Politics - News Analysis

Bad News for Trump: New York Judge Blocks Trump From Secretly Hiding His Money

This is exactly the kind of thing Trump would do.

Donald Trump has run into trouble at every turn with Judge Arthur Engoron in the fraud lawsuit brought against him by NY Attorney General Letitia James. Engoron seems to think of every possibility and is blocking Trump from anything that could secretly help him while his trial is underway.

This time Engoron has issued an order demanding that Trump and every defendant in the case, including his two oldest sons, provide him an extensive list. That list must include every entity they own, and every third party that may have any interest in those entities.

It further requires advance notice of any entity that they may create and “any anticipated transfer of assets or liabilities to any other entities.”

That part is to prevent any of the defendants, but especially Trump, from creating “shell companies” that could be used to hide or relocate money that could potentially be seized as a result of the fraud trial.

Engoron has already found Trump and his sons Eric and Donald Junior liable for committing fraud. They artificially inflated and deflated the value of various holdings in the Trump Organization in order to pay less in taxes and insurance and get more favorable rates on loans.

The judge ordered the cancellation of the Trump Organization’s business license. AG James is seeking $250 million in damages and an order barring Trump and his sons from conducting any business in the state of New York.

Some call this the “corporate death penalty.”

According to Newsweek, “Trump, his two eldest sons, Donald Jr. and Eric, former chief financial officer of the Trump Organization, Allen Weisselberg, and Trump Organization controller Jeffrey McConney will have a week to disclose all of the information to former federal judge Barbara Jones, the court-appointed monitor currently overseeing the company’s finances.”

It’s a safe bet to assume that you’ll see much more wailing and gnashing of teeth from the former President over this development.

There are some who speculated that Trump would attempt to transfer ownership of some or all of his holdings to his wife, former First Lady Melania Trump. But her advisor and former chief of staff Stephanie Grisham said that it was unlikely Melania would accept such an agreement unless she was “granted some major control or power.”

It is highly likely that Trump’s legal team will file an appeal against this order — but that will not stop or even slow down the civil fraud trial that’s already in its fourth day.

meet the author

Andrew is a dark blue speck in deep red Central Washington, writing with the conviction of 18 years at the keyboard and too much politics to even stand. When not furiously stabbing the keys on breaking news stories, he writes poetry, prose, essays, haiku, lectures, stories for grief therapy, wedding ceremonies, detailed instructions on making doughnuts from canned biscuit dough (more sugar than cinnamon — duh), and equations to determine the airspeed velocity of an unladen swallow. A girlfriend, a dog, two cats, and two birds round out the equation, and in his spare time, Drewbear likes to imagine what it must be like to have spare time.

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