NEW YORK—Eric Trump, executive vice president of the Trump Organization, testified for a second day in the civil fraud trial brought against him and other executives by the New York Attorney General’s office.
On Nov. 3, state attorneys continued to question Mr. Trump about the Trump Organization’s financials.
At the center of the case against former President Donald Trump, his two adult sons, and two other executives, are the statements of financial condition (SFCs) for the Trump Organization from 2011 to 2021.
The attorney general’s petition accuses the defendants of inflating President Trump’s net worth to receive better loan terms, thus defrauding the state because insurers and banks took undue risks due to the inflated asset figures.
Eric Trump answered repeatedly that he did not work on the SFCs, but understood what they were, and that his answers to the many questions asked of him about the properties he was developing would have informed those numbers.
He also answered more than once that he did not remember specific communications shown in the case because he has “a thousand” emails and calls a day but attested that his signature was in fact his.
“I certified something that I believed was accurate, that the lawyers told me was accurate, that the financial people told me was accurate,” he said.
Shown one of the SFCs, he testified, “I think my father’s net worth is far higher than that number, yes.”
On Nov. 3, he was asked specifically about Seven Springs in New York and the Mar-a-Lago property.
Claims made in the lawsuit include the accusation that the Trump Organization tried to pass Mar-a-Lago off as a private residence, even though there is an easement on the property that defines it as a social club, which could arguably factor into the valuation.
State attorneys claim the Trump Organization defrauded Deutsche Bank when they sought a loan from the bank and submitted an SFC under a “false premise” that Mar-a-Lago is a private residence and not a club.
Eric Trump testified, “It is very clear that Mar-a-Lago is not a club. It’s a private residence. I don’t see anything wrong with that.”
In 2002, Donald Trump signed a deed of development rights recognizing that Mar-a-Lago could not be developed and renovated into single-family homes, and new buildings could not be built on the property to obstruct the open vistas.
Changes in use from a club would require written approval from the National Trust, therefore putting restrictions on his ability to develop the property, subject to negotiations.
The trial ended on Nov. 3 after a half day of testimony from Eric Trump.
A good portion of the day’s arguments were between defense attorneys and the judge, with attorneys arguing they perceived bias from him against the defense.
After his testimony, Eric Trump spoke to the press outside the courtroom, echoing his father’s criticisms of the case.
“What New York state’s trying to do with my father is truly awful. I haven’t seen anything like it,” he said.
“They’ve dragged Don [Jr.] and I and Ivanka into it as collateral damage.
“They only want our names in this thing because it sensationalizes the case. We’ve done absolutely nothing wrong.
“We have a better company than they could ever imagine, and this is a big charade that’s a huge waste of taxpayer money, and it’s the very reason everybody’s moving out of New York state.”
President Trump is scheduled to testify on Nov. 6, and Eric Trump said his father is “fired up” to do so.
“I know he’s very fired up to be here and he thinks this is one of the most incredible injustices he’s ever seen, and it truly is,” he said.
Ivanka Trump is scheduled to testify on Nov. 8.
