The comedian - who created the fake sexist and racist Kazakhstan reporter Borat - approached a man in New York and said: "I like your clothes. Are nice! Please may I buying? I want have sex with it."
The man didn't find his comments funny and punched Cohen in the face.
Cohen cried out for help, but his pleas were ignored and he was repeatedly hit. Hello, he was in New York!
Fellow British actor Hugh Laurie finally rushed to Cohen's aid, managing to push the man away and drag the comedian to his feet.
A source told Britain's The Sun newspaper: "Sacha couldn't resist playing the fool as Borat, but he picked the wrong person. I guess this guy thought he was being attacked by someone unstable and lashed out. Sacha is very lucky he didn't get a much worse beating."
The incident happened after Cohen and Laurie appeared on US TV show 'Saturday Night Live'.
Cohen was not seriously injured.
Film bosses are pleading with Cohen, 35, to stop posing as Borat on US streets to avoid further violent attacks.
Cohen's new movie, 'Borat: Cultural Learnings of America For Make Benefit Glorious Nation of Kazakhstan', is tipped to become the highest grossing comedy of all time.
It was revealed last week that Cohen is being sued for "being a prankster".
Two anonymous US students, who appear in the 'Borat' movie, have filed a lawsuit against the comedian for allegedly getting them drunk before asking them to sign a legal agreement permitting footage of them to be used in the film.
They claim they have suffered humiliation and mental distress and are seeking financial damages in excess of $25,000.
(C) BANG Media International
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