Trump’s Nearly $500M Civil Fraud Penalty Tossed By New York Appeals Court

The ruling overturns a February 2024 judgment that Trump enriched himself for years by inflating asset values to secure favorable loans.

A New York appeals court on Thursday struck down a nearly half-billion-dollar fraud penalty against President Donald Trump and his company in a civil case over asset valuations, but upheld the finding of liability. 

This gives Trump a financial victory while affirming that he broke the law. The ruling vacates a February 2024 judgment from a Manhattan trial judge, who found that Trump inflated the value of his assets for more than a decade to secure favorable loan terms. The appeals panel called the penalty “excessive” but maintained that Trump’s conduct violated state law.

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