Los Angeles Times

New York appeals court won’t halt Trump’s fraud trial

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NEW YORK — A New York appeals judge declined Friday to halt Donald Trump’s civil fraud trial, rebuffing the ex-president’s request to postpone it while he fights a ruling that could strip him of control of such assets as Trump Tower.

The appellate judge said control over the holdings would remain as-is for now.

Friday’s decision came five days into the trial, which Trump attended to observe several days this week.

His lawyers had asked the state’s intermedia­te appellate court to suspend the trial in state Atty. Gen. Letitia James’ lawsuit and to prevent Judge Arthur Engoron from enforcing his ruling last week to revoke the leading Republican presidenti­al candidate’s business licenses and put a court-appointed receiver in charge of his companies.

“This is a massive error. It is irreparabl­e,” Trump attorney Christophe­r Kise told an appeals judge Friday.

“We’re not seeking a delay,” he added. “We’re seeking a fair trial.”

Trump’s lawyers said the ruling could harm not only the ex-president and other defendants but as many as 1,000 employees.

The appellate court last week rejected the defense’s bid to delay the trial before it began.

James’ office has talked to the defense about delaying enforcemen­t of Engoron’s ruling during the trial, state Deputy Solicitor Gen. Judy Vale told the appeals judge.

“We could have resolved some of this, and we’re still happy to do so,” Vale said.

She called the defense’s arguments for a delay “completely meritless,” and noted that the trial was “an enormous endeavor.” It has required extensive planning, security for Trump’s attendance and special arrangemen­ts for media and public access.

James said before the hearing that Trump and the other defendants “can continue to try to delay and stall, but the evidence is clear, and our case is strong.”

Engoron ruled last week that Trump had committed fraud for years in building the real estate empire that vaulted him to fame and the White House.

The judge, ruling on the top claim in James’ lawsuit, found that Trump routinely deceived banks, insurers and others by exaggerati­ng the value of assets on his annual financial statements, which were used in making deals and securing loans.

Trump has denied any wrongdoing, arguing that some of his assets are worth even more than what’s listed on the statements.

Before the appellate ruling, former Trump Organizati­on controller Jeffrey McConney testified in court Friday that values he assigned to Trump’s Mar-aLago resort in Florida — as much as $739 million in 2018 — were based on the false premise that it could be sold as a private residence. Such use is prohibited by Trump’s 2002 agreement with the National Trust for Historic Preservati­on.

The trial is to resume on Tuesday, with Trump’s longtime finance chief Allen Weisselber­g on the witness stand. Weisselber­g, a defendant, oversaw Trump’s dealings, was involved in securing loans and supervised McConney’s work on the financial statements. He recently served about 100 days in jail for dodging taxes on $1.7 million in job perks.

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