New York AG Appeals to Reinstate Trump $464M Civil Fraud Penalty

New York Attorney General Letitia James has appealed to the state's highest court to reinstate a nearly half-billion-dollar civil fraud penalty against President Donald Trump, after a lower court reduced the fine to zero citing the U.S. Constitution's ban on excessive fines. The appellate court ruling vacated the $464 million penalty but upheld findings that Trump committed fraud by inflating his net worth on financial documents to banks and insurers. Trump declared "TOTAL VICTORY" following the fine's removal, but other sanctions remain in place, including a multiyear ban on him and his two eldest sons from holding corporate leadership positions in New York. These restrictions have been paused during ongoing appeals, with Trump seeking to have them dismissed entirely. The lawsuit, initiated by James in 2022, alleges that Trump and his company exaggerated asset values by billions, including properties such as golf courses, hotels, Trump Tower, and Mar-a-Lago. A trial judge previously ruled that Trump engaged in a yearslong conspiracy to deceive lenders, ordering him to pay $355 million as restitution for ill-gotten gains.