Attorneys for former President Donald Trump and the New York attorney general’s office have come to an agreement regarding the terms of the $175 million bond that Trump posted to cover the civil fraud judgment he is currently appealing.
The agreement follows a challenge by the state attorney general concerning the financial capacity of the underwriter, Knight Specialty Insurance Company, to back the bond.
As per the terms of the agreement, Trump is mandated to maintain the $175 million in a Charles Schwab account as cash, which was used to secure the bond. Knight Specialty Insurance Company will have exclusive control over the account and is prohibited from withdrawing or trading any of the funds. Additionally, the company must provide monthly balance statements to the attorney general. Any modifications to the bond agreements require court approval, and Knight Specialty must adhere to the court's jurisdiction.
In January, Judge Arthur Engoron imposed a $464 million fine on Trump, his adult sons, and his company, after finding them guilty of inflating the value of Trump's assets to secure better loan rates. Trump has posted the $175 million bond while appealing the court's ruling.
