Realistic traffic simulation is critical for the development of autonomous driving systems and urban mobility planning, yet existing imitation learning approaches often fail to model realistic traffic behaviors. Behavior cloning suffers from covariate shift, while Generative Adversarial Imitation Learning (GAIL) is notoriously unstable in multi-agent settings. We identify a key source of this instability: irrelevant interaction misguidance, where a discriminator penalizes an ego vehicle's realistic behavior due to unrealistic interactions among its neighbors. To address this, we propose Decomposed Multi-agent GAIL (DecompGAIL), which explicitly decomposes realism into ego-map and ego-neighbor components, filtering out misleading neighbor: neighbor and neighbor: map interactions. We further introduce a social PPO objective that augments ego rewards with distance-weighted neighborhood rewards, encouraging overall realism across agents. Integrated into a lightweight SMART-based backbone, DecompGAIL achieves state-of-the-art performance on the WOMD Sim Agents 2025 benchmark.