Former U.S. President Donald Trump came out of a cliffhanger that could potentially damage his business empire and return to the White House unscathed, courtesy of Don Hankey’s Knight Specialty Insurance (a subsidiary of Knights Insurance Group), based in Los Angeles.
The firm helped Trump to post the $175 million bond in his civil fraud trial.
According to Forbes, Hankey is the largest individual shareholder in the internet bank Axos, holding six per cent.
Legal analyst Lisa Rubin said, “The company that underwrote Trump’s bond tonight in the NY Attorney General’s civil fraud case, Knight Specialty Insurance Co., is owned by Don Hankey, the so-called ‘king of subprime car loans’.”
Knight’s chairman, a billionaire, told the Associated Press that Trump used both cash and bonds as collateral for the bond.
“This is what we do at Knight Insurance, and we’re happy to do this for anyone who needs a bond,” said Hankey. He has never met or spoken with Trump, he added.
On Monday, Trump posted the bond, preventing the U.S. government from seizing his assets while he appeals a ruling that he fraudulently inflated the value of his assets to obtain more favourable terms from lenders and insurers.
“This is what we do at Knight Insurance, and we’re happy to be able to accommodate the ex-president in this situation,” Hankey told ABC News. “I’d say it’s more of a business decision, but I happen to be a supporter (of Trump) also. It was a relatively low number, and Donald Trump put up all the collateral in cash.”
On Truth Social, Trump said, “I’ve just posted a 175 Million Dollar Bond with the sadly failing and very troubled State of New York, based on a Corrupt Judge and Attorney General who used a Statute that was never used for this before, where no Jury was allowed, my financial statements were conservative and had a 100% perfect caution/non-reliance clause, there were no victims (except me!), there was no crime or damage, there was only success and HAPPY BANKS.”
Born and raised in Los Angeles, Hankey completed his BA and post-graduate work at the University of Southern California in 1965. Possessing a keen understanding of finance, by age 27, Hankey became vice-president of a major investment banking firm, which would later become part of USB Paine Weber.
With a family history in the automobile business, Hankey acquired Midway Ford in 1972, and the dealership’s business flourished. During the 1980s, the organisation acquired additional dealerships to its growing portfolio and established a firm foothold in the financial services industry. Today, financial services comprise a major part of the organisation’s success.
Hankey said, “We strive to grow revenue every year by at least 20%” and “keep our profit as a percentage of revenue above industry averages.”
