a state law that authorizes her to investigate persistent fraud in business dealings.

The suit accused Trump and his co-defendants of routinely puffing up his financial statements to create an illusion his properties were more valuable than they were. State lawyers said Trump exaggerated his wealth by as much as $3.6 billion one year.

By making himself seem richer, Trump qualified for better loan terms, saved on interest and was able to complete projects he might otherwise not have finished, state lawyers said.

Even before the trial began, Engoron ruled that James proved Trump’s financial statements were fraudulent. The judge ordered some of Trump’s companies removed from his control and dissolved. An appeals court put that decision on hold.

Pedestrians cross Fifth Avenue on Feb. 17, 2021, in front of Trump Tower in New York.

John Minchillo, Associated Press

In that earlier ruling, the judge found that, among other tricks, Trump’s financial statements wrongly claimed his Trump Tower penthouse was nearly three times its actual size and overvalued his Mar-a-Lago estate in Palm Beach, Florida, based on the idea that the property could be developed for residential use, even though he surrendered rights to develop it for any uses but a club.

Trump, one of 40 witnesses to testify at the trial, claimed his financial statements actually understated his net worth and that banks did their own research and were happy with his business.

“There was no victim. There was no anything,” Trump testified in November.

Trump and his lawyers have said the outside accountants that helped prepare the statements should’ve flagged any discrepancies and that the documents came with disclaimers that shielded him from liability. They also argued that some of the allegations were barred by the statute of limitations.

The suit is one of many legal headaches for Trump as he campaigns for a return to the White House. He has been indicted four times in the last year — accused in Georgia and Washington, D.C., of plotting to overturn his 2020 election loss to Democrat Joe Biden, in Florida of hoarding classified documents, and in Manhattan of falsifying business records related to hush money paid to porn actor Stormy Daniels on his behalf.

On Thursday, a judge confirmed Trump’s hush-money trial will start on March 25 and a judge in Atlanta heard arguments on whether to remove Fulton County District Attorney Fani Willis from his Georgia election interference case because she had a personal relationship with a special prosecutor she hired.

Those criminal accusations haven’t appeared to undermine his march toward the Republican presidential nomination, but civil litigation has threatened him financially.

Former President Donald Trump attends the closing arguments in the Trump Organization civil fraud trial Jan. 11 at New York State Supreme Court in New York.

Shannon Stapleton, Pool

On Jan. 26, a jury ordered Trump to pay $83.3 million to writer E. Jean Carroll for defaming her after she accused him in 2019 of sexually assaulting her in a Manhattan department store in the 1990s. That’s on top of the $5 million a jury awarded Carroll in a related trial last year.

In 2022, the Trump Organization was convicted of tax fraud and fined $1.6 million in an unrelated criminal case for helping executives dodge taxes on extravagant perks such as Manhattan apartments and luxury cars.

James, who campaigned for office as a Trump critic and watchdog, started scrutinizing his business practices in March 2019 after his former personal lawyer Michael Cohen testified to Congress that Trump exaggerated his wealth on financial statements provided to Deutsche Bank while trying to obtain financing to buy the NFL’s Buffalo Bills.

James’ office previously sued Trump for misusing his own charitable foundation to further his political and business interests. Trump was ordered to pay $2 million to an array of charities as a fine and the charity, the Trump Foundation, was shut down.

The presidential candidate raising the most from individual donations in each state The presidential candidate raising the most from individual donations in each state

The 2024 primary elections are underway, and residents in some states have already chosen who they want to see on the ballot in November. But before heading to the polls, Americans showed support for their preferred candidate in 2023 by giving them their hard-earned cash.

Presidential hopefuls raised more than $119 million from individual donors last year, according to the latest data from the Federal Election Commission. Individuals can donate up to $3,300 to a primary campaign and another $3,300 for the general election but can spread that over multiple payments.

Republicans fared particularly well — receiving 75% of the total haul — but the once-crowded field has thinned out in recent months. The top fundraiser, Florida Gov. Ron DeSantis, ended his campaign in January. Coming in second was former South Carolina Gov. Nikki Haley, who raked in $22.5 million, followed by independent candidate Robert F. Kennedy Jr. and Democratic President Joe Biden.

One candidate noticeably absent from the top 10 fundraisers was former President Donald Trump. Trump received $145,000 from individual donors in 2023, FEC data shows. Prior to the 2016 general election, his presidential campaign received more than $75 million in donations from individual contributors.

