New York Appeals Court Tosses Nearly $500 Million Fraud Penalty Against Trump

A New York appeals court has struck down the nearly $500 million civil fraud penalty levied against President Donald Trump in a case brought by the state’s attorney general.

The decision, issued Thursday, was not unanimous. While the judges upheld Trump’s liability for fraud, they determined that the penalty was excessive and violated the Eighth Amendment of the United States Constitution, which prohibits excessive fines.

In the majority opinion, the panel wrote, “While the injunctive relief ordered by the court is well crafted to curb defendants’ business culture, the court’s disgorgement order, which directs that defendants pay nearly half a billion dollars to the State of New York, is an excessive fine.”

The ruling effectively removes the massive financial penalty but does not absolve Trump of fraud liability. The case will now move forward for further appellate review, where both sides are expected to continue their legal battle.

This is a developing story and will be updated as new information becomes available.

Credit: CNN Newsource

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