Donald Trump was found guilty of fraud on Tuesday by a New York judge who heard a lawsuit filed by state Attorney General Leticia James, who accuses the former US president and his personal business of illegally inflating their assets.

The decision by New York State District Court Judge Arthur Engoron is a blow to Trump, largely limiting the scheduled Oct. 2 trial to determining the damages the defendants in the case will be ordered to pay.

Judge Engoron also ordered the cancellation of the business certificates of the Trump Organization and other defendants, while sanctioning defense attorneys for contributing to their clients’ “raucous” attitude and making “outrageous” legal arguments.

Attorney General Leticia James filed a lawsuit against the Republican tycoon in September 2022, accusing him, his grown children and the Trump Organization of lying for a decade about their assets in order to secure better terms for bank loans and insurance. As he reported, Trump inflated his wealth by $2.23 billion – and in one case by $3.6 billion – in annual financial statements provided to banks and insurance companies. These include Trump’s mansion in Mar-a-Lago, Florida, the penthouse in Trump Tower in Manhattan, various office buildings and golf courses.

Judge Arthur Engoron ruled three months after a New York appeals court narrowed the scope of the allegations contained in Attorney General Leticia James’ lawsuit.

Donald Trump appealed again to the appeals court, accusing Engoron and James of ignoring the ruling to limit the lawsuit. The appeal court’s decision on this request is expected in the coming days.

Despite his legal adventures, Donald Trump is emerging as the favorite for the Republican nomination ahead of the 2024 presidential election.

D.P.