Appeals court sends lawsuit over House subpoena for Trump records back to lower court

A federal appeals court sent a lawsuit over a subpoena for President TrumpDonald TrumpTrump PACs brought in over M for the first half of 2021 Chicago owes Trump M tax refund, state's attorney mounts legal challenge Biden hits resistance from unions on vaccine requirement MORE's financial records back down to a lower court, further prolonging the protracted legal battle over House Democrats' oversight efforts of the president's personal finances.

A three-judge panel for the D.C. Circuit Court of Appeals on Wednesday ruled in a brief filing that the move would be in line with the Supreme Court's order over the summer for the lower courts to better balance the interests of the legislative and executive branches in the dispute.

The panel is composed of two judges appointed by Democratic presidents and one who was appointed by Trump.

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The decision is a win for the president, whose lawyers have sought to block and delay any release of Trump's financial records.

Trump sued in 2019 to block the accounting firm Mazars from complying with the subpoena from the House Oversight and Reform Committee for eight years of financial records related to his business.

The courts repeatedly sided with the House, upholding its subpoena as legitimate, until the Supreme Court ruled in a 7-2 decision in July that the lower court judges need to do a better job of balancing the separation of powers issues that the case posed.

House Oversight and Reform Committee Chairwoman Carolyn MaloneyCarolyn MaloneyDOJ tells former Trump officials they can testify in Jan. 6 investigations: report Overnight Energy: Democrats request interview with Exxon lobbyist after undercover tapes | Biden EPA to reconsider Trump rollback on power plant pollution in 2022 | How climate change and human beings influence wildfires Democrats request interview with Exxon lobbyist after undercover tapes MORE (D-N.Y.) stood by the subpoena following the high court's decision, telling the D.C. Circuit in recent months that the committee would not be narrowing the scope of its investigation and that it would renew the subpoena when the next session of Congress convenes.

Wednesday's order is a setback for the committee, which had urged the D.C. Circuit to quickly resolve the remaining legal issues in the case.

An oversight committee spokeswoman did not immediately respond when asked for comment.