Court Says A.G.’s Trump University Fraud Lawsuit Can Proceed

Bad news for The Donald on Super Tuesday as court rules N.Y. attorney general’s Trump University fraud lawsuit can proceed

Updated: Wednesday, March 2, 2016, 12:30 AM

On a day of Super Tuesday wins for Donald Trump, he suffered a loss in New York — a state appeals court gave a green light to a civil fraud claim against the GOP front-runner and his Trump University.

In a unanimous ruling, a four-judge panel of the state Appellate Division said the state attorney general’s office is “authorized to bring a cause of action for fraud” — despite the bloviating billionaire’s claims to the contrary.

Lawyers for Trump and his now-defunct school — a signature issue in Republican primary race — have contended that Attorney General Eric Schneiderman’s suit should be tossed. They say the statute of limitations on the case had expired — but the appeals court disagreed.

MAY 23, 2005 FILE PHOTOBEBETO MATTHEWS/AP

A New York State Appellate Court ruled against Donald Trump Monday, allowing Attorney General Eric Schneiderman to prosecute now-defunct Trump University for fraud.

A New York State Appellate Court ruled against Donald Trump Monday, allowing Attorney General Eric Schneiderman to prosecute now-defunct Trump University for fraud.

Schneiderman charged Trump University, which operated between 2004 and 2010, was a sham that ripped off its students, beginning with a “free” seminar.

Through “their deceptive and unlawful practices, (Trump and the school) intentionally misled over 5,000 individuals nationwide, including over 600 New Yorkers, into paying as much as $35,000 each to participate in live seminars and mentorship programs with the promise of learning Donald Trump’s real estate investing techniques,” the AG’s office said. 

Trump thumps his poll bumps at a Valdosta, Ga., campaign rally Monday. © Philip Sears / Reuters

Trump thumps his poll bumps at a Valdosta, Ga., campaign rally Monday.

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NYC PAPERS OUT. Social media use restricted to low res file max 184 x 128 pixels and 72 dpi Susan Watts/New York Daily News

A four-judge panel ruled Eric Schneiderman’s office can proceed in its fraud suit against Trump University, which flopped tremendously in 2010.

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Trump thumps his poll bumps at a Valdosta, Ga., campaign rally Monday. A four-judge panel ruled Eric Schneiderman’s office can proceed in its fraud suit against Trump University, which flopped tremendously in 2010.

Trump thumps his poll bumps at a Valdosta, Ga., campaign rally Monday.

A four-judge panel ruled Eric Schneiderman’s office can proceed in its fraud suit against Trump University, which flopped tremendously in 2010.

Trump thumps his poll bumps at a Valdosta, Ga., campaign rally Monday. A four-judge panel ruled Eric Schneiderman’s office can proceed in its fraud suit against Trump University, which flopped tremendously in 2010.

Schneiderman’s office filed suit in August 2013 after getting almost 70 complaints from students who said they were duped into paying thousands for investment advising services they never received after getting lured in for “free” seminars.

Schneiderman called the ruling “a clear victory in our effort to hold Donald Trump and Trump University accountable for defrauding thousands of students.”

Alan Garten, general counsel for the Trump Organization, said, “We respectfully disagree with the court’s decision” and plan an appeal.

Source: www.nydailynews.com www.nydailynews.com

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