'This is not common': Experts floored by details of Trump's $175 million bond deal

The insurance company that helped former President Donald Trump pay a $175 million bond is coming under more scrutiny as financial experts get a better look at the contract it wrote.

The Daily Beast reports that the Knight Specialty Insurance Company's bond contract "doesn’t actually promise it will pay the money if the former president loses his $464 million bank fraud case on appeal" but instead "says Trump will pay, negating the whole point of an insurance company guarantee."

Experts who spoke with the publication about the contract did not hold back on how shady this arrangement seems.

Want more breaking political news? Click for the latest headlines at Raw Story.

"This is not common," said N. Alex Hanley, the CEO of Jurisco Surety Bonds. "The only reason this would be done is to limit the liability to the surety."

Hanley further told the publication that normally such bond contracts would list both Trump and the insurance company as "jointly and severally" liable, which means they would both be on the hook should Trump lose his appeal in the New York fraud case.

ALSO READ: How to fix a Supreme Court filled with corrupt stooges for the morbidly rich

Maria T. Vullo, the former Superintendent of the New York State Department of Financial Services, told The Daily Beast that “there are many questions here, and that short piece of paper gives very little comfort."

And one former regulator, who wished to remain anonymous, told The Daily Beast that "I believe this paper isn’t worth much and there are more shenanigans behind it."

Another odd detail flagged by The Daily Beast is the fact that the contract seems to rule out paying additional "interests and costs" should Trump lose the case, and instead flatly says that “the liability of this bond shall not exceed the sum” of $175 million."

Read the full analysis at this link.

Recommended Links: