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New York Attorney General Letitia James faces allegations of mortgage fraud, referred to the Department of Justice by the Federal Housing Finance Agency (FHFA).
The accusations, led by FHFA Director William Pulte, claim James falsified records to secure favorable loan terms for properties in Virginia and New York. Specifically, she allegedly declared a Norfolk, Virginia, home purchased in August 2023 as her primary residence, despite serving as New York’s attorney general, which requires New York residency. This misrepresentation could have allowed her to obtain a lower mortgage rate.
Additionally, James is accused of misrepresenting a Brooklyn property as having four units instead of five on mortgage applications since 2001, potentially qualifying her for better loan terms. Historical allegations also include falsely listing her father as her husband on mortgage documents in 1983 and 2000. The referral suggests possible charges like wire fraud, mail fraud, bank fraud, and false statements to a financial institution.
James’ office denies the allegations, asserting she is being targeted by the Trump administration for political reasons. No formal charges have been filed, and the Department of Justice is reviewing the referral. Critics, including former prosecutors, note the irony given James’ high-profile fraud case against Trump, suggesting political motivations behind the scrutiny, though failing to acknowledge James’ own political motivations.
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