New York: Appeals court overturns $500 million-plus judgment against Trump for alleged civil fraud

An appeals court ruled Thursday dismissing the huge civil fraud fine levied against President Donald Trump after he was sued by the state of New York for allegedly overstating his net worth.

A five-judge panel of the New York Appellate Division said the verdict, which would cost Trump a fine of more than $500 million was excessive and violated the Eighth Amendment of the Constitution.

"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 that violates the Eighth Amendment of the United States Constitution," wrote Judges Dianne T. Renwick and Peter H. Moulton in one of several opinions, per the AP, upholding the ruling.

After determining that Trump had allegedly committed fraud in filling out financial statements submitted to lenders and insurers, Judge Arthur Engoron ordered him last year to pay $355 million in fines. With interest, the amount had already exceeded $515 million.

The judge also barred Trump and his two oldest sons from holding managerial positions in companies for a few years.

This Thursday, the court dismissed the sanction imposed by Engoron in its entirety. However, it has left an avenue for further appeals to the state's highest court, the Court of Appeals.

Laetitia James will appeal the ruling

New York Attorney General Letitia James announced Thursday that she will appeal the ruling that overturned the civil fine against Donald Trump.

"We will seek appeal to the Court of Appeals and will continue to protect the rights and interests of New Yorkers," the prosecutor said in a statement.