The total amount a candidate raises is just one way to look at voter sentiment. (A New York Times analysis of the same data shows Trump had more individual small donors in 2023 compared to Biden.) The former president is currently in the lead for his party’s nomination, winning 63 delegates so far, but recent polling shows the appetite for a Trump-Biden rematch may be waning among some voters.

Stacker analyzed campaign finance data compiled by the FEC to see which presidential candidates Americans gave the most money to in 2023. Candidates are ranked on the total dollar amount they received from individual campaign donors in each state.

Joe Raedle // Getty Images Presidential support varies by region

When it comes to the candidates’ fundraising success in each state, Haley outraised her opponents in 22 states in 2023. Her appeal is noticeable in the Midwest, a key battleground region during general elections. DeSantis, meanwhile, performed better in the South, receiving $11.9 million from Floridians alone.

Home-state advantages play a key role. It’s easier to get donations from already established donor and support networks than to convince voters in other states to open their wallets. Case in point: Former New Jersey Gov. Chris Christie raised the most in the Garden State, while previously unknown businessman Vivek Ramaswamy outperformed the competition in his home state of Ohio. Both dropped out of the Republican primary in January.

When a candidate withdraws their candidacy, they have 60 days to return excess funds to donors after paying off any outstanding debt, according to campaign finance rules. They can also redesignate those funds if they get permission from the donor. Once approved, candidates can put primary donations toward their own general election congressional campaign or give the money to another candidate.

Read on to see which candidates raised the most money from donors in your state.

