By Anjali Sharma
NEW YORK – New York appeals court on Sunday threw out $500 million penalty plus interest against US President Donald Trump in a civil fraud case.
The Appellate Division of the New York Supreme Court upheld the verdict,in the 323-page ruling by a 5 udge panel, stated that the size of the fine was “excessive” and that it “violates the Eighth Amendment of the United States Constitution.”
New York Attorney General Letitia James filed a lawsuit in 2022, accused Trump and his company of overstating the value of his properties and other assets to obtain favorable bank loans or insurance terms, media reported.
In February 2024, a judge found that Trump unlawfully inflated his wealth and ordered the president to pay the penalty, which has accumulated to more than $500 million plus interest.
Trump two sons, Donald Trump Jr. and Eric Trump, were also told to hand over penalties respectively.
He called the ruling a “total victory” in a post on the Truth Social platform.
“I greatly respect the fact that the Court had the courage to throw out this unlawful and disgraceful decision that was hurting business all throughout New York State,” he wrote.
The decision is “a significant legal boost for Trump, freeing him, for now, from a massive penalty that caused him financial headaches last year,” media reported.
It added that it also underscores the controversial nature of the case, both in its underlying legal issues and the political implications.
