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The
Trump Organization's filing on Wednesday night came in
connection with Attorney General Letitia James' civil lawsuit
accusing the former U.S. president and three of his adult
children of lying to banks and insurers by fraudulently
overvaluing his real estate assets and net worth.
On Oct. 13, James asked a judge to appoint a watchdog to review
financial information that Trump's company gave to accountants,
lenders and insurers, as well as any sales of significant
assets.
But in Wednesday's filing, the Trump Organization accused James
of manufacturing a "bill of grievances" to justify giving a
monitor "staggeringly overbroad" power to oversee a "highly
successful private enterprise," without proof that fraud
actually occurred.
"What the (attorney general) really seeks is a vague order
justifying her assertion of control via a 'monitor' of the
business affairs of her political adversary," wrote Alina Habba,
a lawyer for the company and Trump. "Such efforts at
nationalization are constitutionally prohibited."
James is a Democrat, while Trump is a Republican.
The defendants also said James lacked standing to sue because
the case involved "only the contractual rights of sophisticated
private parties."
A spokeswoman for James declined to comment on Thursday.
The attorney general has said a monitor would help serve "the
substantial public interest in curbing fraudulent and lawful
conduct."
In announcing the lawsuit on Sept. 21, James said her probe
uncovered 23 "grossly and fraudulently inflated" assets,
including Trump Tower in Manhattan and Mar-a-Lago in Florida,
and more than 200 misleading asset valuations.
James said the fraud lasted at least a decade, and was intended
to help save money on loans, insurance and taxes. She seeks to
recoup at least $250 million of alleged improper gains.
While the case does not involve criminal charges, James said
Trump repeatedly violated several state criminal laws and may
have violated federal criminal law. She asked U.S. prosecutors
and the Internal Revenue Service to investigate.
The case is New York v Trump et al, New York State Supreme
Court, New York County, No. 452564/2022.
(Reporting by Jonathan Stempel in New York; editing by Jonathan
Oatis)
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