Trump avoids ‘corporate death penalty' in fraud case, but his business will still get slammed

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In a pretrial ruling last year, the same judge threatened to shut down much of the Republican presidential front-runner’s business by calling for the…

In a surprise reversal, the judge said he wasn't going to follow through on an earlier order canceling Trump's business certificates as a prelude to a “dissolution” of his companiesA New York judge on Friday spared the ex-president that worst case punishment as he ruled in a civil case alleging Trump fraudulently misrepresented financial figures to get cheaper loans and other benefits.

“I don't think there is any way Trump can continue to operate his business as usual,” said Syracuse University law professor Gregory Germain."It's a lot of money.” An Associated Press investigation confirmed how unusual such a punishment would have been if carried out: Trump’s case would have been the only big business in nearly 70 years of similar cases shut down without a showing of obvious victims who suffered major financial losses. The main alleged victim of the real estate mogul ’s fraud, Deutsche Bank, had itself not complained it had suffered any losses.

“It's not that he can't have influence at these enterprises," said University of Michigan law professor William Thomas. “He just can’t hold any actually appointed positions.”

 

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