New York AG to appeal ruling tossing Trump’s $454M civil fraud penalty

New York Attorney General Letitia James will appeal a ruling that tossed out the half-billion-dollar penalty against President Donald Trump as part of the guilty verdict in his civil fraud case.

In a filing to the Court of Appeals, James signaled that her office will ask the panel of judges to overrule the lower court’s decision and reinstate the penalty while upholding the finding that Trump, his eldest sons and his business were liable for a decade’s worth of business fraud.

The notice filed by James’s office late Thursday doesn’t outline arguments as to why the lower court’s decision should be reversed, which will be detailed in future court filings.

Last month, the First Judicial Department of the New York State Appellate Division issued a ruling keeping in place non-monetary penalties imposed by a lower court on now-President Trump and his company, but said the more than half-billion-dollar fine imposed as part of the guilty verdict is “excessive” and violates the Eighth Amendment of the U.S. Constitution.

That court said the fine violated the U.S Constitution’s Eighth Amendment, which prohibits “excessive fines” but the five-member panel was deeply divided over Trump’s appeal.

Some judges said they were in favor of upholding the fraud ruling but dismissing the fines, others in favor of ordering a new trial, and at least one who would have dismissed the case entirely.

A lawsuit against Trump and his company by James alleged that Trump overvalued his properties on financial statements between 2014 and 2021 by hundreds of millions of dollars, which deprived the state and New York City of tax revenue.

In February 2024, Manhattan Supreme Court Judge Arthur Engoron ordered Trump and his organization to pay around $454 million in penalties after finding him liable for business fraud. With interest, the fines were expected to reach more than $500 million. At the time, Trump was running for president.

James, a Democrat first elected in 2018, has been a frequent critic of Trump and, in addition to the civil fraud trial, has filed several multistate lawsuits against the Trump administration over federal immigration policies, rollbacks in federal funding, and worker layoffs and other actions.

Earlier this month, the Justice Department subpoenaed James to investigate whether she violated Trump’s civil rights during his fraud trial. The federal government is also investigating her for allegations of mortgage fraud.

A Trump spokesperson issued a statement criticizing James for waging a “political crusade” against Trump and inflating the value of his properties to win the court case.

“Tish James should focus on her own problems and stop wasting New York State taxpayers’ hard earned dollars on her failed Witch Hunt against President Trump, his family, and the magnificent business that he built,” the spokesman said.

Leave a Comment





Latest News Stories

WATCH: Newsom optimistic about redistricting despite poll

WATCH: Newsom optimistic about redistricting despite poll

By Dave MasonThe Center Square Gov. Gavin Newsom on Friday said he’s proud of how quickly the California Legislature passed a congressional redistricting proposal that he signed, but he was...
Newsom meets with Danes, talks about Trump but not 2028

Newsom meets with Danes, talks about Trump but not 2028

By Dave MasonThe Center Square California Gov. Gavin Newsom came to his hometown of San Francisco Friday to talk about the state’s new green energy partnership with Denmark. But another...
CA bill to give interest on insurance payments to homeowners

CA bill to give interest on insurance payments to homeowners

By Jamie ParsonsThe Center Square The California Legislature this week passed a bill to give at least 2% of interest on insurance payments to owners of homes that need rebuilding...
DOJ releases Maxwell interview transcripts, audio; described Trump as 'gentleman'

DOJ releases Maxwell interview transcripts, audio; described Trump as ‘gentleman’

By Sarah Roderick-FitchThe Center Square The U.S. Department of Justice on Friday released the audio and transcript interviews with Ghislaine Maxwell, “in the interest of transparency,” in which she claims...
Erik Menendez denied parole; brother appears before board

Erik Menendez denied parole; brother appears before board

By Dave MasonThe Center Square Lyle Menendez faced a California Board of Parole hearing Friday, after two commissioners Thursday evening denied parole to his younger brother Erik Menendez after a...
After cutting union contracts, VA redirects $45M to veterans

After cutting union contracts, VA redirects $45M to veterans

By Brett RowlandThe Center Square U.S. Department of Veterans Affairs officials announced Friday that the agency is redirecting nearly $45 million from public union costs to care for veterans. "VA...
Illinois quick hits: Pritzker signs abortion bills; Operation Purple Heart returns medals

Illinois quick hits: Pritzker signs abortion bills; Operation Purple Heart returns medals

By The Center SquareThe Center Square Pritzker signs abortion bills Two bills Gov. J.B. Pritzker enacted Friday impact access to abortion procedures. House Bill 3637 shields health care providers from...
Casey Council Meeting.1

Meeting Summary and Briefs: Casey City Council for August 18, 2025

The Casey City Council addressed major economic development, housing, and infrastructure topics at its August 18 meeting, highlighted by the announcement that the city has officially joined the Central Illinois...
WATCH: IL Department of Human Services’ adverse audit draws legislators’ ire

WATCH: IL Department of Human Services’ adverse audit draws legislators’ ire

By Greg Bishop | The Center SquareThe Center Square (The Center Square) – A recent adverse audit of the Illinois Department of Human Services is the worst audit seen by...
Illinois prisons to publish annual data on contraband, safety and overdoses

Illinois prisons to publish annual data on contraband, safety and overdoses

By Catrina Barker | The Center Square contributorThe Center Square (The Center Square) – A new law requires the Illinois Department of Corrections to publish annual data on contraband, substance...

WATCH: Trump says ‘dangerous’ Chicago next after addressing crime in D.C.

By Greg BishopThe Center Square President Donald Trump says Chicago is next on his list of cities to focus on cleaning up crime. In December, after Trump was elected to...
Gallego, others question Meta on policies for kids using AI

Gallego, others question Meta on policies for kids using AI

By Zachery SchmidtThe Center Square U.S. Sen. Ruben Gallego, D-Arizona, along with nine other senators, wrote a letter to Meta CEO Mark Zuckerberg this week inquiring about the company’s policies...
Commission enacted to aid young IL farmers facing challenges

Commission enacted to aid young IL farmers facing challenges

By Catrina Barker | The Center Square contributorThe Center Square (The Center Square) – Gov. J.B. Pritzker enacted a law launching the Farmland Transition Commission, a lifeline for young farmers...
Appeals court: Serious Chicago police disciplinary hearings must be public

Appeals court: Serious Chicago police disciplinary hearings must be public

By Glenn Minnis | The Center Square contributorThe Center Square (The Center Square) – A panel of appellate court judges has ruled Chicago police officers facing serious misconduct allegations must...
WATCH: IL child welfare interns debate heats up; state financial audit released

WATCH: IL child welfare interns debate heats up; state financial audit released

By Greg Bishop | The Center SquareThe Center Square (The Center Square) – In today's edition of Illinois in Focus Daily, The Center Square Editor Greg Bishop talks live with...