According to three individuals with knowledge of the court’s decision, a judge in the New York state appellate court has temporarily halted the civil fraud trial involving the New York attorney general’s office and former President Donald Trump. This raises questions about whether the trial will proceed next month as scheduled.
According to individuals with direct knowledge of the litigation, the appellate judge granted an emergency request made by attorneys representing Trump, his eldest sons, and the Trump Organization. They asked the appeals court to suspend the case until the lower court judge in command, Judge Arthur Engoron, rules on a crucial issue.
A week before the trial of the $250 million fraud case is scheduled to begin on October 2, the appellate court judge ordered that all briefs be submitted by September 25. The trial may be delayed pending the decision of the appellate court. The trial may begin on time if the appeals court agrees and the lower court’s issue is resolved more quickly.
As stated in a press release, New York Attorney General Letitia James “will be ready for trial” and “we are confident in our case.”
In June, a New York state appellate panel ruled in Trump’s favor, concluding that if certain transactions were concluded by a certain date, the statute of limitations had expired and the defendants had tolling agreements in place for another date. The tribunal instructed Engoron to “determine, if necessary, the full range of defendants bound by the tolling agreement.” Ivanka Trump’s claim was denied by the court of appeals.
Engoron has not yet made a decision regarding the statute of limitations.
The attorneys for James and Trump have separately requested that Judge Engoron rule in their favor in pretrial filings. James’s firm requested that the judge declare Trump’s financial statements to be deceptive and fraudulent. Trump’s counsel asked the judge to dismiss the lawsuit, predominantly citing the statute of limitations defense. On September 22, the motions will be the subject of oral arguments.
As Engoron contemplates Trump’s attorneys’ request to review the statute of limitations, the trial has been postponed. After Trump’s attorneys requested that the appeals court intervene and place the case on pause, the request was denied, according to the sources. Though the public was not informed of the oral argument, the judge consented to postpone the trial but not to suspend the case.
At the hearing on September 22, Engoron’s decision regarding the statute of limitations may resolve the appeals court’s case.