Judges press New York AG as Trump appeals his $454M fraud judgment
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(NEW YORK) — Seven months after a trial judge fined Donald Trump $454 million for business frauds that the judge said “shock the conscience,” a New York appeals court appeared skeptical Thursday of some of the arguments underpinning the New York attorney general’s case against the former president.
A panel of five judges at New York’s Appellate Division, First Department heard Trump’s appeal and peppered both sides with concerns about the case — appearing to question some of the key elements of the state’s case, including the application of a consumer fraud statute, the justification for the financial penalty prosecutors sought, and the private nature of the transactions in question, mirroring well-worn defense arguments that failed during the case’s lengthy trial this year.
Trump himself did not attend Thursday’s hearing in New York.
“We have a situation where there were no victims, no complaints,” argued D. John Sauer, the same attorney who successfully argued Trump’s presidential immunity appeal to the Supreme Court earlier this year. “How is there a capacity or tendency to deceive when you have these clear disclaimers?”
While the judges expressed some skepticism about some of the defense’s claims — with one judge remarking that factual inaccuracies could have resulted in Trump’s statements being “completely fallacious” — some of the defense arguments were echoed in the judges’ questions.
“The defendants’ statements were not made for ordinary people,” noted Associate Justice David Friedman. “They were directed at some of the most sophisticated actors in business.”
Deputy Solicitor General Judith Vale, arguing for New York Attorney General Letitia James, emphasized the magnitude of Trump’s alleged misstatements and their importance to the banks that loaned the former president hundreds of millions of dollars.
“Deutsche Bank would not have given these loans without the financial strength being inflated,” Vale said. “The financial statements were coming in each year, and they were important, critical to the loans each year.”
A series of questions also focused on the New York fraud statute — Executive Law 63 (12) — that the attorney general used to bring her case. Trump’s lawyers have insisted the law should not apply to profitable transactions between financial institutions and the Trump Organization.
“How do we draw a line or put up some guardrails to know when the attorney general is operating within her broad sphere or 63(12) or going into an area where she doesn’t have jurisdiction?” asked Associate Justice John R. Higgitt.
Vale responded by arguing that Trump’s frauds impacted consumers by inserting false and misleading information into the marketplace, and that Trump’s fine has a deterrent effect.
“A big point of these statutes is for the attorney general to go in quickly to stop the fraud and illegality before the counterparties are harmed,” Vale said.
When pressed about the size of the penalty and whether it was “tethered” to the limited harm incurred by the banks that did business with Trump, Vale argued that the profitability of the transactions should not give Trump a free pass to use false information.
“It is not an excuse to say our fraud was really successful so we should get some of the money,” said Vale.
In an 11-week trial that concluded in February, New York Judge Arthur Engoron found that Trump, his eldest sons, and two top Trump Organization executives exaggerated Trump’s wealth to secure better terms from lenders, for which he fined the former president $454 million.
Trump, following the ruling, secured a $175 million bond while he appeals the judgment.
(MEMPHIS) — A former Memphis police officer on trial in the beating death of Tyre Nichols texted photos of a bloodied Nichols to his then-girlfriend, she said Wednesday during testimony.
Brittany Leake, an officer with the Memphis Police Department (MPD) who used to date Demetrius Haley, said Haley texted her and one of her family members a photo of Nichols that showed the 29-year-old leaning against a police car, bleeding from his mouth, wearing a torn shirt, appearing dirty and with his eyes closed, according to WATN, the ABC affiliate in Memphis covering the case in the courtroom.
Haley is on trial along with Justin Smith and Tadarrius Bean, who were charged on Sept. 12, 2023, with violating Nichols’ civil rights through excessive use of force, unlawful assault, failing to intervene in the assault and failing to render medical aid. These charges carry a maximum penalty of life in prison, according to the U.S. Department of Justice. The officers have pleaded not guilty to all charges.
“I wasn’t offended, but it was difficult to look at,” Leake said, claiming she deleted the photo, according to WATN.
Leake said she told Haley that Nichols needed to go to the trauma center, according to WATN. She claimed Haley previously sent her other photos from his patrols, including pictures of a burned suspect. Leake testified that she has never sent photos from the job in her two years as an MPD officer because it is against department policy, according to WATN.
Prosecutors on Wednesday also called to the stand Jesse Guy, a former Memphis Fire Department paramedic who cared for Nichols on the scene and in the ambulance that transported him to St. Francis Hospital, according to WATN.
