Seeing the villain punished, everyone applauded with satisfaction.
Tips
history
From Ling Mengchu's 《二刻拍案惊奇》 (Slapping the Table in Amazement, Second Collection, late Ming): readers applauded when the wicked mother-in-law and adulterer both died. The phrase specifically marks satisfaction at wrongdoers getting their due.
usage
Carries a moral-justice flavor - used when bad actors suffer consequences. Sounds off if used for a neutral happy event (e.g. don't say it about a wedding).