President Trump’s New York fraud debt tops $500 million

President Trump’s debt to New York from a civil fraud judgment passed $500 million on Tuesday, as interest continues to accrue while he appeals.

The figure has been growing ever since a lengthy civil fraud trial ended with Mr. Trump, two of his sons and a former Trump Organization executive ordered to pay back $364 million in disgorgement for “ill-gotten gains” and $100 million more in interest dating back years. 

They appealed the February 2024 judgment but interest has continued to build, at a rate of more than $114,000 per day. The total for all defendants hit $500 million on Dec. 29. 

That figure is now nearly $512 million, and Mr. Trump’s personal share — 98% of the total judgment — was at $500,070,167.42 on Tuesday morning, according to a spokesperson for New York Attorney General Letitia James, who brought the case against Trump and others.

James’s office has said the judgement reflects the size of Mr. Trump’s profits from fraud. The defendants were accused of a multi-year scheme to cheat banks and insurers by inflating property valuations and estimates of Mr. Trump’s wealth.

James declined to comment Tuesday. Attorneys for Mr. Trump did not reply to requests for comment.

Judge Arthur Engoron said evidence proved “over and over again” that the defendants provided “blatantly false financial data” to Mr. Trump’s business partners. Engoron concluded that the scheme allowed Mr. Trump and his company to gain massive windfalls through deal terms that they wouldn’t have otherwise gotten. 

Mr. Trump blamed his employees and others during several hours of testimony in November 2023. Trump said on the stand that his company “underestimated” the value of his properties, because the value of his brand was not being factored into the estimates at the heart of the case.

He claimed the case was brought in order to tarnish his reputation.

Soon after the judgment, Trump and his co-defendants brought the case to New York’s Appellate Division, First Department. In September, at least two of five justices on the appeals panel appeared skeptical of the size of the judgment. One called it “immense” and “troubling.” 

Nearly six months later, the court has yet to rule, and the debt continues to grow.