A state appeals court ruled that Donald Trump and his co-defendants in the New York civil fraud case have 10 days to post a $175 million bond, down from the $464 million judgment that was originally due Monday.
The 11th-hour ruling from a panel of state Appellate Division judges, all appointed by Democratic governors, is a major victory and relief for the former president, whose attorneys had said coming up with the larger bond was a “practical impossibility.” The ruling also means state Attorney General Letitia James’ office cannot yet begin collecting on the judgment.
“I greatly respect the decision of the appellate division and I’ll post the $175 million in cash or bonds or security or whatever is necessary very quickly within the 10 days, and I thank the appellate division for acting quickly,” Trump said in front of cameras after he left a New York courtroom for a hearing in the hush money case.
Before Monday’s ruling, Trump was liable for $454 million, most of the fraud judgment, but the amount he owed had been increasing by more than $111,000 a day because of added interest.
Trump claimed on social media Friday that he had nearly $500 million in cash that he had planned to use toward his 2024 presidential campaign. The former president, however, hasn’t used his own money toward his presidential campaigns since 2016.
He had also floated the idea last week of mortgaging or selling off his properties, saying he would be forced to do so at “Fire Sale prices.”
His lawyers noted in court filings that bond companies typically “require collateral of approximately 120% of the amount of the judgment” — which in this case would total about $557 million.
Trump’s lawyers said in one filing a week ago that they hadn’t been able at that point to secure a bond, and believed it was “a practical impossibility.” They said that they approached 30 surety companies through four separate brokers, trying to negotiate with the world’s largest insurance companies.
The other bond companies will not “accept hard assets such as real estate as collateral,” but “will only accept cash or cash equivalents (such as marketable securities),” his lawyers said.
Trump’s lawyers had asked the state appeals court to either reduce the amount of money he had to post or stay the award without him posting any security while he appeals Engoron’s order.
The decision Monday also puts a stay on the part of the original judgment that barred Trump from serving as a public officer of a company, as well as the prohibitions placed on Weisselberg, McConney, Donald Trump Jr. And Eric Trump.
The court did not grant requests from Trump to prohibit the independent monitor or installing an independent director of compliance.
The AG’s office brushed off Monday’s ruling in a statement, saying: “Donald Trump is still facing accountability for his staggering fraud. The court has already found that he engaged in years of fraud to falsely inflate his net worth and unjustly enrich himself, his family, and his organization. The $464 million judgment — plus interest — against Donald Trump and the other defendants still stands.”
Trump celebrated the ruling in a post on Truth Social, attacking Engoron and reiterating that he believes he did nothing wrong. Speaking to reporters outside an unrelated hearing in his New York criminal case, he called Engoron “a disgrace to this country.”
Alina Habba, the former president’s lawyer in the civil fraud case, said in a statement, “We are extremely pleased with the ruling issued by the Appellate Division. This monumental holding reigns in Judge Engoron’s verdict, which is an affront to all Americans. This is the first important step in fighting back against Letitia James and her targeted witch hunt against my client which started before she ever stepped foot in office.”
On Friday, Trump told Fox News he’d appeal Engoron’s ruling “all the way to the U.S. Supreme Court if necessary.” He must first go through the state appeals court process before he can bring that challenge before the justices.