A US judge will appoint an independent monitor at the Trump Organization “to ensure there is no further fraud”.
Arthur Engoron, a New York judge, agreed with a request from Letitia James, the state attorney-general, for a watchdog to halt what she described as “staggering” fraud and vet the transfer of assets at the Trump Organization.
Donald Trump has sued James in response, stating: “It is Communism come to our shores… We have to fight back against radical tyranny and save our country!”
Judge Engoron is presiding over James’s case, which accuses the former US president, his company and his three eldest children of systematically overvaluing assets to smooth loans and insurance deals.
She is seeking a fine of at least $250m and a lifelong ban on Trump serving as a company officer or director in the state.
The monitor, who has yet to be named, will restrict the company’s ability to make deals, sell assets and change its corporate structure but will not interfere in day-to-day transactions.
Christopher Kise, a lawyer for Trump Organization, said the company had no intention to divest those properties, which together he said had a conservative value of at least $250m. “Trump entities are not going anywhere,” he said.
