Feds open criminal investigation into NY AG Letitia James

The Department of Justice has opened a criminal investigation into New York Attorney General Letitia James, according to sources familiar with the matter. A grand jury in the Eastern District of Virginia has issued subpoenas related to accusations that James misrepresented a single-family home in Virginia as her primary residence in order to secure more favorable loan terms.

This news comes after a criminal referral from the Trump administration’s Federal Housing Finance Agency Director William Pulte, who requested the DOJ investigate James for this matter as well as another incident in which she allegedly misrepresented the number of livable units in a multifamily Brooklyn house to obtain better loan terms.

In response to these allegations, James’ attorney, Abbe Lowell, called the claims “baseless and long-discredited” and accused President Trump of seeking political retribution. Lowell emphasized that James is prepared to present the facts to counter these false claims.

Letitia James has been a vocal critic of President Trump and has been involved in lawsuits challenging many of his policies. She was also the lead prosecutor in a case that resulted in Trump being the first U.S. president sentenced as a felon for falsifying business records to obtain favorable loan terms.

Lowell’s letter to U.S. Attorney General Pam Bondi and the Justice Department accused the president of hypocrisy for complaining about the politicization of the Justice Department while seeking retribution against James. He also pointed to instances where Trump has personally attacked James.

Regarding the allegations of misrepresenting her primary residence and inflating the number of livable units in a property, Lowell explained that James had no intention of using the Virginia home as her primary residence and that there were other documents where she indicated otherwise. He also dismissed the claim of inflating the number of units by pointing to updated documentation listing the property as a four-unit multifamily residence.

The investigation into Letitia James is ongoing, and it remains to be seen how this will impact her role as New York’s Attorney General. Stay tuned for further updates on this developing story.