Stacker Alabama

1. Ron DeSantis ($182,309 in total donations)

2. Nikki Haley ($110,424 in total donations)

3. Tim Scott ($73,519 in total donations)

Justin Sullivan // Getty Images Alaska

1. Nikki Haley ($29,453 in total donations)

2. Ron DeSantis ($28,945 in total donations)

3. Robert F. Kennedy Jr. ($27,457 in total donations)

Win McNamee // Getty Images Arizona

1. Nikki Haley ($548,629 in total donations)

2. Ron DeSantis ($484,841 in total donations)

3. Robert F. Kennedy Jr. ($416,910 in total donations)

Brandon Bell // Getty Images Arkansas

1. Asa Hutchinson ($537,175 in total donations)

2. Nikki Haley ($184,141 in total donations)

3. Joe Biden ($38,759 in total donations)

Joe Raedle // Getty Images California

1. Robert F. Kennedy Jr. ($3,825,496 in total donations)

2. Ron DeSantis ($3,453,531 in total donations)

3. Joe Biden ($2,412,342 in total donations)

Mario Tama // Getty Images Connecticut

1. Nikki Haley ($374,874 in total donations)

2. Ron DeSantis ($309,780 in total donations)

3. Robert F. Kennedy Jr. ($241,656 in total donations)

Joe Raedle // Getty Images Delaware

1. Joe Biden ($110,567 in total donations)

2. Nikki Haley ($43,845 in total donations)

3. Robert F. Kennedy Jr. ($38,359 in total donations)

Chip Somodevilla // Getty Images Florida

1. Ron DeSantis ($11,859,915 in total donations)

2. Nikki Haley ($2,144,580 in total donations)

3. Jim Alexander Norris ($1,430,000 in total donations)

Joe Raedle // Getty Images Georgia

1. Nikki Haley ($763,466 in total donations)

2. Ron DeSantis ($457,259 in total donations)

3. Robert F. Kennedy Jr. ($330,055 in total donations)

Megan Varner // Getty Images Hawaii

1. Robert F. Kennedy Jr. ($126,453 in total donations)

2. Joe Biden ($90,834 in total donations)

3. Nikki Haley ($36,294 in total donations)

Jessica Kourkounis // Getty Images Illinois

1. Nikki Haley ($585,809 in total donations)

2. Ron DeSantis ($581,221 in total donations)

3. Joe Biden ($426,124 in total donations)

Alex Wong // Getty Images Indiana

1. Mike Pence ($920,190 in total donations)

2. Ron DeSantis ($333,802 in total donations)

3. Nikki Haley ($189,135 in total donations)

Paul Morigi // Getty Images Iowa

1. Nikki Haley ($191,293 in total donations)

2. Ron DeSantis ($77,561 in total donations)

3. Joe Biden ($64,550 in total donations)

Joe Raedle // Getty Images Kentucky

1. Ron DeSantis ($114,723 in total donations)

2. Nikki Haley ($113,399 in total donations)

3. Robert F. Kennedy Jr. ($87,392 in total donations)

Michael M. Santiago // Getty Images Louisiana

1. Ron DeSantis ($121,558 in total donations)

2. Nikki Haley ($116,172 in total donations)

3. Robert F. Kennedy Jr. ($73,704 in total donations)

Michael M. Santiago // Getty Images Maryland

1. Nikki Haley ($472,630 in total donations)

2. Joe Biden ($404,965 in total donations)

3. Ron DeSantis ($233,909 in total donations)

Anna Moneymaker // Getty Images Massachusetts

1. Nikki Haley ($679,319 in total donations)

2. Joe Biden ($650,970 in total donations)

3. Robert F. Kennedy Jr. ($396,216 in total donations)

Kevin Dietsch // Getty Images Michigan

1. Perry Johnson ($1,892,019 in total donations)

2. Robert F. Kennedy Jr. ($359,471 in total donations)

3. Ron DeSantis ($301,306 in total donations)

Scott Olson // Getty Images Minnesota

1. Nikki Haley ($358,165 in total donations)

2. Doug Burgum ($200,388 in total donations)

3. Joe Biden ($188,845 in total donations)

Win McNamee // Getty Images Mississippi

1. Ron DeSantis ($132,799 in total donations)

2. Nikki Haley ($43,995 in total donations)

3. Tim Scott ($23,183 in total donations)

Scott Olson // Getty Images Missouri

1. Nikki Haley ($409,769 in total donations)

2. Robert F. Kennedy Jr. ($137,492 in total donations)

3. Ron DeSantis ($126,031 in total donations)

CHRISTIAN MONTERROSA/AFP // Getty Images Nebraska

1. Nikki Haley ($92,480 in total donations)

2. Robert F. Kennedy Jr. ($50,350 in total donations)

3. Ron DeSantis ($45,308 in total donations)

Joe Raedle // Getty Images Nevada

1. Nikki Haley ($263,840 in total donations)

2. Ron DeSantis ($243,371 in total donations)

3. Robert F. Kennedy Jr. ($185,146 in total donations)

Chip Somodevilla // Getty Images New Hampshire

1. Nikki Haley ($204,972 in total donations)

2. Robert F. Kennedy Jr. ($120,320 in total donations)

3. Joe Biden ($102,727 in total donations)

Joe Raedle // Getty Images New Jersey

1. Chris Christie ($1,894,617 in total donations)

2. Ron DeSantis ($833,667 in total donations)

3. Nikki Haley ($608,684 in total donations)

Joe Raedle // Getty Images New Mexico

1. Joe Biden ($103,192 in total donations)

2. Robert F. Kennedy Jr. ($86,634 in total donations)

3. Nikki Haley ($85,160 in total donations)

