Trump held in contempt, faces $10K-per-day fine in New York AG’s probe
A New York judge on Monday held Donald Trump in contempt — and fined him $10,000 a day — for failing to comply with a subpoena for documents in Attorney General Letitia James’ probe of his company’s business dealings.
“Mr. Trump, I know you take your business seriously, and I take mine seriously, I hereby hold you in civil contempt and fine you $10,000 a day,” said Manhattan Supreme Court Justice Arthur Engoron before striking the gavel.
James asked for the civil contempt order earlier this month, arguing that the former president failed to meet a court-ordered March 31 deadline to turn over materials as part of her office’s investigation into the Trump Organization.
The ex-president has blasted the investigation as a “witch hunt” while fighting it in court.
Defense lawyers for Trump, who wasn’t at Monday’s hearing, claimed he didn’t have any of the documents requested in the AG’s civil probe.
But Engoron ruled there wasn’t evidence to show that Trump had conducted a proper search of his documents when he responded to James’ subpoena by claiming he had nothing to turn over.
“In particular there is no admissible evidence of who, what, where, when and how any search was conducted,” Engoron said, noting that Trump’s boilerplate response to the subpoena, “just doesn’t cut it.”
“Thus Mr. Trump didn’t comply,” the judge said.
Earlier in the hearing, Trump lawyer Alina Habba maintained that her client was in the clear because any documents he might have were already being turned over to the AG’s office through the Trump Organization.
But Engoron pressed Habba on why Trump hadn’t submitted a sworn affidavit attesting to that fact.
“I feel like there is an 800 pound gorilla in the room here. Why don’t we have an affidavit from [Trump]?” the judge said, noting that the ex-president has been running the company for decades.
“I’m happy to, if they ask for it,” Habba said of the AG’s office. “I would be happy to do so because he doesn’t have anything left to give.”
Engoron responded, “How do you know he will swear to that?”
“Because my client is an honest person, much to the dismay of some of the people in this room,” Habba said. “We have nothing to hide.”
Engoron noted: “There is a difference between saying something and saying something under oath.”
During oral arguments, Habba called the AG’s probe a “political crusade” that “continues to grow and expand” and has cost the Trump Organization millions of dollars in legal fees.
“This is a poor utilization of tax payers’ dollars,” Habba said of the investigation, noting it “cannot be allowed to aimlessly go on when the cost to my client and the public is so high.”
Andrew Amer, a lawyer for the AG’s office, said investigators were being hampered “because we don’t have evidence from the person that sits at the top of this organization.”
“Our patience is at an end and so should the court’s be,” he said.
Getting documents from the Trump Organization has been like “pulling teeth,” he added, explaining why the investigation has been dragging on. The probe is extremely complex since each of the company’s assets “is like a Russian nesting doll,” that leads to further investigation,” Amer said.
“For years, Donald Trump has tried to evade the law and stop our lawful investigation into him and his company’s financial dealings,” James said in a statement after Engoron’s decision. “Today’s ruling makes clear: No one is above the law.”
Outside court, Habba said that Trump’s legal team plans to appeal the ruling.
“We respectfully disagree with the court’s decision today,” Habba told reporters. “This does not even come close to meeting the standard on a motion for contempt. And thus we intend to appeal this decision.”
James opened up an investigation in 2019 after Congressional testimony from Trump’s former lawyer Michael Cohen that Trump exaggerated company assets to get an advantage on taxes, loan applications and for insurance purposes.
The AG then filed suit in 2020 against the company and Eric Trump claiming they were stonewalling the probe.
