Donald Trump Secures Relief in $464 Million Bond Fraud Case with $175 Million Pause — Assets Safe for Now

By John Lopez

Mar 25, 2024 02:13 PM EDT

Former US President Donald Trump has won a bid to pause his $454 million civil fraud judgment, securing temporary relief by posting a smaller bond of $175 million within 10 days. 

Reuters reports that this decision, granted by a mid-level state appeals court, blocks New York state authorities from taking immediate steps to seize his assets.

Trump Is Facing a Cash Crunch

Trump's camp, facing an acute cash crunch, had expressed concerns about selling assets at lower prices to meet the original bond requirement. However, if Trump meets the new deadline, state authorities will be barred from initiating asset seizures.

New York Attorney General Letitia James's office, responsible for handling the civil case, emphasized that Trump remains accountable for the alleged fraud. The former president, concurrently embroiled in criminal charges and civil judgments, continues his bid to contest these legal battles while campaigning for the US presidential election.

The reduction in bond size comes after Trump's legal team argued that it was "impossible" to secure an appeal bond of $454 million, having approached more than 30 surety companies without success. Despite the lowered bond requirement, the size of the judgment remains intact, pending further proceedings.

READ MORE: Despite its Lackluster Performance, Donald Trump's Truth Social Could Be Worth $5 Billion

NEW YORK, NEW YORK - MARCH 25: Former President Donald Trump speaks during a press conference at 40 Wall Street on March 25, 2024 in New York City. Judge Juan Merchan scheduled Trump's criminal trial to begin on April 15, making it the first criminal prosecution of a former American president. Trump was charged with 34 counts of falsifying business records last year, which prosecutors say was an effort to hide a potential sex scandal, both before and after the 2016 election.
(Photo : Photo by Michael M. Santiago/Getty Images)

Donald Trump's Assets Are Safe for Now

In response to the ruling, Trump's lawyer, Charles Kise, expressed optimism, seeing it as a significant step towards overturning what he termed a "baseless and reckless judgment."

While the appeals court's decision provides temporary relief, it does not alter the fact that Trump is still facing considerable legal challenges, including a looming April 15 trial related to hush money paid to a porn star, his plans to overturn the 2020 election, and his handling of classified documents.

Moreover, the court order stays certain restrictions imposed on Trump and his sons by a trial judge, indicating a complex legal landscape ahead for the former president and his associates.

Over a week before this ruling, Trump secured a $91.6 million appeal bond from a subsidiary of Chubb Insurance Company to address a separate civil court defamation judgment against him. However, Chubb withdrew from discussions regarding a second bond for the fraud case, citing concerns about its involvement.

For now, with the reduced bond requirement, Trump's assets are safe from immediate seizure, offering him a respite amidst ongoing legal turmoil. 

READ NEXT: Donald Trump Throws a Social Media Tantrum as $464 Million Bond Deadline in Fraud Case Nears

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