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Trump's legal debts top a half-billion dollars. Will he have to pay?

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Trump's legal debts top a half-billion dollars. Will he have to pay?

NEW YORK (AP) — Donald Trump’s legal debts might now exceed a half-billion dollars.

A New York judge ordered Trump and his companies Friday to pay $355 million in fines, plus interest, after ruling that he had manipulated his net worth in financial statements.

The stiff penalty comes just weeks after Trump was ordered to pay $83.3 million to the writer E. Jean Carroll for damaging her reputation after she accused him of sexual assault. A separate jury last year awarded Carroll $5 million from Trump for sexual abuse and defamation.

Add interest payments on top of that and the judgments could deal a staggering blow to the personal fortune that remains core to Trump’s political appeal. He has adamantly denied wrongdoing and pledged to appeal, a process that could take months or even years.

In the meantime, here’s what we know about what Trump owes, whether he’ll have to pay up, and what comes next:

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How much money does Trump owe now?

The verdict in the civil fraud trial requires Trump to pay interest on some of the deal profits he has been ordered to give up. New York Attorney General Letitia James, who brought the case, said the interest payments totaled $99 million and would “continue to increase every single day until it is paid.”

Between Friday’s ruling and the two judgments in Carroll’s case, Trump would be on the hook for about $542 million in legal judgments.

Trump owes another $110,000 for refusing to comply with a subpoena in the civil fraud case and $15,000 for repeatedly disparaging the judge’s law clerk in violation of a gag order. As part of Friday’s ruling, the judge also ordered both of Trump’s sons to pay $4 million apiece.

Trump’s court-ordered debts don’t end there. Last month, he was ordered to pay nearly $400,000 in legal fees to The New York Times after suing the newspaper unsuccessfully. He is currently appealing a judgment of $938,000 against him and his attorney for filing what a judge described as a “frivolous” lawsuit against Hillary Clinton.

Can he get any of these judgments reduced?

It’s not uncommon for the size of judgments, particularly high-dollar amounts, to be reduced on appeals.

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The appeal in Trump’s civil fraud case will go before an intermediate-level court first. If it returns an unfavorable ruling, Trump could try to get the case taken up by New York’s top appellate court, though legal experts say that is unlikely.

How quickly does Trump have to pay?

Trump has already deposited $5 million owed to Carroll for the first defamation case into a court-controlled account, along with an additional $500,000 in interest required by New York law. Carroll will not have access to the funds until the appeals process plays out.

He may soon be forced to do the same for the $83.3 million judgment in the second Carroll verdict. Alternatively, he could secure a bond and pay only a portion up front — though that option would come with interest and fees and likely require some form of collateral. Trump would have to find a financial institution willing to front him the money.

In the civil fraud case, it will be up to the courts to decide how much Trump must put up as he mounts his appeal. And he may be required to pay the full sum immediately after the appellate court rules, which could come as soon as this summer, according to University of Michigan law professor Will Thomas.

“New York’s judicial system has shown a willingness to move quickly on some of these Trump issues,” Thomas said. “When we hear from the first appellate court, that’s a point where money is almost certainly going to change hands.”

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Can Trump afford to pay?

Trump has claimed he’s worth over $10 billion. Most estimates, including an assessment by the New York attorney general, put that figure closer to $2 billion.

In his 2021 statement of financial condition, Trump said he had just under $300 million in “cash and cash equivalents.” He has since made a number of sales, including his New York golf course and his Washington, D.C., hotel, and may also soon get a windfall when his social media company, Truth Social, goes public.

But even with those income streams, it’s unclear whether Trump and his family members have enough cash on hand to pay all the money they now owe.

Could he use campaign contributions — or PAC money — to pay?

Federal election law prohibits the use of campaign funds for personal use. But the rules are far murkier when it comes to tapping political action committees — or PACs — for a candidate’s expenses.

Over the last two years, Trump’s Save America political action committee, his presidential campaign and his other fundraising organizations have devoted $76.7 million to legal fees. Campaign finance experts expect Trump will try to spend PAC money to defray the cost of his judgments in some way.

