Donald Trump was hit with a $350 million fine last week in the New York civil fraud case, and he was also prohibited from doing business in the state of New York for three years. Economist Peter Schiff on Monday highlighted two potential reasons for the ruling against the former president.
What Happened: Schiff said there was an “organized effort by the Democratic establishment to weaponize a corrupt judicial system to target Trump.” He added that “it isn’t just about interfering in the 2024 election. It’s also an attempt to scare other businessmen out of entering politics.”
“Career politicians are protecting their turf.”
Trump is currently campaigning in the 2024 presidential election, and Schiff’s reference to 2024 election interference apparently reflects his view that the financial strain stemming from the verdict, and the time and effort Trump might have to invest in fighting the case, now that he has decided to appeal, will likely prevent him from singularly focusing on his election campaign.
Schiff also gave a capitalist color to the whole affair by suggesting that career politicians might want to keep a businessman like Trump out of politics.
Why It’s Important: The New York civil case against Trump was brought by the state Attorney General Letitia James, who accused the former president of inflating the value of his assets and property to secure loans from banks.
Last week’s ruling also prevents Trump and his Trump Organization from availing loans from New-York chartered financial institutions for three years.
The ruling has polarized Americans. Trump niece and author Mary Trump said in a substack post last week that her uncle’s “ability to commit fraud with impunity has come to an end — at least in New York.”
On the other hand, Eric Trump, the former president’s son, expressed frustration over the ruling. “My father built a skyline of New York City. And this is the thanks he gets for doing absolutely nothing wrong,” he said.
Shark Tank’s Kevin O’Leary also took exception to the ruling. “This case isn't really just about Donald Trump. It's an assault on the 11th Sector [of] the S&P500, which is the real estate,” he said.
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Photo: Gage Skidmore on flickr and Shutterstock
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