Guy said when he first arrived on the scene, an emergency medical technician (EMT) told him Nichols “just went out,” according to WATN. Guy claimed he heard one of the officers say Nichols took something.
Guy testified that Nichols was unresponsive, had head swelling, scratches and marks around his neck and blood spilling from his mouth, according to WATN.
“It’s time to go,” Guy told prosecutors he was thinking after Nichols had no pulse and was unresponsive to Narcan, an overdose reversal drug, according to WATN. “I felt like something was going on.”
Guy said he gave Nichols oxygen, intubated him, removed his wet clothes and attempted with no success to defibrillate his heart, according to WATN. After giving Nichols epinephrine, more oxygen and sodium bicarbonate, Guy said there was still no pulse.
“I was trying to save his life,” Guy said, according to WATN.
Guy claimed he decided Nichols must go to the closest hospital to get better care, according to WATN. By the time they arrived at St. Francis Hospital, the former paramedic said they were able to get Nichols’ heart beating again.
Guy noted that when he asked one of the officers involved in the encounter what happened, the officer responded with a sigh.
“Never mind,” Guy said he told the officer because the paramedic thought the policeman was going to give him “B.S.” according to WATN.
Guy said during cross-examination that EMTs on the scene when he arrived had not assessed Nichols and didn’t tell him much about Nichols’ health status, according to WATN.
When defense attorneys asked Guy about information he received from the EMTs who were already on site, Guy claimed that the EMTs told him they heard Nichols moan in response to one of the medics.
Michael Stengel, Haley’s attorney, asked Guy when he knew Nichols was going through a medical emergency, according to WATN.
“When I laid eyes on him,” Guy said.
Body-camera footage shows that Nichols fled after police pulled him over on Jan. 7, 2023, for allegedly driving recklessly, then shocked him with a Taser and pepper-sprayed him.
Officers allegedly then beat Nichols minutes later after tracking him down. Nichols, 29, died on Jan. 10, 2023. Footage shows the officers walking around, talking to each other as Nichols was injured and sitting on the ground. The incident triggered protests and calls for police reform.
Memphis Police Chief Cerelyn Davis said she has been unable to substantiate that Nichols was driving recklessly.
The prosecution told ABC News last week that they will not have any statements until after the trial. The defense attorneys did not immediately respond to ABC News’ request for comment.
After the police encounter, Nichols was transferred to the hospital in critical condition. The medical examiner’s official autopsy report for Nichols showed he “died of brain injuries from blunt force trauma,” the district attorney’s office told Nichols’ family in May 2023.
Emmitt Martin III and Desmond Mills Jr., the two other officers who were also charged in this case, have pleaded guilty to some of the federal charges. Martin pleaded guilty to excessive force and failure to intervene, as well as conspiracy to witness tamper, according to court records. The other two charges will be dropped at sentencing, which has been scheduled for Dec. 5, according to the court records. Mills pleaded guilty to two of the four counts in the indictment — excessive force and failing to intervene, as well as conspiring to cover up his use of unlawful force, according to the DOJ. The government said it will recommend a maximum penalty of 15 years in prison, based on the terms of Mills’ plea agreement.
The five former officers charged in this case were all members of the Memphis Police Department SCORPION unit — a crime suppression unit that was disbanded after Nichols’ death. All of the officers were fired for violating MPD policies.
ABC News’ Deena Zaru and Sabina Ghebremedhin contributed to this report.
Police investigate a shooting spree near I-40 in Raleigh, North Carolina, Nov. 7, 2024. Via WTVD
(RALEIGH, N.C.) — A North Carolina State student has been arrested for a string of apparently random shootings at cars on multiple highways in Raleigh.
Since Monday, police have received 12 reports of shots being fired at vehicles and buildings in the vicinity of Interstates 40 and 440, according to Raleigh Police Chief Estella Patterson. Among the incidents, eight vehicles were fired into, resulting in one person being injured, she said.
Andrew Thomas Graney, 23, has been charged with one count of assault with a dangerous weapon with intent to kill inflicting serious injury and 11 counts of firing a weapon into an occupied vehicle or dwelling, police said. Graney is a senior at NC State, majoring in anthropology and has been enrolled since fall 2019, the school confirmed to Raleigh ABC station WTVD.