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“The likelihood of the Federal Election Commission in its current configuration pursuing these violations is not terribly great,” said Daniel Weiner, director of the Brennan Center’s Elections and Government Program.

Can he or his businesses declare bankruptcy?

Under the judge’s ruling Friday, Trump would still be liable to pay even if the Trump Organization declares bankruptcy. If Trump personally declared bankruptcy, the enforcement of the judgment against him would be paused. But political commenters say such a drastic step is unlikely.

Despite the fact that several of his previous companies have gone bankrupt, Trump has repeatedly bragged about the fact that he has never, personally, declared bankruptcy.

What if Trump simply refuses to pay the money?

Legally, Trump would face the same consequences as any American refusing to pay a legal judgment, including the possibility of having his assets seized and his wages garnished.

“The president is not a king and the president’s assets are not sacrosanct just because he happened to be the president,” Weiner said.

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On Friday, the judge overseeing Trump’s civil fraud case appointed an additional monitor to oversee the Trump Organization’s finances, finding they could not be trusted to follow the law. In the event that Trump refused to hand over payments, the courts would have additional discretion to go after Trump and his businesses.

“They have a huge amount of power particularly for someone like Trump who has physical assets inside the state,” Thomas, the law professor, said. “The court might say we’re going to freeze your bank account. Or even worse, they could say, ’We’re seizing Trump Tower and we’re putting it up for sale.’”

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‘If it expires, it expires,’ Trump tells NYT about US-Russia nuclear treaty

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‘If it expires, it expires,’ Trump tells NYT about US-Russia nuclear treaty
  • Trump appears little concerned with treaty expiration
  • Treaty expires on February 5
  • Putin has offered to keep limits if US does
  • China says it would not be ‘reasonable nor realistic’ to ask Beijing to join the treaty
WASHINGTON, Jan 8 (Reuters) – U.S. President Donald Trump indicated he would allow the last U.S.-Russia strategic arms control treaty to expire without accepting an offer from Moscow to voluntarily extend its caps on deployments of the world’s most powerful nuclear weapons, according to remarks released on Thursday.

“If it expires, it expires,” Trump said of the 2010 New START accord in an interview he gave to the New York Times on Wednesday. “We’ll just do a better agreement.”

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Arms control advocates fear the world’s two biggest nuclear powers will begin deploying strategic warheads beyond the pact’s limits after it expires on February 5, hastening an erosion of the global arms control regime.

“There are plenty of advocates in the Trump administration … for doing exactly that,” said Thomas Countryman, a former top State Department arms control official who chairs the board of the Arms Control Association advocacy group.

A White House spokesperson referred Reuters to Trump’s comments when asked if he will accept an offer, opens new tab made in September by Russian President Vladimir Putin for the sides to voluntarily maintain the limits on strategic nuclear weapons deployments after New START expires.
Trump said in July he would like to maintain the limits set out in the treaty after it expires.

The agreement limits the U.S. and Russia to deploying no more than 1,550 warheads on 700 delivery vehicles – missiles, bombers and submarines.

New START cannot be extended. As written, it allowed one extension and Putin and former U.S. President Joe Biden agreed to roll it over for five years in 2021.

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Trump told the New York Times that China, which has the world’s fastest-growing strategic nuclear force, should be included in a treaty that replaces New START.

Beijing, seen by the U.S. as its main global rival, has spurned that proposal since Trump promoted it in his first administration, asserting the Russian and U.S. nuclear forces dwarf its arsenal.

“You probably want to get a couple of other players involved also,” Trump said.

The Chinese Embassy in Washington said it would be “neither reasonable nor realistic to ask China to join the nuclear disarmament negotiations with the U.S. and Russia.”

“China always keeps its nuclear strength at the minimum level required by national security, and never engages in arms race with anyone,” spokesperson Liu Pengyu said when reached for comment.

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A Pentagon report last month said China is likely to have loaded more than 100 intercontinental ballistic missiles across its latest three silo fields and has no desire for arms control talks.

