Donald Trump reached an agreement this Monday that allowed him to avoid, at least temporarily, paying a million-dollar judgment for his civil fraud case while he waits for his appeal to be resolved.
The former president, who initially had to pay more than 464 million dollars, managed to avoid, for the moment, the hefty fine that New York Attorney General Letitia James will collect from him. This achievement came after reaching an agreement with a company willing to provide the necessary bond.
Although many details of the agreement are being kept private, according to a report by The New York Times, the bond was provided by Knight Specialty Insurance Company, a California-based company specializing in these types of legal agreements.
#ÚLTIMAHORA | Donald Trump acaba de pagar su fianza de 175 millones de dólares en la demanda por fraude civil en Nueva York. pic.twitter.com/BYh5fdb91Y
— VOZ (@VozMediaUSA) April 2, 2024
With the bond, which constitutes a legal document and not a direct transfer of funds, the company commits to the New York judicial system to support Trump if he loses his appeal or fails to pay the sentence. However, Trump will likely have to pay the bail bonds company a significant fee and offer cash and other liquid investments as collateral.
This agreement comes after an appeals court granted Trump's request to reduce the bail amount to $175 million last week. It is important to remember that the former president faced difficulties obtaining full bail due to the nature of his assets, primarily real estate, which bond companies rarely accept as collateral. Trump's lawyers cited "insurmountable difficulties" in their attempt to secure the full bond after being rejected by more than 30 bond companies. However, the reduced sentence allowed Trump to reach a deal finally.
Although this agreement relieved some of the former president's legal problems, he still faces several additional ones, including four criminal indictments in different cities.
