New York Attorney General Letitia James, who previously led a civil fraud case against Donald Trump, is now facing a federal criminal referral over alleged mortgage fraud, according to a letter obtained by The New York Post.
James, 66, sued Trump and his business empire in 2022, accusing them of inflating asset values. That case concluded with Judge Arthur Engoron ordering Trump to pay a $354 million penalty plus interest.
Now, Federal Housing Finance Agency Director William Pulte has sent a letter to U.S. Attorney General Pam Bondi, alleging that James “falsified records” in August 2023 to obtain home loans for a property in Norfolk, Virginia. James claimed the home was her “principal residence,” despite holding office in New York, where she is legally required to reside.
The letter surfaced on the same day James announced a new investigation into Trump over insider trading accusations. The probe follows his abrupt reversal on reciprocal tariffs, a move that rattled financial markets.
In his letter to Bondi and Deputy Attorney General Todd Blanche, Pulte stated:
“Ms James was the sitting Attorney General of New York and is required by law to have her primary residence in the state of New York – even though her mortgage applications list her intent to have the Norfolk, VA, property as her primary home.”
Pulte claims the alleged misrepresentations may have helped James obtain better loan terms. He also alleges that James has consistently mischaracterized a Brooklyn property she bought in 2001 as having four units, despite it being a five-family dwelling, in both building permits and mortgage paperwork.
Another claim involves a joint property purchase with her father, in which the pair were allegedly listed as “husband and wife” on mortgage documents from 1983 and 2000.
“While this was a long time ago, it raises serious concerns about the validity of Ms James’ representations on mortgage applications,” Pulte concluded.
A spokesperson for James dismissed the allegations, stating:
“Attorney General James is focused every single day on protecting New Yorkers, especially as this administration weaponizes the federal government against the rule of law and the Constitution.
She will not be intimidated by bullies – no matter who they are.”
Trump had vowed to target political enemies if re-elected. During last year’s campaign, he made over 100 threats, according to NPR, promising retribution through speeches, social media, and interviews.
Since returning to office, he has continued his rhetoric. At a Justice Department address, Trump referred to his prosecutors as “scum,” and called himself “the chief law enforcement officer in our country.”
“We will expel the rogue actors and corrupt forces from our government,” he told an audience of law enforcement professionals.
“We will expose, very much expose their egregious crimes and severe misconduct. It’s going to be legendary.”
In a January 2024 rally, Trump said James and Judge Engoron “should be arrested and punished accordingly.” More recently, he wrote on Truth Social, calling James “a totally corrupt politician” and a “wacky crook,” demanding her resignation as Attorney General “IMMEDIATELY.”