JIM WATSON // Getty Images New York

1. Ron DeSantis ($2,144,556 in total donations)

2. Nikki Haley ($1,322,654 in total donations)

3. Robert F. Kennedy Jr. ($1,251,864 in total donations)

Spencer Platt // Getty Images North Carolina

1. Nikki Haley ($871,336 in total donations)

2. Ron DeSantis ($333,811 in total donations)

3. Joe Biden ($262,223 in total donations)

Joe Raedle // Getty Images Ohio

1. Vivek Ramaswamy ($2,435,490 in total donations)

2. Nikki Haley ($679,125 in total donations)

3. Robert F. Kennedy Jr. ($327,664 in total donations)

Kevin Dietsch // Getty Images Oklahoma

1. Ron DeSantis ($204,374 in total donations)

2. Nikki Haley ($153,928 in total donations)

3. Vivek Ramaswamy ($62,618 in total donations)

Justin Sullivan // Getty Images Oregon

1. Robert F. Kennedy Jr. ($285,087 in total donations)

2. Joe Biden ($217,583 in total donations)

3. Nikki Haley ($183,041 in total donations)

Eva Marie Uzcategui // Getty Images Pennsylvania

1. Ron DeSantis ($809,469 in total donations)

2. Nikki Haley ($468,801 in total donations)

3. Joe Biden ($370,042 in total donations)

Michael M. Santiago // Getty Images Rhode Island

1. Robert F. Kennedy Jr. ($59,826 in total donations)

2. Joe Biden ($36,750 in total donations)

3. Nikki Haley ($30,153 in total donations)

Scott Eisen // Getty Images South Carolina

1. Nikki Haley ($2,164,207 in total donations)

2. Tim Scott ($2,040,117 in total donations)

3. Ron DeSantis ($267,582 in total donations)

Joseph Prezioso // Getty Images South Dakota

1. Nikki Haley ($58,011 in total donations)

2. Ron DeSantis ($49,372 in total donations)

3. Doug Burgum ($25,281 in total donations)

Joseph Prezioso // Getty Images Tennessee

1. Ron DeSantis ($749,943 in total donations)

2. Tim Scott ($459,192 in total donations)

3. Nikki Haley ($382,911 in total donations)

Scott Olson // Getty Images Texas

1. Ron DeSantis ($3,020,079 in total donations)

2. Nikki Haley ($2,529,801 in total donations)

3. Robert F. Kennedy Jr. ($1,132,264 in total donations)

Scott Eisen // Getty Images Utah

1. Ron DeSantis ($324,857 in total donations)

2. Robert F. Kennedy Jr. ($260,115 in total donations)

3. Nikki Haley ($159,867 in total donations)

Joe Raedle // Getty Images Vermont

1. Robert F. Kennedy Jr. ($72,932 in total donations)

2. Joe Biden ($48,314 in total donations)

3. Nikki Haley ($23,044 in total donations)

Rebecca Noble // Getty Images Virginia

1. Nikki Haley ($698,141 in total donations)

2. Ron DeSantis ($634,529 in total donations)

3. Joe Biden ($411,793 in total donations)

Logan Cyrus // Getty Images Washington

1. Joe Biden ($628,604 in total donations)

2. Nikki Haley ($493,168 in total donations)

3. Robert F. Kennedy Jr. ($431,449 in total donations)

Drew Angerer // Getty Images Washington D.C.

1. Joe Biden ($299,618 in total donations)

2. Nikki Haley ($203,348 in total donations)

3. Ron DeSantis ($178,571 in total donations)

Anna Moneymaker // Getty Images West Virginia

1. Nikki Haley ($28,296 in total donations)

2. Ron DeSantis ($22,487 in total donations)

3. Joe Biden ($19,740 in total donations)

Joe Raedle // Getty Images Wisconsin

1. Nikki Haley ($334,010 in total donations)

2. Ron DeSantis ($287,044 in total donations)

3. Robert F. Kennedy Jr. ($123,357 in total donations)

Kevin Dietsch // Getty Images Wyoming

1. Ron DeSantis ($99,647 in total donations)

2. Nikki Haley ($59,666 in total donations)

3. Robert F. Kennedy Jr. ($39,384 in total donations)

Story editing by Ashleigh Graf. Copy editing by Tim Bruns. Photo selection by Clarese Moller. 

Anna Moneymaker // Getty Images Colorado

1. Nikki Haley ($466,920 in total donations)

2. Ron DeSantis ($419,404 in total donations)

3. Robert F. Kennedy Jr. ($415,841 in total donations)

Justin Sullivan // Getty Images Idaho

1. Nikki Haley ($92,106 in total donations)

2. Robert F. Kennedy Jr. ($69,808 in total donations)

3. Ron DeSantis ($55,815 in total donations)

Joe Raedle // Getty Images Kansas

1. Ron DeSantis ($236,468 in total donations)

2. Nikki Haley ($109,454 in total donations)

3. Robert F. Kennedy Jr. ($63,816 in total donations)

Anna Moneymaker // Getty Images Maine

1. Robert F. Kennedy Jr. ($152,806 in total donations)

2. Joe Biden ($82,446 in total donations)

3. Nikki Haley ($64,266 in total donations)

Brianna Soukup // Getty Images Montana

1. Nikki Haley ($75,489 in total donations)

2. Ron DeSantis ($64,339 in total donations)

3. Joe Biden ($50,562 in total donations)

Scott Olson // Getty Images North Dakota

1. Doug Burgum ($892,785 in total donations)

2. Nikki Haley ($28,418 in total donations)

3. Joe Biden ($7,409 in total donations)

Brandon Bell // Getty Images

Get local news delivered to your inbox!