Trump fraud trial live updates: Donald Trump set to attend trial today – ABC News
LIVE UPDATES
The former president is on trial in New York for allegedly defrauding lenders.
Former President Trump speaks out at civil fraud trial
Former President Donald Trump is on trial in New York in a $250 million civil lawsuit that could alter the personal fortune and real estate empire that helped propel Trump to the White House.
Trump, his sons Eric Trump and and Donald Trump Jr., and other top Trump Organization executives are accused by New York Attorney General Letitia James of engaging in a decade-long scheme in which they used “numerous acts of fraud and misrepresentation” to inflate Trump’s net worth in order get more favorable loan terms. The trial comes after the judge in the case ruled in a partial summary judgment that Trump had submitted “fraudulent valuations” for his assets, leaving the trial to determine additional actions and what penalty, if any, the defendants should receive.
The former president has denied all wrongdoing and his attorneys have argued that Trump’s alleged inflated valuations were a product of his business skill.
During a short break in testimony, Donald Trump applauded the findings of accounting expert Eli Bartov, who testified that he found no evidence of accounting fraud in Trump’s statements of financial condition.
“He reviewed fully the documents that this horrendous attorney general has put forward, and he found absolutely no fraud, accounting fraud of any kind,” Trump told reporters.
Trump, however, acknowledged that Judge Engoron might not be swayed by Bartov’s testimony.
“We will probably go forward and I’m sure nothing will have any bearing on what this judge does,” Trump said.
Donald Trump’s overstatement of the value of his Trump Tower penthouse apartment was a mistake, according to accounting expert Eli Bartov — but not fraud.
“The price was inflated. There is no question about it,” Bartov said about Trump more than doubling the value of his triplex apartment on his statement of financial condition, from $80 million to $180 million, between 2011 and 2012.
Bartov chalked up the mistake to the inevitable errors that occur in the process of compiling a statement of financial condition. He said that if Trump meant to commit fraud by inflating the value of his apartment, he would have made some effort to conceal it.
“There is no evidence here of concealment,” Bartov said. “It’s true this is an error. But it is no fraud.”
Bartov instead blamed Trump’s external accounting firm for failing to catch the obvious error.
“They submitted to him the supporting documents. Any person that had one year experience in auditing … will immediately see there is a jump from 80 million to 180 million,” he said.
The New York attorney general’s civil fraud complaint against former President Trump lacks merit, a defense expert in accounting testified.
“My main finding is that there is no evidence whatsoever for any accounting fraud,” New York University professor Eli Bartov said. “My analysis shows the statements of financial condition for all the years were not materially misstated.”
Bartov’s testimony bolstered the defense’s contention that non-audited financial statements, like Trump’s, are unreliable and represent only a first step in analysis.
“You cannot use the raw numbers in the statements as the basis for making decisions,” Bartov said. “If you do that, you are likely to reach the wrong decision.”
Judge Engoron asked Bartov whether the attorney general’s complaint had no merit.
“This is absolutely my opinion,” Bartov replied.
“And why is that?” defense attorney Jesus Suarez jumped in to ask.
“There is not a single reference to a specific provision of GAAP that was violated,” Bartov said, referring to the generally accepted accounting principles.” “If you allege there was an accounting violation, they have to tell us what provision was violated.”
State attorneys objected to the relevance of Bartov’s opinion, but Judge Engoron denied the objection.
A panel of five appellate judges has affirmed a judge’s Oct. 6 decision that paused the dissolution of the Trump Organization.
Judge Peter Moulton issued a ruling during the first week of the trial pausing the immediate cancellation of Donald Trump’s business certificates, as ordered by Judge Arthur Engoron in his partial summary judgment ruling on the eve of the trial.
Trump’s attorneys argued in favor of the stay of enforcement action until the end of the trial, and the New York attorney general supported their argument.
Today’s ruling formally pushes a decision on the fate of the Trump Organization into the new year, when Engoron issues his final ruling in the case.