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Trump Claims He’d Be Forced To Sell Properties at a ‘Fire Sale’ To Cover Massive Bond

Former President Donald Trump is confronting a significant financial hurdle, stating he would need to sell properties at “fire sale” prices to meet a $464 million bond, which is due to be paid next week.

This situation stems from a New York civil fraud case ruling by Judge Arthur Engoron.

Trump’s Critique of Judge Engoron’s Ruling

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Trump has vocally criticized Judge Engoron’s decision on his Truth Social platform, claiming the demand for such a high bond to appeal is unprecedented. He argues that this effectively strips him of his appellate rights, labeling the situation “ELECTION INTERFERENCE” and a “WITCH HUNT.”

Legal Team’s Challenges in Securing the Bond

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Trump’s legal team has reported difficulties in securing the full bond amount, pointing to the difficulty of sourcing a Treasury Department-approved surety company willing to underwrite a bond and battling policies against issuing bonds of more than $100 million.

A Major Hurdle

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The former president’s inability to use property as collateral for the bond further complicates the matter.

Trump’s lawyers highlighted the Trump Organization’s strong cash position but noted the impracticality of obtaining a $464 million bond given the organization’s asset structure, primarily in real estate.

The Trump Organization’s Liquidity Position

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Despite the Trump Organization’s significant investments in real estate, Trump’s legal team has indicated that it does not possess the required cash or cash equivalents, making the bond’s procurement a “practical impossibility.”

The Appeal Process and Financial Stakes

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Trump is appealing the civil fraud case decision, which requires him to post the bond to proceed. The appeal is critical for Trump’s legal battle and his financial and business interests.

Engoron’s Penalties and Trump’s Business Empire

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Judge Engoron’s order last month for Trump to pay nearly $355 million in penalties has dealt a significant blow to Trump’s business empire in New York. This penalty and the bond requirement underscores the financial pressures facing Trump and his organization.

Interest Accrual During the Appeal

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As Trump proceeds with his appeal, the nearly $355 million in penalties will continue to accrue interest. This ongoing financial burden emphasizes the urgency for Trump to navigate the legal system efficiently to mitigate further financial impacts.

Trump’s Strategic Decisions Ahead

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With the daunting task of securing a $464 million bond, Trump may have to make difficult strategic decisions regarding his properties and assets. These decisions will have lasting implications on his business empire and personal wealth.

The Broader Implications of Trump’s Legal Battle

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Trump’s legal and financial ordeal reflects broader themes of accountability, the intersection of business and politics, and the challenges of navigating the legal system for public figures with extensive business interests.

Public and Political Reactions to the Case

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The public and political reactions to Trump’s situation are varied. Supporters decry the legal challenges as politically motivated, while critics view them as necessary accountability measures.

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