Trump's lawyers negotiate details of $175 million bond payment in front of judge

 April 24, 2024

Former President Donald Trump and his lawyers previously struck a deal that would allow him to keep his New York businesses in the wake of a judgment from the civil case brought against him by AG Letitia James (D). 

According to Politico, the $175 million bond details were quickly negotiated during a 20-minute recess at a hearing this week that could have lasted an entire day, including possible witness testimony.

The bond was originally agreed to while Trump pursues the appeals process in the wake of the civil fraud case judgment.

The judgement amount in the case was $454 million, which Trump was originally ordered to pay in full or else have his properties seized. A judge ultimately let him agree to pay $175 million to prevent the seizure actions.

What's happening?

Judge Arthur Engoron, an avid anti-Trump judge who many believe was not suited to preside over the New York civil fraud trial brought by AG James, handed down the staggering judgment to conclude the trial.

He had concluded that prosecutors successfully argued "that Trump and others had deceived banks and insurers by exaggerating his wealth on financial statements."

The bond amount is meant to stop authorities from seizing his New York properties in the wake of the judgment, but the finer details of how the bond payment is handled were still up for court determination.

Engoron reportedly clashed with one of Trump's lawyers while discussing the terms of the bond money.

Politico noted:

As part of a deal struck during a 20-minute recess, lawyers for Trump and Knight Specialty Insurance Company agreed to keep the $175 million in a cash account that will gain interest but faces no downside risk. The account so far has grown by over $700,000.

It added:

As part of the deal, Knight Specialty Insurance, a Wilmington, Delaware-based part of the Los Angeles-based Knight Insurance Group, will have exclusive control of the $175 million and will submit to the jurisdiction of the New York state court while agreeing not to move the money into mutual funds or other financial instruments.

AG James tried to reject it

In a massive and embarrassing blow to James, also a known anti-Trump activist, the judge rejected her attempt to invalidate the negotiated amount of $175 million, "due to alleged doubts about whether Knight Specialty Insurance could pay up if the situation arose."

"He challenged the bonding company that maybe the bonding company was no good. Well, they’re good. And they also have $175 million dollars of collateral -- my collateral," Trump said of the judge in the case.

It looks as though the terms of the bond agreement have been settled, as of now. But there's no telling what James and her crew will try next.

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Thomas Jefferson
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