Former President Donald Trump formally notified the New York courts on Monday he will appeal a judgment that found his real estate business liable for rampant fraud and ordered him to pay $364 million in fines.
Lawyers for Mr. Trump, his two eldest sons and the Trump Organization hope the First Judicial Department Appellate Division will overturn the judgment.
Judge Arthur Engoron this month sided with New York Attorney General Letitia James, who alleged Mr. Trump submitted false information on statements of financial condition to gain favorable terms on loans and insurance.
Falsehoods, the judgment said, included misrepresenting the size of Mr. Trump’s Manhattan penthouse; crafting a budget for 40 Wall Street that showed a positive net operating income despite it running repeated deficits; valuing Trump Park Avenue based on an offering price that failed to reflect that the apartments were rent-restricted; and valuing Mar-a-Lago in Florida as if it could be sold as a single-family residence despite deed restrictions that require it to be a social club.
Mr. Trump’s attorneys say the judge was biased against the former president and his associates from the start and misinterpreted basic real estate practices. They said banks were happy to lend money to Mr. Trump and were repaid, no victim exists.
“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 legal spokeswoman and lawyer Alina Habba said.
The ruling, if upheld, would be a financial blow to Mr. Trump as he pursues the GOP nomination for president.
With interest, the judgment exceeds $400 million. Combined with the judgment in a defamation case brought by former magazine columnist E. Jean Carroll, it brings Mr. Trump’s legal bills to around half a billion dollars.
Judge Engoron also suspended Mr. Trump from serving as an officer or director of a New York company for three years. His adult sons, Eric Trump and Donald Trump Jr., are suspended from similar roles for two years, making it difficult for the Trump Organization to make major decisions.
Mr. Trump has 30 days to come up with the money or guarantee the funds through a bonding company.
The former president’s team wanted Judge Engoron to delay the enforcement of the judgment. He refused.
“You have failed to explain, much less justify, any basis for a stay,” Judge Engoron wrote to the attorneys. “I am confident that the Appellate Division will protect your appellate rights.”