A second person was taken into custody alongside Graney, but was released without charges, police said.
“At this time, we do believe that the 12 incidents are related,” Patterson said at a press briefing Thursday. “I can also confirm that we have identified a person of interest, and this person has been detained. However, we will continue to pursue all leads.”
The investigation led authorities to a residence in Raleigh on Thursday, where they detained the person of interest, police said. A second person who was also in the residence at the time was additionally detained, police said.
Police have urged drivers in the Raleigh area to remain vigilant following reports of vehicles being fired into during the early morning hours on I-40.
In one incident, on Monday, a woman was shot in the leg, suffering a non-life-threatening injury, police said.
Patterson said it is unclear at this time if shots were being fired from a vehicle or on foot.
Police previously said they believe a handgun was used in the shootings.
The shootings remain under investigation. Patterson urged anyone with surveillance or dashcam footage to come forward.
A reward of up to $10,000 is being offered for information leading to the arrest of the person or persons responsible, she said.
(NEW YORK) — Universities across the country have transformed at the command of anti-diversity, equity and inclusion (DEI) legislation. At the University of Texas-Austin, the legislation led to resource cancellations, office closures, and staff firings — pushing some students to create alternatives to their school’s defunct diversity programs.
Texas Gov. Greg Abbott signed SB 17 into law in 2023, barring public institutions of higher education from having diversity, equity, and inclusion offices, as well as programs, activities, and training conducted by those offices. The law also restricts training or hiring policies based on race, gender identity or sexual orientation.
His office told ABC News in a recent statement that the legislation was intended to ensure people “advance based on talent and merit at public colleges and universities in Texas.”
Abbott’s office criticized universities for using DEI offices to “advance political agendas and exclude conservative viewpoints on college campuses. These efforts adversely affect our students, limit exposure to diverse thought, and destroy our education system,” read the statement from Abbott’s press secretary Andrew Mahaleris.
ABC News spoke to UT Austin students and a terminated faculty member about the compounding impact the loss of diversity programs has had on campus.
The Monarch Program
The long list of potential college life logistics – like how to pay for school, open an independent bank account or get a job – is even longer for undocumented students and those with temporary status.
These students are not eligible for federal student aid, federal work-study, are limited in their access to grants and scholarships and, in some cases, cannot accept paying jobs while in school.
With limited guidance and limited options, Arely, a student at UT Austin who asked to be referenced by only her first name out of privacy concerns, said her status created many unknowns and uncertainties for her future when applying to colleges. As a Deferred Action for Childhood Arrivals (DACA) recipient, Martinez told ABC News she worked hard to be at the top of her high school class so she could get into a good school.
DACA is a U.S. government policy that allows some undocumented immigrants to remain in the United States temporarily and work. Recipients must have entered the United States illegally before their 16th birthday and be younger than 31 years old on June 15, 2012, according to the U.S. Citizens and Immigration Services website.
“It was always kind of told to me, like, your education is going to be the only way you’re going to be able to kind of push forward and build something out for yourself – it’s through your education,” said Arely.
At UT Austin, students like Arely had a place to turn to for answers. Monarch, an on-campus student program for undocumented and temporary status students, hosted workshops on those logistical concerns, mental health resources at little to no cost, career fairs specifically geared toward undocumented students, panel discussions with undocumented grads, and a donor-based scholarship.
“Those are the things that I would help students navigate,” said Alicia Moreno, the former Monarch Student Program Coordinator. “Like working with campus partners to create resources and help students understand what their options were because many students that I heard – before they ran into Monarch – they believed their options were really slim.”
Monarch was a way for the university to ensure students could succeed despite the barriers they face due to their status, Moreno said.
“A lot of my college experience would have definitely been way more different had Monarch not been there,” said Arely. “I can’t imagine in what situation I would have been had I not had that support system.”
Arely, who worked at the center, said the Monarch team also would get requests from faculty and staff asking to hold trainings regarding the challenges undocumented students face.
“A lot of these students had gone their whole college career having access to these resources, and now they were suddenly taken away and ripped out of their hands,” said Arely. “Especially for, like, incoming freshmen who had maybe specifically applied to UT Austin because of this program, and now they’re going to get to the UT campus and they’re going to realize that program that was supposed to support them and acknowledge them is no longer there.”
Moreno was one of about 60 people whose positions were terminated following the closure of DEI offices and related initiatives, according to a joint letter from the Texas NAACP & Texas Conference of American Association of University Professors.
