Former President Donald Trump is in a big legal fight with New York’s attorney general, and he has an important deadline coming up. By Monday, he needs to provide a financial guarantee to settle a massive $454 million civil fraud lawsuit against him.
However, Trump is having trouble finding a way to get a bond for the full amount. More than 30 companies that provide bonds have said no, thinking it’s too much money to cover.
If Trump doesn’t meet the deadline, Attorney General Letitia James can start trying to collect the money. This could mean taking over Trump’s assets, like his Trump Tower penthouse, golf courses, and bank accounts.
Even though it’s common for people to lose their assets when they can’t pay civil penalties, it might not happen right away, and there could be legal obstacles.
The lawsuit against Trump claims he lied about how much money he had on financial documents for many years. Despite Trump saying he didn’t do anything wrong, the court decided in favor of the state and said he had to pay $355 million plus interest.
Trump waves hands to the media (Via Joe Head /Getty Images)
Trump has tried to appeal this decision, but he hasn’t been successful. Now, he’s under a lot of pressure to find a solution.
Even though Trump says he’s rich, most of his money is tied up in things like real estate, which makes it hard to get enough cash. He recently sold some things to get more money, but it’s not clear how much he has now.
Trump also has other legal problems, like a lawsuit where he was ordered to pay $83.3 million for defamation.
The longer Trump waits, the more money he’ll have to pay because of interest. People are wondering if he might file for bankruptcy or use his new social media business to help with his finances as the deadline gets closer.
