Trump’s $175 Million Bond for Civil Fraud Case Backed by Cash, Lawyers Say

CNN
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Lawyers for former President Donald Trump said it is Bonds $175 million posted to satisfy the judgment in New York civil fraud case financially, and asked the judge to set aside the judge the lawyer’s challenge to the bond and shall pay him costs and fees.

In court filings Monday night, Trump said the bond acquired by Knight Specialty Insurance Company is backed by Trump’s Charles Schwab account with more than $175 million in cash. Knight Specialty can take control of the Schwab account and is fully supported by its parent company to take any risk, one of Trump’s files said.

“The DJT Trust granted KSIC a security interest in a Schwab brokerage account, in which the DJT Trust is obligated to hold at least $175 million in cash or cash equivalents at all times,” according to a filing. was filed in support of the bond by Gregory Serio, former New York state insurance director and partner at Park Strategies, a government consulting firm.

“KSIC also has a standing agreement with its parent company, Knight Insurance Company, Ltd. (‘KIC’), whereby KIC will reinsure 100% of KSIC’s risk,” the confirmation said. “The $175 million bond at issue is adequately secured.”

Earlier this month, the attorney general’s office challenged the underwriter’s financial ability to stand in for the bond. Judge Arthur Engoron scheduled a hearing for next week.

Trump’s lawyers argued that a hearing is not necessary.

“The documentary evidence supporting justification is overwhelming and eliminates any need for a hearing to set aside the exception or to justify KSIC as a bailout,” Trump’s lawyers wrote in a court filing. .

The attorney general’s office questioned whether Knight Specialty was allowed to underwrite bail bonds in New York state and whether it lacked a certificate from the state governor saying it is qualified.

Trump’s lawyers said a certificate is not the only evidence of financial well-being.