According to a report by the "Washington Post" on the 20th, former US President Trump has fewer and fewer options on how to pay a $454 million fine. In this regard, some financial experts said that filing for bankruptcy will point out a clear way for Trump to get out of his financial difficulties. But Trump said he would not consider such an approach.
Previously, New York State Supreme Court Judge Arthur Engolen ruled that the Trump family and companies had obtained loans and tax benefits by exaggerating their net worth for many years, which was suspected of fraud, and therefore sentenced them to pay a fine of 454 million.
"Washington Post" report screenshot
Trump's lawyer said that Trump currently does not have enough cash to obtain a bond to help him delay the payment of fines, because no bond company will accept Trump's debt Much of the wealth is held in real estate as collateral. If the bonds cannot be obtained by next Monday, New York State Attorney General Letitia James may seize Trump's assets, including bank deposits or other properties, such as Trump Tower at 40 Wall Street.
18, "Trump Bankruptcy", "Trump Tower" and other related terms were on the hot search list in the United States on the x platform.
That night, Trump issued a statement slamming Letitia James and the courts as tools of the Democrats and calling the bond amount "unprecedented and nearly impossible for any company, even one as successful as mine." He said: "Bond companies have never heard of a bond of this size before, and even if they wanted to, they would not have the ability to issue this kind of bond."
Trump Tower main entrance, picture source "Washington Post"
In this case Next, some financial experts suggested that Trump file for bankruptcy. The Washington Post analyzed that if Trump personally or one of his companies files for bankruptcy, the execution of the judgment to pay a high fine may be postponed for months or years. And in this case, the thorny question of how and when to pay various creditors was passed to a U.S. federal judge. In the meantime, Trump can focus on his campaign, not the debt issue.
But according to four people close to Trump, Trump did not consider the approach recommended by financial experts, in part because he was concerned that it could harm the results on Presidential Election Day in early November. While filing for bankruptcy could alleviate Trump's immediate cash crunch, it also poses risks for a presidential candidate who has marketed himself as a "successful businessman." Some campaign advisers say Trump's biggest appeal to voters is his financial success.
A source said, "He would rather see the New York State Attorney General and the sheriff who was tasked with seizing Trump Tower together and be hyped by the media than say he is bankrupt. What is he considering?" Politically it would be good for him - bankruptcy would be bad for him, but it might be good to have the property seized."
Because many Trump supporters have expressed strong opposition to the actions of the authorities. The New York Post, a pro-Republican media outlet in the United States, published an editorial on the 18th criticizing the Democratic Party authorities. The commentary believed that using a large number of lawsuits, bails and fines to force Trump into bankruptcy was the Democratic Party using judicial means to prevent Trump from running for election. Suppress competitors.
In fact, filing for bankruptcy is a tactic that Trump has used before - decades ago, he relied on filing for bankruptcy six times to extricate himself from the turmoil of the Atlantic City casino business.
However, bankruptcy lawyer Ivy Moschenberg said that if Trump files for bankruptcy now, while he may not have to pay anything until bankruptcy, it will take several years due to its complexity. The interest on fines will continue to increase. The Washington Post stated that the daily interest on the $454 million fine will exceed $200,000.
