The Justice Department has initiated a criminal investigation into New York Attorney General Letitia James, as confirmed by sources. A judge in the Eastern District of Virginia issued a subpoena amidst claims that James misrepresented a Virginia home as her primary residence to secure better loan terms.
This federal investigation follows a criminal referral from William Pulte, who led the Trump administration’s federal housing finance agency. There are allegations that James misrepresented details regarding livable units in a Brooklyn property as well.
James’ attorney, Abbe Lowell, expressed that these allegations appeared unfounded and suggested they emerged shortly after President Trump publicly criticized James. Lowell characterized this situation as political retaliation, mentioning that if prosecutors truly seek the truth, they are prepared to counter false claims with facts.
Following Pulte’s referral, Lowell sent a letter to U.S. Attorney General Pam Bondi, alleging political retribution was at play. James is known for her role among Democratic Attorney Generals opposing several of Trump’s directives early in his presidency.
Furthermore, James once led a lawsuit against Trump, accusing him and his organization of falsifying business records for more advantageous loan terms. Meanwhile, Trump has faced legal issues, recently convicted on 34 felony counts involving businesses and required to pay significant penalties.
Amidst these tensions, James is also facing accusations related to allegedly inflating the number of livable units in a Brooklyn property to gain better financial terms. Lowell criticized Pulte for allegedly disregarding updated documents about the property in question, leaning instead on outdated information.
