Appeals Court HINTS at MAJOR RULING in Trump FRAUD CASE - Meidas Touch

[Rhiannon12866]

In breaking news, a New York 5 Justice panel may be prepared to substantially lower Trump’s $465 million dollar fraud judgment before the election.

Michael Popok who regularly practices before the court and reviewed the oral argument today, provides his detailed analysis and breakdown as to why the judgment may be reduced by one or $200 million. - 09/26/2024.

[bullimiami]

1. That's why it's just a cost of business.

Punishment needs to fit the crime.

Steal a loaf of bread. Pay back cost plus penalty maybe a day or 2 in the pokey.

Steal a million loaves of bread pay back all plus appropriate penalties. Spend some time in pokey. At least months.

Steal a billion? It’s so fucking wrong that the penalty is less than the proceeds of the crime. And the criminals get no time.

We need Justice reform yesterday.

[LetMyPeopleVote]

2. I watched part of the oral argument in this case

Here is a link to the oral argument
https://www.youtube.com/live/emwvMtwZ53k

Call me cynical but there is a chance that the appeals court has already hinted at a ruling when the court reduced TFG's bond from almost $500 million to a mere $175 million. The judgment in this case was based on two separate damage elements (i) TFG's saving due to lower interest rates due to the fraudulent statements and (ii) disgorgement of all profits realized by TFG due to the fraudulent transactions. Disgorgement is a strange remedy that is sometimes used when no other form or measure of damages is appropriate.

Over $300 million of the judgment against TFG is based on disgorgement of profits from two real estate transactions plus interest on such profits from the date of the transaction. Legally, disgorgement is an extreme remedy that is usually based on the transaction being solely due to the fraud. In other words, there is a position that disgorgement is the appropriate remedy if these transactions were only possible due to the fraud. The two transactions on which disgorgement was ordered were helped by the TFG fraud but such transactions could have been consummated even if TFG had not committed fraud but at a higher interest rate. In addition, disgorgement is an equitable remedy and as such disgorgement is subject to some equitable defenses that the court of appeals may deem applicable.

The balance of the award against TFG is based on the lower interest rate that TFG was charged due to the fraud which amount is around $160 million. It is possible that the court of appeals in signaling that it is not comfortable with the disgorgement damages. TFG's attorneys have briefed the disgorgement issue and it is possible the appellant court may be willing to reduce the award.

I did not listen to TFG's attorney main argument but listened to most of the NY AG attorney oral argument where the judges asked at least twice if the damage are being double counted. I think that the court may well reduce the judgment to a lower amount consistent with the $175 million bond. I can see the court of appeals affirming the interest rate component of the award but having issues with disgorgement as a remedy.

[Rhiannon12866]

3. Thank you so much for the detailed explanation - much appreciated by those of us who are legal novices