by WorldTribune Staff, September 27, 2023
New York City Judge Arthur Engoron ruled on Tuesday that Donald Trump and his company committed fraud by deceiving people about the value of the Trump family businesses.
The decision, which was issued by Engoron without a jury, saw the judge say that the base value of Trump’s Mar-a-Lago estate in Florida is $18 million.
A prominent Palm Beach real estate broker, speaking on the condition of anonymity, told the New York Post: “It’s utterly delusional to think that property is only worth $18 million. If that property were on the market today, I would list it at around $300 million, minimum … at least. He also has the separate golf course minutes away.”
Engoron’s ruling holds Trump, along with his family and his business empire, the Trump Organization, liable for fraud — a central allegation in New York Democrat Attorney General Letitia James’ lawsuit against the defendants.
James is essentially “using her position to attempt to fine Trump $250 million explicitly to harm his election campaign, and indeed ban him from doing business in New York,” The National Pulse noted.
Engoron’s ruling sets the stage for a non-jury trial beginning on Oct. 2, in which Engoron will decide on remaining claims and any potential punishments.
In a 35-page judgment, Engoron sided with James, asserting that Trump had made unequivocally false statements in official documents to secure favorable terms with financial institutions.
In making the ruling, critics say Enogoron, a longtime leftist Democrat, asserted that he has more knowledge on the value of the business empire of Trump than does the former president and his banks, business partners, accountants, employees, and insurers.
Engoron issued the ruling despite the inclusion in the case of disclaimers on financial statements which made it clear that such valuations were internal estimates.
In addition to the verdict, Engoron revoked the New York “business certificates” held by the Trump Organization and any other New York-based business associated with the former commander-in-chief or his family. He further mandated an independent third party to oversee the “dissolution of the cancelled LLCs.”
Trump’s lawyers argue there was no evidence of public harm caused by Trump’s actions, and that some of the allegations were even barred by the statute of limitations. Engoron refused to throw out the case. U
In a Truth Social post on Tuesday evening, Trump wrote:
“I have been unfairly sued by the Trump Hating Democrat Attorney General of New York State, Letitia James, over the false fact that I inflated my Financial Statements in order to borrow money from Banks, etc. The Judge in the case, Arthur F. Engoron, refused to allow this case to go to the “Commercial Division,” where it belongs, because he is a Trump Hater beyond even A.G. James, who campaigned against me spewing horrible inflammatory statements which are False & Defamatory. I am not even allowed a Jury!
“The facts of this case are simple:
1) I AM WORTH MUCH MORE THAN THE NUMBERS SHOWN ON MY FINANCIAL STATEMENTS.
2) I DIDN’T EVEN INCLUDE MY MOST VALUABLE ASSET, MY BRAND.
3) THE BANKS WERE PAID BACK IN FULL, SOMETIMES EARLY, THERE WERE NO DEFAULTS, THE BANKS MADE MONEY, WERE REPRESENTED BY THE BEST LAW FIRMS, & WERE VERY “HAPPY.” THERE WERE NO VICTIMS!
4) ON THE FRONT PAGE OF THE FINANCIAL STATEMENTS THERE IS A STRONG “DISCLAIMER CLAUSE” TELLING ALL NOT TO RELY ON THESE FINANCIAL STATEMENTS. THE DISCLAIMER CLAUSE TELLS ANYONE REVIEWING THE DATA, INCLUDING FINANCIAL INSTITUTIONS, TO DO THEIR OWN RESEARCH AND ANALYSIS – IT IS A NON RELIANCE CLAUSE, AND COULD NOT BE MORE CLEAR. ADDITIONALLY TO MY BEING WORTH FAR MORE THAN IS SHOWN IN THE “FULLY DISCLAIMED” FINANCIAL STATEMENTS, AGAIN NOT PUTTING DOWN A VALUE FOR MY BIGGEST ASSET, BRAND, THE COMPANY HAS HUNDREDS OF MILLIONS OF DOLLARS IN CASH, AND VERY LITTLE DEBT.
“It is a great company that has been slandered and maligned by this politically motivated Witch Hunt. It is very unfair, and I call for help from the highest Courts in New York State, or the Federal System, to intercede. THIS IS NOT AMERICA!”
Trump’s son, Eric, wrote in a social media post: “Today I lost all faith in the New York legal system. Never before have I seen such hatred toward one person by a judge – a coordinated effort with the Attorney General to destroy a man’s life, company and accomplishments. We have run an exceptional company – never missing a loan payment, making banks hundreds of millions of dollars, developing some of the most iconic assets in the world. Yet today the persecution of our family continues …”
Attorney Lin Wood noted in response: “It is not just the New York legal system, Eric. It is the ENTIRE legal system in our country. We have lost the rule of law. The legal system has morphed over a period of time into a system of tyranny. All we can do is pray for our country, keep speaking TRUTH, and Keep Fighting!!!”
Tuesday’s ruling, the New York Post’s Mary K. Jacob noted, “raised eyebrows when Engoron, a Democrat who ran unopposed in the general election on Nov. 3, 2015, evaluated the worth of Trump’s prized Mar-a-Lago Club resort at $18 million, ruling that the property was inflated by 2,300%.”
The judge cited a basic Palm Beach Assessor valuation that ranged from $18 million to $28 million between 2011 and 2021, with industry sources saying it fails to take into consideration the fair market value.
“To put it in perspective, a 2-acre wooded lot at 1980 S. Ocean Blvd., just 5 minutes from Mar-a-Lago, is currently listed for $150 million,” Jacob wrote. “Mar-a-Lago, situated at 1100 S. Ocean Blvd., dwarfs this lot tenfold and operates as a commercial business with around 500 members as part of the golf club.”
A 2.3-acre plot of land near Mar-a-Lago, at 1063/1071 N. Ocean Blvd., is on the market for $200 million. Trump’s Mar-a-Lago estate boasts 20 acres.
Forbes had appraised the Mar-a-Lago property, boasting 128 rooms, at approximately $160 million in 2018 following extensive renovations and its exclusive Palm Beach location on Billionaires’ Row. The property includes a 20,000-square-foot ballroom, five clay tennis courts and a sprawling waterfront pool.
In March, Rush Limbaugh’s widow, Kathryn Adams Limbaugh, sold her husband’s longtime Palm Beach compound, on 2.7 acres, for $155 million.
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