New START has been under serious strain since Moscow announced in February 2023 it was halting participation in procedures used to verify compliance with its terms, citing U.S. support for Ukraine in its fight against Russia.

The U.S. followed suit that June, suspending its participation in inspections and data exchanges, although both sides have continued observing the pact’s limits.

Reporting by Jonathan Landay and Jasper Ward in Washington; Editing by David Ljunggren, Rosalba O’Brien and Chris Reese

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Venezuela teeters as guerrilla groups, cartels exploit Maduro power vacuum

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Venezuela teeters as guerrilla groups, cartels exploit Maduro power vacuum

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Venezuela is teetering on the edge after the U.S. capture and arrest of former President Nicolás Maduro, as armed militias, guerrilla groups and criminal networks threaten a path toward stability, according to reports.

As interim President Delcy Rodríguez assumes control, backed by President Trump’s administration, analysts have warned that the country is completely saturated with heavily armed groups capable of derailing any progress toward stability.

“All of the armed groups have the power to sabotage any type of transition just by the conditions of instability that they can create,” Andrei Serbin Pont, a military analyst and head of the Buenos Aires-based think tank Cries, told The Financial Times.

“There are parastate armed groups across the entirety of Venezuela’s territory,” he said.

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Venezuelan President Nicolás Maduro, who, according to the State Department, leads the Cartel de los Soles, beside members of the Venezuelan Tren de Aragua gang in an apartment building in Aurora, Colorado. (Jesus Vargas/Getty Images; Edward Romero)

Experts say Rodríguez must keep the regime’s two most powerful hardliners onside: Interior Minister Diosdado Cabello and Defense Minister Vladimir Padrino.

“The focus is now on Diosdado Cabello,” Venezuelan military strategist José García told Reuters, “because he is the most ideological, violent and unpredictable element of the Venezuelan regime.”

“Delcy has to walk a tightrope,” said Phil Gunson, a Crisis Group analyst in Caracas.

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“They are not in a position to deliver any kind of deal with Trump unless they can get the approval of the people with the guns, who are basically Padrino and Cabello.”

Since Maduro’s removal, government-aligned militias known as “colectivos” have been deployed across Caracas and other cities to enforce order and suppress dissent.

“The future is uncertain, the colectivos have weapons, the Colombian guerrilla is already here in Venezuela, so we don’t know what’s going to happen, time will tell,” Oswaldo, a 69-year-old shop owner, told The Telegraph.

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Demonstrators critical of the government clash with the security forces of the state. After the last conflict-laden days, interim president Guaido, with the support of his supporters, wants to continue exerting pressure on head of state Maduro. (Rafael Hernandez/picture alliance/Getty Images)

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As previously reported by Fox News Digital, armed motorcyclists and masked enforcers have erected checkpoints in the capital, searching civilians’ phones and vehicles for signs of opposition to the U.S. raid.

“That environment of instability plays into the hands of armed actors,” Serbin Pont added.

Outside the capital, guerrilla groups and organized crime syndicates are exploiting the power vacuum along Venezuela’s borders and in its resource-rich interior.

Guerrillas now operate along Venezuela’s 2,219-kilometer border with Colombia and control illegal mining near the Orinoco oil belt.

The National Liberation Army (ELN), a Colombian Marxist guerrilla group with thousands of fighters and designated a U.S.-designated terrorist organization, has operated in Venezuela as a paramilitary force.

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FROM SANCTIONS TO SEIZURE: WHAT MADURO’S CAPTURE MEANS FOR VENEZUELA’S ECONOMY

Armed colectivos deploy across Venezuelan cities while guerrilla groups control borders following former President Nicolás Maduro’s capture. (Juancho Torres/Anadolu via Getty Image)

Elizabeth Dickson, Crisis Group’s deputy director for Latin America, said the ELN “in Venezuela … has essentially operated as a paramilitary force, aligned with the interests of the Maduro government up until now.”

Carlos Arturo Velandia, a former ELN commander, also told the Financial Times that if Venezuela’s power bloc fractures, the group would side with the most radical wing of Chavismo.

