Letitia James filed a ānotice of exception to the sufficiency of the suretyā seeking more information about Knight Specialty Insurance Company
Donald TrumpāsĀ $175m bondĀ in hisĀ New YorkĀ civil fraud case has been thrown into doubt by New York Attorney GeneralĀ Letitia JamesĀ after she filed a notice asking for evidence that the out-of-state firm that underwrote it really has the money to pay up.
Ms Jamesās office submitted a ānotice of exception to the sufficiency of the suretyā on Thursday asking for further proof that California-basedĀ Knight Specialty Insurance CompanyĀ (KSIC) has the capital to proceed on theĀ former presidentās behalf.
KSIC is not regulated by New York state, which means that it is not authorised to issue surety bonds in the Empire State and therefore cannot obtain a certificate from the New York Department of Financial Services, which is customarily part of any bond package.
It feels like you are pushing the burden of finding out a person is lying to the lender, but the law says you have to tell the truth (and you sign saying the presentation is the truth) when presenting collateral. Lying about valuations is part of the root of the 2008 financial collapse, and itās disheartening to hear people say āso whatā less then a generation later. The government is fulfilling its role of oversight the way it would have been great to see in the 2000ās before the collapse.