The university initially stated that some programs would be shifted to other divisions or renamed to complement ongoing operations. Monarch, according to students and former staff, was also initially not targeted by SB 17 since it does not specifically refer to any race or ethnicity.
However, university officials later stated that the law changed the scope of some programs, making them broader and creating overlap between existing programs.
“We know these programs and the dedicated staff who run them will continue to have positive impacts on our campus and community,” read the university’s letter referring to the programs that remained.
The terminations came shortly after state Sen. Brandon Creighton, who introduced the legislation, warned universities against simply renaming their DEI programs, threatening to freeze funding.
“I was getting ready to prepare for the next year. My office was just painted. I had just gotten that Exemplary Service Award, and then – boom! – we were all terminated,” Moreno said.
Students say they have been left to pick up the pieces without the dedicated resources to support them. Victoria Uriostegui-Garcia, a member of a student-run group called Rooted, said her organization has become a substitute for the services once provided by Monarch. It is one of several student-run organizations to take on the responsibilities of the now-shuttered offices.
“It falls on students again to provide their own resources, which is a very heavy burden,” said Uriostegui-Garcia. “We’re going to try our best.”
Students lead the charge
Among the centers and programs shut down by UT Austin were Multicultural Engagement Center, the Gender and Sexuality Center, and the Fearless Leadership Institute – a professional development program for African American & Hispanic women.
However, UT Austin is not the only school facing these restrictions. Schools across the state — and in some states across the country — have seen similar mass closures and firings following the implementation of anti-DEI legislation.
At least nine states have implemented legislation restricting DEI in education: Alabama, Florida, Idaho, lowa, North Dakota, South Dakota, Tennessee, Texas and Utah.
Supporters of anti-DEI legislation, like Creighton, have applauded the changes made by SB 17. Creighton argued that it returned the university to “a merit-based operational framework, ensuring that every student, faculty, and staff member is afforded equal opportunities and not silenced by DEI-oriented policies,” he said in a March 2024 statement.
UT Austin states that it remains vigilant in ongoing efforts to ensure the university’s compliance with the state law, defining DEI offices as any office that implements programs or training with reference to race, ethnicity, gender identity, or sexual orientation, “influences hiring or employment practices” with respect to those identities or promotes “differential treatment of or providing special benefits to individuals” on the basis of identity.
I recognize that strong feelings have surrounded SB 17 from the beginning and will shape many Longhorns’ perceptions of these measures,” said university president Jay Hartzell. “It is important that we respect the perspectives and experiences of our fellow Longhorns as the changes we are announcing today take effect. It is also important that this continues to be a welcoming, supportive community for all.”
UT Austin did not respond to ABC News’ requests for further comment.
Alex and Sophia, members of Texas Students for DEI who asked to be referenced by only their first names out of privacy concerns, say the services were targeted for specific groups who have historically faced discrimination or barriers to success, but were open to all students.
Alex noted, for example, that a closet of free clothes located in the gender center was open to all: “If it meant that you got kicked out of the home, or if it meant that you needed clothes for a job — hey, there’s clothes available, no questions asked.”
Alex and Sophia say many students they have spoken to did not know about SB 17 until it passed and they started seeing their centers close on campus.
Student organizations have stepped up to the plate, hoping to foster community in a time when resources backed by the university have shrunk. They say schools across the state have “over-complied” with the law — leading to a chilling effect of classroom curriculum and discussion concerning race, gender and sexual orientation.
“Even now, if you read some of the syllabi for some classes, they’ll have a disclaimer at the end saying no material in this class is pertaining to SB 17 or falls under the guidelines of SB 17,” said Sophia, despite the UT Austin website stating explicitly that academic instruction and research is not to be impacted by the law. “They’re expecting to be censored. They’re expecting the state to want to do things against them, and so they’re, they feel less comfortable talking about these topics openly, which ultimately affects our education.”
She continued, “We are a university, we’re a place of learning, and learning requires people to be open about information in a way that isn’t censored, and when a state tries to censor that, they ultimately harm themselves.”
With SB 17 passed, students are worried the state will continue to embrace other anti-DEI initiatives. They hope to safeguard from further efforts by educating the college community about what DEI is and what it means.
“It isn’t just one university. It’s all of us. And silence isn’t really the way out,” said Alex.
