Trump goes from anger to praise for judge in his NY fraud case

Last week Judge Arthur Engoron ruled that Trump and his two sons (and several other entities and people) were liable for overstating the value of his holdings. Essentially this was the civil case equivalent of finding him guilty of fraud.

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In his 35-page ruling, Judge Arthur Engoron said Trump continually lied on his financial statements and was able to get favorable loan terms and lower insurance premiums as a result. Trump’s legal arguments defending the statements are based in “a fantasy world, not the real world,” Engoron wrote.

The judge went on to say that the case was essentially a “documents case,” and “the documents here clearly contain fraudulent valuations that defendants used in business, satisfying [the attorney general’s] burden to establish liability as a matter of law against defendants. Defendants’ respond that: the documents do not say what they say; that there is no such thing as ‘objective; value; and that, essentially, the Court should not believe its own eyes.”

“The defenses Donald Trump attempts to articulate in his sworn deposition are wholly without basis in law or fact,” Engoron added.

That ruling didn’t seem to leave much left to decide in the actual trial except how much Trump would have to pay. AG Letitia James was seeking a judgment of $250 million. As Karen pointed out earlier, Trump showed up for day one of the trial and the judge ruled that no cameras would be allowed, though reporters were able to snap a few photos of Trump before the trial began. Some noted that Judge Engoron acted like he was having a good time.

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Outside of the court house, AG Letitia James made a statement saying she would prove her case in court.

Trump started the day by calling AG James a racist and the case against him a “horror show.” More to the point, he argued for a no harm no foul standard, i.e. since none of the banks who loaned him money lost anything there was no underlying harm to anyone.

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Ken Dilanian appeared on NBC News and noted that Trump was correct about the banks involved not losing any money, but obviously that didn’t matter to AG James or to Judge Engoron.

There was a break in the trial and Trump came out and this time focused his comments more on Judge Engoron. “This is a judge that should be disbarred,” Trump said, among other things.

When the trial broke for lunch, Trump again gave a brief statement in which he cited the judge’s ruling that Mar-a-Lago was worth $18 million as an error. Trump suggested his club was actually worth over a billion. “We’re wasting our time with this trial with a Democrat judge from the clubhouses. It’s a disgrace,” Trump said.

If you’re wondering what they had for lunch, that mystery has been solved.

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After lunch, Trump’s former accountant Donald Bender was called to testify:

Mr Bender says he prepared documents of Trump’s assets and liabilities and that he would take the information given by his client presented in a financial statement. He says that before technology improved, he would go to Trump Tower in person to obtain the necessary documents and put them in a binder. Then technology changed, he says, and they were able to get the records by email…

This technical accounting testimony, despite its dry nature, manages to hold the courtroom’s attention as it sheds light on the intricacies of Trump’s financial documentation.

Near the end of the day, Trump reportedly got upset with Bender’s testimony:

At times, he appears to be very upset with his face turning red. At one point, Trump turned to Cliff Robert, the attorney for his adult sons, and whisper-yelled at him, while pointing and waving his finger.

So given all that seemed to go on today, you may be surprised to hear that Trump ended the day by saying the last 5-minutes of the trial was “outstanding” and that the judge’s statement was “very fair.”

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That’s quite a dramatic change in tone. I haven’t seen a reaction from AG James yet. We’ll have to wait and see if this really does put an end to 80% of the case, but obviously if that’s true it would be a significant change for Trump.

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