Eric Trump Claims Undervaluation of Mar-a-Lago in Fraud Case
According to Eric Trump, a New York judge has severely undervalued Mar-a-Lago by approximately $1 billion in a recent ruling that held him and his father accountable for fraud. The ruling, issued by Judge Arthur Engoron on Sept. 26, found former President Donald Trump and his Trump Organization liable for fraud in a civil suit brought by New York Attorney General Letitia James. The suit also names Eric Trump and Donald Trump Jr. as defendants.
Letitia James is seeking penalties of $250 million and the removal of the three defendants from their positions in the company, as well as a ban on holding executive posts in New York State. Within 10 days, they must recommend three independent reviewers to manage the dissolution of the Trump Organization and its related holdings. A non-jury trial is scheduled to begin on Oct. 2.
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“In an attempt to destroy my father and kick him out of New York, a Judge just ruled that Mar-a-Lago, in Palm Beach Florida, is only worth approximate[ly] ‘$18 Million dollars,'” wrote Eric Trump, executive vice president of Trump Organization, on X (formerly Twitter). “Mar-a-Lago is speculated to be worth we’ll [sic] over a billion dollars making it arguably the most valuable residential property in the country. It is all so corrupt and coordinated.”
‘Collateral Damage’
Eric Trump expressed in another social media post that he feels like “collateral damage” in the political attacks against his father, who is leading the Republican candidates by a wide margin in polls and campaigning for the presidency in 2024.
“While everyone can see that this case is egregious, the only thing worse than weaponizing the legal system against a political opponent is unfairly going after their family,” he wrote.
“Both the Attorney General and the Judge know I had absolutely NOTHING to do with this case. Every single person has testified that my job has always been acquiring, developing, and managing properties, not back office functions. The only reason I am collateral damage is because my last name is Trump and I am unwavering in the support of my father, his accomplishments, and what he has done for our country, a nation which is now rapidly in decline.”
He added that he was disillusioned by the justice system.
“Today, I lost all faith in the New York legal system,” he said. “Never before have I seen such hatred toward one person by a judge – a coordinated effort with the Attorney General to destroy a man’s life, company, and accomplishments.”
“We have run an exceptional company – never missing a loan payment, making banks hundreds of millions of dollars, developing some of the most iconic assets in the world. Yet today, the persecution of our family continues,” he wrote.
Mar-a-Lago
“The real estate circles in Florida are laughing at this foolishness,” Eric Trump wrote, sharing real estate listings from the area.
Homes ranging from 5,000 to 11,500 square feet and located further from the beach than Mar-a-Lago were listed at prices near $40 million. Mar-a-Lago, a waterfront-facing resort-turned-club spanning 62,000 square feet, boasts a spa and other luxurious amenities. President Trump acquired the property in 1985 during a market slump.
The 20-acre plot was originally developed by heiress Marjorie Merriweather Post and architects Marion Sims Wyeth and Joseph Urban. Completed in 1927, the property was willed to the government by Ms. Post, who was then the richest woman in America, to be used as a warm-weather retreat for the President.
However, the cost of maintenance reached $1 million annually, leading the government to return the building to the Post Foundation in 1981.
President Trump has often referred to Mar-a-Lago as his “winter White House,” which aligns with Ms. Post’s original vision.
An aerial view of Mar-a-Lago, the Florida home of former President Donald Trump, on Aug. 15, 2022. (Marco Bello/Reuters)
Fraud Case
Letitia James filed a motion seeking a pre-trial summary judgment from the court, alleging that President Trump had overvalued his properties by up to $2.2 billion.
This claim is one of seven in James’s petition, and the judge is expected to rule on the remaining six.
James contends that from 2011 to 2021, President Trump, Eric Trump, and Donald Trump Jr. engaged in “numerous acts of fraud and misrepresentation” in their financial documents, leading insurers and lenders to offer lower prices. James has interviewed 65 witnesses, including President Trump himself.
In April, President Trump was deposed for seven hours, and his attorneys released the 479-page transcript of his testimony in a motion opposing James’s request for a summary judgment without trial.
Judge Engoron ruled on Tuesday that James had provided sufficient evidence of liability for false valuations of several properties, including Mar-a-Lago, and that President Trump’s testimony contained comments that were “wholly without basis in law or fact.”
President Trump has vehemently denied any wrongdoing and issued a lengthy statement denouncing the judge’s decision.
What penalties is Letitia James seeking in the fraud case against the Trump Organization?
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Eric Trump, the son of former President Donald Trump, has made a claim that Mar-a-Lago, the family’s private club in Palm Beach, Florida, has been undervalued in a recent fraud case. According to Eric, a New York judge has severely underestimated the value of Mar-a-Lago by approximately $1 billion.
The ruling, issued by Judge Arthur Engoron on September 26, found Donald Trump and the Trump Organization liable for fraud in a civil suit brought by New York Attorney General Letitia James. Eric Trump and Donald Trump Jr. are also named as defendants in the case.
Letitia James is seeking penalties of $250 million and the removal of the three defendants from their positions in the company, as well as a ban on holding executive posts in New York State. Within 10 days, they must recommend three independent reviewers to manage the dissolution of the Trump Organization and its related holdings. A non-jury trial is scheduled to begin on October 2.
This latest development comes as Eric Trump claims that the valuation of Mar-a-Lago in the fraud case is inaccurate. He argues that the property, which is known for its luxury and exclusivity, is worth much more than what the judge has determined.
Mar-a-Lago has long been a source of controversy and criticism for the Trump family. The club has faced scrutiny for potential conflicts of interest and violations of ethics rules during Donald Trump’s presidency. The fraud case brought by Letitia James adds to the legal challenges faced by the Trump Organization.
It remains to be seen how the upcoming non-jury trial will unfold and what impact Eric Trump’s claim of undervaluation will have on the case. The outcome of the trial could have significant consequences for the Trump Organization and its future operations.
Meanwhile, the related stories surrounding Mar-a-Lago continue to attract attention. Recent articles have discussed Donald Trump’s willingness to testify under oath regarding the case, as well as the listing of Mar-a-Lago as sold on a real estate website. These stories further contribute to the ongoing public interest in the Trump family and their business dealings.
As the legal battle over Mar-a-Lago unfolds, the Trump Organization and its executives must navigate the challenges and repercussions of the fraud case. The future of the family’s private club hangs in the balance, as does the reputational and financial standing of the Trump Organization.
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