Judge Compares Trump’s Alleged Fraud to Madoff Ponzi Scheme in New York Trial: A Closer Look

New York, NY – During the closing arguments of Donald Trump’s fraud trial, the judge posed a question that drew a comparison between the alleged fraud and Bernie Madoff’s Ponzi scheme. The attorney from the New York attorney general’s office responded by stating that while the fraud in question was smaller in scale, both cases demonstrated a sense of entitlement.

The judge presiding over the three-month nonjury trial, New York Supreme Court Justice Arthur Engoron, interrupted the closing arguments to inquire about the similarities between the two fraudsters. He remarked that although he typically enforces the law rather than morality, certain cases warrant consideration of ethics. Attorney Kevin Wallace, representing New York Attorney General Letitia James, acknowledged that the frauds conducted by Trump and Madoff differed in scope but suggested that a sense of entitlement united them.

Wallace argued that Trump’s defense relied on claims that had already been rejected by the judge or on appeal. These defenses included subjective valuations, Trump’s wealth, the preference of banks for wealthy individuals, the sophistication of counterparties, the absence of victims, and the repayment of loans, among others.

According to Wallace’s colleague, Andrew Amer, another assistant attorney general, trial testimony exposed Trump’s involvement in a conspiracy to inflate his net worth. The judge has expressed his intention to deliver a verdict by the end of January.

In addition to seeking $370 million in financial penalties, the attorney general’s office aims to bar Trump permanently from running a business in New York. They also propose shorter bans on his real estate transactions in the state.

In September, prior to the trial’s start, Engoron determined, based on two years of pre-trial evidence, that Trump had engaged in persistent fraud. The judge has ordered the dissolution or sale of Trump’s impacted assets, and although this penalty is currently stayed on appeal, it could potentially lead to the demise of the Trump Organization.

To get further insight into the trial, please refer to the original article on Business Insider.

In summary, the judge overseeing Donald Trump’s fraud trial in New York made a striking inquiry about the similarities between Trump’s alleged fraud and Bernie Madoff’s Ponzi scheme. The attorney general’s case asserts that Trump inflated his net worth by billions of dollars, while the defense maintains that the fraud allegations have been rejected in previous legal proceedings. A verdict is expected soon, and if found guilty, Trump may face significant financial penalties and a ban on future business operations in New York.