The $175 million bond provided by a political supporter’s insurance company to secure the half billion dollars Donald Trump owes the State of New York for financial fraud was modified to the satisfaction of Attorney General Letitia James, allowing the judge to clear the issue off the table so Trump’s appeal of the judgment can proceed, ABC News reports.
The issue stemmed from language in the agreement relating to an account held by Charles Schwab in the name of the Donald Trump Revocable Trump which was used to secure the bond. Among the issues the AG raised was the fact that as the fund and the agreement were written, Donald Trump could still withdraw the money or substitute the cash from the account for other securities–such as the worthless Trump Media stock–while having the bond still in force. A prosecutor handling the case–which happened a block from Trump’s criminal trial–called the language a “huge loophole … that quite frankly you could drive a Mack Truck through.”
After conferring with Judge Arthur Ergoron, Trump’s team provided assurances that while Trump’s name is on the account, both the bondholder, Knight Specialty Insurance Company, and Charles Schwab put barriers in place to prevent from removing the money in the account.