New York Appeals Court Tosses $515M Fraud Penalty Against Trump

A New York Appeals Court has overturned the $515 million civil fraud penalty against President Donald Trump, ruling that the fine violated the Eighth Amendment's prohibition against excessive fines, though it upheld other business restrictions against him. The court acknowledged that while the injunctive relief aimed to curb Trump’s business practices, the disgorgement amount was an unreasonable approximation that did not meet legal standards. New York Attorney General Letitia James, who brought the suit alleging Trump and his company inflated asset values to secure favorable loans and insurance, intends to appeal the decision to the New York Court of Appeals. Legal experts, including former federal prosecutor Andy McCarthy, characterized the penalty as disproportionate to the established wrongdoing, supporting the court’s decision to eliminate the fine. Despite the financial victory, the court did not reverse the underlying verdict, leaving the question of fraud on the merits unresolved and leaving other sanctions, such as restrictions on Trump’s ability to serve in corporate roles in place for now. President Trump and his family celebrated the ruling as a major win and called the case a politically motivated attack.