Court throws out Trump's $454M civil fraud penalty
By Aysha Bagchi
USA Today
..... The $454 million penalty imposed against President Donald Trump in his New York civil fraud case has been thrown out by an appeals court.
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Trump and some of his entities were hit with that hefty penalty, plus interest, in February 2024 after New York trail Judge Arthur Engoron concluded that Trump had inflated the value of his assets for years to get better loan and insurance terms. Engoron also imposed about $10 million in separate penalties against Trump's eldest sons, Eric and Don Jr., and former Trump Organization executive Allen Weisselberg.
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However, in an August 21 [2025] ruling that included multiple opinions form different members of the five-judge panel, the Manhattan-based appeals court determined the penalties for Trump and the others were improper. Some members of the panel said the penalty violated the U.S. constitution's prohibition on excessive fies. Others said Trump should be afforded a new trial due to errors in the trial judge's determinations.
..... The ruling did uphold non-financial punishment against Trump and others, including a three-year ban on Trump applying for loans form New York banks.
..... The ruling marks another major personal legal victory for Trump, who has also sense multiple criminal cases against him crumble following his November 2024 election victory.
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Trump called the decision a " TOTAL VOOCTORY" on soc la media.
..... "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 posted on Truth Social on August 21. [2025] "It was a political Witch Hunt, in a business sense, the likes of which no one has ever seen before."
..... Trump also used the ruling as an opportunity to argue that both his New York criminal conviction and his $883. million losses to New York writer E. Jean Carroll should also be thrown out.
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"Sadly, there are the Cases against me that are equally disgraceful," Trump said.
..... Trump's oldest sons also celebrated the ruling on social media.
..... "Total victory in the sham NY Attorney General Case!!! After 5 years of hell, justice prevailed!" Eric Trump said in an August 21 [2025] post on X.
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Do and Trump Jr. pointed to a February 2024 post from New York Attorney Gen real Letitia James, who brought the case, in which she celebrated the financial judgment Engoron had imposed.
..... "I believe you mean $0.00 thank you for your attention to this matter," he said in an August 21 [2025] repost on James' comment on X.
..... James claimed partial victory because the appeals court did uphold portions of Engoron's ruling that temporarily restricted Trump's ability to do business in New York and required monitoring of the Trump Organization.
..... "It should not be lost to history: yet another court has ruled that the president violated the law, and that our case has merit," James said in a statement.
..... Contributing: Bart Jansen and Eduardo Cueuas, USA today