A New York court has appointed a new judge in the Trump civil fraud case stemming from AG Letitia James’ investigation

FIRST ON FOX: A New York court has assigned a new judge to preside over a civil fraud case against President-elect Trump brought by New York Attorney General Letitia James.

The case and trial was presided over by Judge Arthur Engoron, who has been accused by Trump allies of bias against the president-elect, his family and his company.

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Sources familiar with the move told Fox News Digital that the court assigned the case to New York County Supreme Court Justice Judith McMahon of Staten Island.

The case is currently under appeal. After the appeals court makes its decision, the case will be sent back to the lower court, which Engoron presided over during the trial.

McMahon will replace him in further proceedings after the appeals court makes its decision, the sources said.

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Engoron, after a weeks-long non-jury civil fraud trial that began in October 2023, ruled last year that Trump and the defendants were responsible for “persistent and repeated fraud,” “falsifying business records,” “issuing false financial statements,” ” conspiracy to falsify false financial statements,” “insurance fraud,” and “conspiracy to commit insurance fraud.”

But before the trial began, Engoron granted summary judgment against Trump, making the ensuing trial a case over the penalty to be paid.

Namely, during the case, Engoron allowed the value of Trump’s Mar-a-Lago to be listed at $18 million. President Trump disputes that valuation, saying the property is worth 50 to 100 times more than Engoron’s estimate. Real estate insiders and developers claimed the property could be listed for more than $300 million.

And in his ruling in the case last year, Engoron blasted Trump, criticizing him for his participation in the trial, saying he “rarely answered the questions raised, and often interjected long, irrelevant speeches about matters far beyond the scope of the trial.”

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“His refusal to answer questions directly, or in some cases at all, seriously undermined his credibility,” Engoron wrote.

During the trial late last year, Trump, Trump allies, Republicans and legal experts repeatedly criticized Engoron – who throughout his career exclusively donated to Democrats — over his handling of the case.

Engoron is also reportedly under investigation for unsolicited tips he received about the case.

Trump and his family have denied any wrongdoing, and the former president has said his assets are undervalued. Trump’s legal team insisted that his financial statements had disclaimers and made it clear to the banks that they should conduct their own assessments.

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Trump appealed the $454 million judgment. An appeal is pending before the New York Court of Appeals.

Judges on the New York Court of Appeals appeared to accept the possibility of a reversal or reduction last year A $454 million civil fraud judgment.

The president’s lawyers called Engoron’s ruling “draconian, illegal and unconstitutional.”

Trump’s lawyer, D. John Sauer, who is the new attorney general, argued that James’ lawsuit stretched New York’s consumer protection laws and said there were “no victims” and “no complaints” about Trump’s business from lenders and insurers.

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Sauer said the cause “involves a clear statute of limitations violation,” pointing to transactions used in a non-jury fraud trial dating back more than a decade.

Sauer said that if the ruling isn’t overturned, “people can’t do real estate without fear.”