New York Attorney General Letitia James, who aggressively pursued President Trump through lawsuits, now finds herself under FBI investigation for allegedly committing mortgage fraud on properties in Virginia and Brooklyn.
Key Takeaways
- The FBI and US Attorney’s Office for the Northern District of New York have launched a formal investigation into NY Attorney General Letitia James for alleged mortgage fraud involving properties in Virginia and Brooklyn
- James allegedly falsely claimed a Virginia home as her primary residence in 2023, despite being legally required to reside in New York as the state’s Attorney General
- Federal Housing Finance Agency Director William Pulte issued a criminal referral alleging that James falsified property records and misled lenders
- James’s 2018 campaign explicitly targeted President Trump before identifying specific crimes, raising concerns about politically motivated prosecution
- James denies all allegations, claiming the investigation is politically motivated retaliation for her civil fraud case against President Trump
A Startling Turn of Events
In a dramatic reversal of fortunes, New York Attorney General Letitia James, who has spent years pursuing President Trump through legal channels, now finds herself the target of a federal investigation. The FBI and the US Attorney’s Office in the Northern District of New York have launched a probe into James over alleged fraudulent mortgage practices involving properties in Virginia and Brooklyn. The investigation stems from a criminal referral by Federal Housing Finance Agency Director William Pulte, who claims James falsified property records and provided misleading information to lenders.
According to reports, James is accused of falsely claiming a Virginia home as her primary residence in 2023, despite New York law requiring the state’s Attorney General to reside within New York state. Investigators are also examining discrepancies regarding a Brooklyn property purchased by James in 2001, with allegations that she may have misrepresented financial information on mortgage applications for both properties.
🚨I commend the FBI and the U.S. Attorney for the Northern District of New York for investigating New York Attorney General Letitia James over mortgage fraud. Nobody is above the law. These serious allegations—falsifying records to secure favorable loan terms on properties in… pic.twitter.com/zDotSYscUp
— Elise Stefanik (@EliseStefanik) May 8, 2025
Political Vendetta Questions
The investigation has brought renewed attention to James’s 2018 campaign for Attorney General, during which she explicitly promised to target President Trump’s business dealings. US Attorney John A. Sarcone III highlighted these concerns in his statements about the case. “The US attorney said James ‘unethically ran around the state campaigning on getting Donald Trump,’ and essentially accused her of finding a criminal target without an alleged crime,” according to US Attorney John A. Sarcone III.
This investigation raises serious questions about whether James used her position to pursue a political vendetta against President Trump rather than following evidence of actual wrongdoing. Critics, including President Trump himself, have long characterized James’ legal actions against him as a politically motivated witch hunt, and these new allegations seem to lend credence to those claims.
Serious Allegations with Media Silence
Media coverage of the investigation has been surprisingly muted, given the significant nature of the allegations against a high-profile state official. Mediaite founder Dan Abrams expressed initial skepticism about the claims but changed his assessment after reviewing the evidence. “When I first heard that the attorney general had been referred, there was a criminal referral made by the director of the federal Housing and Finance Agency, my initial response was, ‘Oh boy, here we go. Trump is just weaponizing the departments and, in this case, referring to the DOJ, and I’m sure this was all nonsense,” said Dan Abrams.
“But then I read what they were alleging. This is real. This is serious, and I think this could mean big trouble for the attorney general,” added Dan Abrams.
James has categorically denied all accusations, claiming that the investigation is politically motivated and retaliatory following her civil fraud case against President Trump. However, the specific nature of the allegations regarding property records and mortgage applications suggests this is not merely a political smear campaign but involves detailed financial discrepancies that will require thorough investigation.
Potential Consequences
If the allegations against James are substantiated, they could result in serious legal consequences, including potential criminal charges for mortgage fraud. Beyond legal ramifications, the case raises troubling questions about the ethical conduct of a state’s top law enforcement officer and the apparent double standard in the treatment of political figures on opposite sides of the aisle. The situation represents a stark example of potential abuse of power, with James having aggressively pursued President Trump while potentially engaging in fraudulent activities herself.
As the investigation proceeds, it will surely test the principle that no one is above the law – a standard James herself has repeatedly invoked in her pursuit of President Trump. For conservatives who have long argued that the legal system has been weaponized against President Trump, this investigation may represent a long-overdue application of equal justice under the law.
