Knight Specialty Insurance is offering a $175 million loan to former President Donald Trump to cover the bond needed to fend off the New York attorney general. Letitia James from seizing his assets while he appeals a $454 million verdict in his financial fraud trial. The company is owned by billionaire Don Hankey, who made his fortune by offering high-interest, low-credit car loans. Here are the latest legal developments involving the Republican presidential nominee.
New York Financial Fraud
Knight Specialty Insurance Pays Trump's $175 Million Fraud Trial Bond
Key players: Knight Specialty Insurance CEO Don HankeyJudge Arthur EngoranNew York Attorney General Letitia JamesTrump lawyer Alina Hubba
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On Monday, Knight Specialty Insurance Company loaned Trump $175 million to cover his bond in a civil fraud investigation. Bloomberg reported. The company is owned by Hankey, who said he approached Trump about the loan.
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“That's what we do at Knight Insurance, and we're happy to do it for anyone who needs insurance,” Hankey said. Associated Press.
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Last month, a New York appeals court judge reduced the bond amount from $464 million (110% of Egoron's judgment) to $175 million, saying Trump's lawyers had been rejected by 30 creditors for higher amounts.
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“Yes, I voted for him in the past, but this is a business deal, this is what we do,” Hankey said of the loan, and Trump used the money as collateral.
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By posting a $175 million bond, Trump is preventing James from seizing his assets while he appeals Engron's ruling.
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The New York State Appellate Division has said it will hear arguments in September.
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If Trump wins the appeal, he will get the bond amount back. If he loses, he must immediately pay Engoron the remaining original judgment with accrued interest from the date of the original judgment.
Why is it important?: While Trump indicated he had nearly half a billion in cash reserves during the fraud investigation, he told an appeals court judge he wanted to use it freely for the 2024 presidential campaign. After receiving a loan from Hanky's company, he is now free, at least in the meantime, to spend it.
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Monday, April 1
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Following multiple attacks on former President Donald Trump's daughter, Judge Juan Merchon expanded his gag order in the money investigation to include family members. Hope HicksThe man, who served as Trump's spokesman and communications director during the 2016 campaign, is expected to be called as a witness in the New York hush money trial, which begins April 15, a source tells MSNBC. Since stepping down as a top White House adviser in 2018, Hicks has testified before a New York grand jury investigating Trump's payments to adult film star Stormi Daniels and before a House select committee Jan. 6. Here are the latest legislative developments facing the 2024 Republican presidential nominee.
New York hush money
Judge Kak expands on the order
Key Players: Judge Juan Merson, Democratic political consultant Loren MersonManhattan District Attorney Alvin Bragg
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On Monday, a New York judge expanded the gag order he placed on Trump in the hush money trial, which is set to begin April 15, to prevent him from assaulting potential witnesses, jurors and court employees. team, Associated Press reported.
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“This pattern of attacking family members of presiding judges and attorneys assigned to his cases serves no legitimate purpose,” Merchan wrote in his order. “This instills fear in not only them, but also their family members, who are designated as 'fair game' for the defendant's gimmick or invited to participate in the proceedings.”
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On Trump's social media site, Truth Social, he targeted Lauren Merchan, the daughter of a former presidential judge, posting a photo of Trump behind bars and falsely accusing her of making money by “working to 'get Trump.'
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Earlier in the day, Bragg asked the judge to expand the gag order, saying Trump's “dangerous, violent and reprehensible rhetoric fundamentally threatens the integrity of these proceedings.”
Why is it important?: Merchan has shown little reluctance to rule against Trump so far in the case, and Trump seems intent on pushing the judge's limits. If it continues, Trump could face jail time if he violates the judge's order.
Source: Hope Hicks to testify in hush money case
Key Players: He is the former communications director and press secretary for Trump's 2016 presidential campaign Hope HicksFormer Trump lawyer Michael CohenAdult film star Stormy DanielsFormer Playboy model Karen McDougal, Former US Media CEO David BeckerManhattan District Attorney Alvin Bragg
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Brack will call Hicks as a prosecution witness in the hush money trial, which begins April 15. said MSNBC.
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last year, Hicks testified before a New York grand jury It voted to indict Trump on charges of violating campaign finance and tax laws in 2016 when he paid Daniels to cover up an extramarital affair.
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Cohen alleges that Hicks was part of a phone call on October 8, 2016, when Daniels told Trump she was going to share her story about the affair with the National Enquirer.
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Hicks, according to Cohen, reached an agreement with Trump to pay Daniels $130,000.
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Hicks became Trump's top White House adviser following his 2016 election victory, but stepped down in 2018.
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Hicks also testified Before a House select committee Jan. 6 He told Trump there There is no evidence for his claims The 2020 presidential election was “rigged”.
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Prosecutors say Becker met with Trump in 2015 and set up a “catch or kill” arrangement whereby a national investigator would pay McDougal for her story about an extramarital affair with Trump.
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Both Becker and McDougall are expected to be called as witnesses during the trial.
Why is it important?: While Hicks has long been a trusted member of Trump's inner circle, he has cooperated with those investigating the former president's conduct. It's because he believes that if Bragg calls her on the witness stand, she will strengthen his case.
