In the ongoing civil fraud trial against former president Donald Trump, an executive from Deutsche Bank took the stand on Tuesday, testifying about the bank's loan practices. The New York Attorney General Letitia James' lawsuit alleges that Trump and his company deceived lenders and insurers by providing financial statements that overstated asset values and net worth. Deutsche Bank, however, asserts that it adhered to its own guidelines and reviewed the information provided before granting the loans.

The loans in question, which were for projects in Florida, Chicago, and Washington, D.C., were a subject of focus in the trial. The lawsuit contends that Trump's financial statements were not accurate, but Deutsche Bank claims that clients' reports of net worth are often subjective and subject to estimates. The bank's managing director, David Williams, testified that while they expected the clients' information to be accurate, they also viewed the financial statements as relying on estimates, allowing the bank to make adjustments when necessary.

Furthermore, it was revealed during the trial that the bank sometimes valued Trump's net worth at $1 billion or more lower than he claimed. Williams stated that these adjustments were a conservative measure and a way of stress-testing financial strength.

The attorney general's office argues that the adjustments made by the bank were not intended to uncover any alleged fraud. Previously, Nicholas Haigh, a retired Deutsche Bank executive, testified that he assumed the financial figures provided by Trump were broadly accurate, but the bank subjected them to "sanity checks" and occasionally made significant reductions.

Judge Arthur Engoron has already ruled that Trump and other defendants engaged in fraud. While the trial will determine remaining claims of conspiracy, insurance fraud, and falsifying business records, there will be no jury, and the verdict will be decided by Engoron.

Trump, who is considered a leading contender for the Republican presidential nomination in 2024, has called the case a political attack orchestrated by James, a Democrat. Trump maintains that his financial statements actually underestimated his wealth and that any overstatements were mere mistakes, such as listing the size of his Trump Tower penthouse as nearly three times its actual size.

Trump argued in his testimony that lenders were more concerned about property locations and the terms of the deals than the financial statements. He pointed to disclaimers in the statements that stated they were unaudited, implying that lenders were responsible for their own due diligence.

Deutsche Bank guidelines instructed lending officers to independently verify material facts, and Williams affirmed that the bank followed these guidelines when dealing with Trump.

James seeks over $300 million in penalties and a ban on Trump doing business in New York. In addition, Judge Engoron has already ordered a receiver to take control of some of Trump's properties, although an appeals court has temporarily suspended this order.

As the trial continues, both sides will have the opportunity to question witnesses and present evidence. The outcome of the trial will have significant implications for both Trump and the broader discussion surrounding his financial practices.

Overall, the trial sheds light on the contentious relationship between Trump, his business dealings, and financial institutions, highlighting the significance of due diligence and transparency in lending practices.