Former President Donald Trump’s properties are facing the possibility of being liquidated and sold off at auction following a court ruling that found him guilty of fraud.
Newsweek reported on Wednesday, October 4 that the ruling, delivered by Judge Arthur Engoron, has already led to the revocation of corporate licenses for some Trump companies, marking a significant blow to the former president’s business empire.
The decision comes as a pivotal development in Trump’s ongoing civil fraud trial, where he and his adult sons, along with The Trump Organization and other affiliated businesses, have been accused of inflating the values of several properties for financial gain.
Among the properties under scrutiny are Trump’s Mar-a-Lago residence in Palm Beach, Florida, and his triplex in Manhattan at the Trump Tower.
Former New York assistant attorney general, Tristan Snell, commented on the situation, stating that the worst outcome for Trump has already occurred with the cancellation of corporate licenses, and the likely liquidation and auction of properties loom on the horizon.
“The properties are probably going to be sold at auction. That’s probably what is going to happen. We don’t know that for sure, but that is probably where this is headed. So [Trump] is already really, really in trouble,” Snell told MSNBC.
Despite the former president’s vehement protests of innocence, Judge Engoron’s summary judgment last week ordered the rescission of business licenses in New York and the transfer of property-owning companies to independent receivers.
Trump’s legal team has vowed to appeal the decision, challenging the figures used to determine the overvaluation of properties.
Donald Trump personally appeared in court on Monday, October 2, expressing his determination to “fight for my name and reputation” as the trial delves into the remaining allegations against him and his associates.
The ongoing trial, with a $250 million civil lawsuit brought by New York Attorney General Letitia James, alleges that Trump inflated his net worth by billions of dollars to secure favorable loan terms from banks.
The charges now extend to whether Trump and his associates falsified business records issued false financial statements, and committed insurance fraud.
Notably, Trump’s daughter, Ivanka Trump, was initially named as a co-defendant in the case.
However, a court order filed earlier this year dismissed her from the lawsuit due to claims accrued before February 2016 and her exclusion from a 2021 tolling agreement.
Ivanka’s potential role as a witness in the case has raised intrigue, as legal experts suggest it could hint at cooperation and the possibility of damaging evidence against her family during the trial.