Trump Florida properties could be targeted by New York attorney general, if she wins bid for $250 million penalty – Sun Sentinel

In the wake of a New York judge’s ruling that Donald Trump and his Trump Organization committed civil fraud, the former president’s trophy Florida properties have become potential low-hanging fruit for seizures to help cover a $250 million penalty sought by State Attorney General Letitia James.

But any confiscation of properties such as mansions, golf courses, hotels and office buildings, wherever they may be, is likely to be a long time coming, according to legal observers. They note that the penalty phase of the case, which started Oct. 2 as a bench trial before New York State Supreme Court Justice Arthur Engoron, will last well into December. And then, any ruling against Trump would be bound to be appealed all the way to the Court of Appeals, the top level of the state’s court system.

If James prevails and she ultimately decides to come to Florida to pursue trophy properties such as the venerable Mar-a-Lago estate in Palm Beach, the Trump National Doral Miami golf courses in Miami-Dade County or the Trump National Golf Club Jupiter, she would have to ask a Florida court to recognize a civil judgment obtained from Engoron.

James, in her lawsuit, said she is seeking “the awarding and disgorgement of all financial benefits” obtained by Trump, his two sons, Eric and Donald Trump Jr., and various companies “from their fraudulent scheme.”

But it’s too early to be contemplating the enforcement of a New York judgment in a Florida court, lawyers say, noting that Engoron’s finding that Trump committed fraud is on appeal. During personal appearances at trial in New York last week, the former president angrily denied the findings and openly and repeatedly denounced both the judge and James.

“I think it’s too early to tell,” said David Weinstein, a former federal prosecutor now in private practice with the Jones Walker firm in Miami. “We have to see what the rest of the trial brings.”

“They’ve appealed his order,” he added. “It’s final, but it’s not final. I don’t think anyone has to worry about having their tee times canceled.”

All fair game?

Still, any properties owned by the Trump empire are potential confiscation targets to help satisfy any financial judgment James’ office might win on New York State’s behalf if legal events fall in her favor as they have thus far. experts say.

“Every one of the properties listed is a candidate for seizure,” said Robert Jarvis, professor of law at the Shepard Broad College of Law at Nova Southwestern University in Davie.

“Once (the New York judgment) is turned into a Florida judgment she can enforce her judgment against any property Trump has in Florida,” he said.

The Florida Enforcement of Foreign Judgment Act is what allows holders of civil court judgments from other states to collect what they are owed.

“It can get very complicated depending on who the judgments are against and how the properties are held,” said James D. Silver, a partner at the law firm of Kelley Kronenberg who specializes in complex commercial litigation, bankruptcies and receiverships.

If a judgment is being appealed, he said, the person or entity who has been ordered to pay up and wants to delay payment until the appeal is over could be required by the court to put up a “supersedeas bond” to ultimately ensure payment.

It’s not as if James would lack choices in identifying properties to seize. After a three-year investigation, she alleged Trump “engaged in numerous acts of fraud and misrepresentation” over multiple years. In a lengthy summary, the suit alleges that Trump overstated the value of nearly two dozen commercial properties in order to secure lower interest rates on loans and lower premium payments for insurance.

Properties spotlighted in the suit included major Trump holdings in New York City and in the northern suburb of Westchester County. The Florida properties are also included, as well as 10 golf courses around the United States and in Scotland.

Besides the golf courses in Doral and Jupiter, Trump operates the Trump International Golf Club outside of West Palm Beach, a favorite retreat when he’s in town, but the land it occupies is leased from the county.  .

In her lawsuit, James noted there are ”500 separate entities that collectively do business” under the Trump Organization umbrella. Ivanka Trump was dropped from the case due to the statute of limitations.

“She is not limited to the properties she has listed,” Jarvis said of James. “Let’s say Trump has a hidden interest in a hotel in Aruba she does not know about. It does not mean she cannot get it if she hasn’t discovered it.”

But of all of the properties listed, the Florida holdings have drawn an abnormal amount of media attention as the courtroom testimony droned on.

Mar-a-Lago

The Palm Beach estate worth at least tens of millions (or more than a billion?), became the focal point of courthouse and social media dueling over its value last week when Trump himself appeared in court.

Between 2011 and 2021, according to court papers, the property has been valued for tax purposes at between $18 million and $27.6 million, according to the Palm Beach County Property Appraiser. In his order, Engoron relied on those figures as the “market value.”

In a 35-page order finding fraud on the part of Trump, the judge ridiculed estimates given by longtime Palm Beach real estate broker Lawrence Moens, who asserted in an affidavit as an expert defense witness that the estate’s value could exceed $1.5 billion.

The judge pointed to a deed Trump signed nearly 30 years ago that gave him the right to operate Mar-a-Lago as a club, but negated his ability to use it as a residence or to build additional homes there. The revised status led to the lower valuations by the property appraiser’s office, a factor that was not lost on the judge.

“In defendants’ world: rent-regulated apartments are worth the same as unregulated apartments; restricted land is worth the same as unrestricted land; restrictions can evaporate into thin air; a disclaimer by one party casting responsibility on another party exonerates the other party’s lies,” the judge wrote in his order.

Last Thursday, U.S. Rep, Jarad Moscowitz, whose congressional district includes parts of Palm Beach County, stepped into fray by writing a letter to property appraiser Dorothy Jacks, urging that she re-appraise the property to reflect higher numbers.

“Mar-a-Lago was listed as worth $490 million in financial documents given to banks,” the congressman wrote. “If the property value of Mar-a-Lago is so much higher than it was appraised, will you be amending the property value in line with the Trump family’s belief that the property is worth well over a billion dollars?”

“I just sent this letter today, so I have not yet received any correspondence from the Palm Beach County Appraiser’s Office,” Moscowitz said in an email sent to the South Florida Sun Sentinel via his press secretary.

Asked if he expects any local or Florida state law enforcement agencies to follow in the investigative footsteps of the New York attorney general, he replied:  “I will leave it up to county officials to decide whether or not they have been denied tax revenues or if any legal actions need to be taken. The purpose of my letter was simply to question the inconsistency between Trump’s allegations and the amount of property taxes he has been paying.”

Prayers in Doral

Some Trump supporters hope the power of prayer will overcome the power of the courts and state and federal law enforcement. Besides the potential dismantling of Trump’s New York businesses through a court-ordered revocation of their  certificates allowing them to  operate in the state, the former president faces federal and state indictments in Washington and Georgia for alleged interference in the 2020 election, and a federal indictment alleging the mishandling of classified government documents in Florida.

Trump National Miami in Doral, the site of countless popular professional golf tournaments over the decades, will become the scene of a prayer conclave for Trump next Thursday.

The group “Pastors for Trump” have lined up speakers including retired Lt. Gen. Michael Flynn, (pardoned by Trump after pleading guilty in the Russia election interference probe conducted by special counsel Robert Mueller), political adviser Roger Stone and pastor/entrepreneur Jackson Lahmeyer of Tulsa, Oklahoma.

“Together, we will unite in prayer, seeking a successful legal outcome for President Trump amidst the challenges he faces,” said an emailed invitation in circulation last week from the pastor group. .

“Despite these hurdles, we have thrilling news to report: President Trump is surging in the polls and is expected to make a triumphant return in 2024,” the message said. “Our collective efforts can play a pivotal role in shaping the future of our great nation. We encourage you to stand with us in prayer and take action to safeguard America’s future.”

But even then, fresh legal initiatives against Trump may not be over. James, according to her lawsuit, referred her findings to the U.S. Attorney for the Southern District of New York.