In the latest development in a civil fraud lawsuit, New York Attorney General Letitia James seeks a $20,000 sanction against former President Donald Trump, his sons, their legal team, and other co-defendants. The action comes as a response to their repeated use of legal arguments that have already been dismissed by the courts.
What Happened: As reported by Politico, the request for sanctions was filed on Tuesday in the ongoing lawsuit that James is leading against the Trumps’ business endeavors. The defendants, including Trump and his legal team, are accused of “frivolous conduct” due to their persistent use of previously rejected legal arguments.
The lawsuit alleges that Trump, Donald Trump Jr., Eric Trump, and their business empire misrepresented the former president’s net worth to obtain favorable terms from banks and insurance companies. The trial is set to begin on October 2.
James’ office maintains that the defendants and their legal representatives have consistently made the same arguments, most of which question the authority or ability of the AG’s office to bring the charges against the Trumps. These arguments have been repeatedly dismissed since October 2022.
The AG’s office seeks penalties totaling $10,000 against all defendants and an additional $10,000 against all their attorneys.
Why It Matters: This development is the latest in a series of legal battles surrounding the Trump family’s business dealings. The lawsuit filed by, filed by James’ office, accuses the Trumps of a decade-long extensive fraud used to enrich the former president. It alleges that the Trump Organization inflated the worth of Trump’s properties, deceiving lenders, insurers, and tax authorities.
Just a week ago, James sought a preliminary declaration of fraud liability against Trump, the frontrunner GOP candidate for the 2024 presidential elections, accusing him of submitting false financial statements and exaggerating his net worth by as much as $2.23 billion.
This lawsuit was followed by accusations that Trump, along with his sons, produced misleading financial evaluations of their company’s assets.
Trump’s biographer, Tim O’Brien, also highlighted that the former president may have inadvertently implicated his son, Eric Trump, in a recent deposition, as reported here.
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