Colectivos also function as armed enforcers of political loyalty.

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“We are the ones being called on to defend this revolutionary process radically, without hesitation — us colectivos are the fundamental tool to continue this fight,” said Luis Cortéz, commander of the Colectivo Catedral Combativa.

“We are always, and always will be, fighting and in the streets.”

Other armed actors include the Segunda Marquetalia, a splinter group of Colombia’s former FARC rebels. Both guerrilla groups work alongside local crime syndicates known as “sistemas,” which have ties to politicians.

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The Tren de Aragua cartel, designated a foreign terrorist organization by the U.S., has also expanded across Venezuela and into Colombia, Chile and the U.S.

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As reported by Fox News Digital, an unsealed indictment alleges Maduro “participates in, perpetuates, and protects a culture of corruption” involving drug trafficking with groups including Mexico’s Sinaloa Cartel, the ELN, FARC factions and Tren de Aragua, with most of the problematic groups named.

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Trump says meeting Iran’s ‘Crown Prince’ Pahlavi would not be appropriate

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Trump says meeting Iran’s ‘Crown Prince’ Pahlavi would not be appropriate

US president signals he is not ready to back the Israel-aligned opposition figure to lead Iran in case of regime change.

United States President Donald Trump has ruled out meeting with Iran’s self-proclaimed Crown Prince Reza Pahlavi, suggesting that Washington is not ready to back a successor to the Iranian government, should it collapse.

On Thursday, Trump called Pahlavi, the son of Iran’s last shah who was toppled by the Islamic revolution of 1979, a “nice person”. But Trump added that, as president, it would not be appropriate to meet with him.

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“I think that we should let everybody go out there and see who emerges,” Trump told The Hugh Hewitt Show podcast. “I’m not sure necessarily that it would be an appropriate thing to do.”

The US-based Pahlavi, who has close ties to Israel, leads the monarchist faction of the fragmented Iranian opposition.

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Trump’s comments signal that the US has not backed Pahlavi’s offer to “lead [a] transition” in governance in Iran, should the current system collapse.

The Iranian government is grappling with protests across several parts of the country.

Iranian authorities cut off access to the internet on Thursday in an apparent move to suppress the protest movement as Pahlavi called for more demonstrations.

The US president had previously warned that he would intervene if the Iranian government targets protesters. He renewed that threat on Thursday.

“They’re doing very poorly. And I have let them know that if they start killing people – which they tend to do during their riots, they have lots of riots – if they do it, we’re going to hit them very hard,” Trump said.

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Iranian protests started last month in response to a deepening economic crisis as the value of the local currency, the rial, plunged amid suffocating US sanctions.

The economy-focused demonstrations started sporadically across the country, but they quickly morphed into broader antigovernment protests and appear to be gaining momentum, leading to the internet blackout.

Pahlavi expressed gratitude to Trump and claimed that “millions of Iranians” protested on Thursday night.

“I want to thank the leader of the free world, President Trump, for reiterating his promise to hold the regime to account,” he wrote in a social media post.

“It is time for others, including European leaders, to follow his lead, break their silence, and act more decisively in support of the people of Iran.”

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Last month, Trump also threatened to attack Iran again if it rebuilds its nuclear or missile programmes.

The US bombed Iran’s three main nuclear facilities in June as part of a war that Israel launched against the country without provocation.

On top of its economic and political crises, Iran has faced environmental hurdles, including severe water shortages, deepening its domestic unrest.

Iran has also been dealt major blows to its foreign policy as its network of allies has shrunk over the past two years.

Syrian President Bashar al-Assad was toppled by armed opposition forces in December 2024; Hezbollah was weakened by Israeli attacks; and Venezuelan President Nicolas Maduro has been abducted by the US.

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But Iran’s leaders have continued to dismiss US threats. Iranian Supreme Leader Ali Khamenei doubled down on his defiant rhetoric after the US raid in Caracas on Saturday.

“We will not give in to the enemy,” Khamenei wrote in a social media post. “We will bring the enemy to its knees.”

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