A federal prosecutor in Virginia, who opposed bank fraud charges against New York Attorney General Letitia James, has been dismissed for allegedly mishandling sensitive information in relation to the case. Reports indicate that Beth Yusi, from the Norfolk office of the U.S. Attorney’s Office for the Eastern District of Virginia, sent investigative files containing James’ private information to her personal email.
Yusi had been with the Justice Department since 2010 but was terminated earlier this month. Several outlets suggested that her firing stemmed from her resistance to pressure from the Trump administration to go forward with charges against James.
A former assistant U.S. attorney had reportedly documented that there was insufficient evidence to prosecute James, who faces accusations of bank fraud and making false statements regarding a 2020 real estate purchase in Norfolk, Virginia.
However, Yusi’s dismissal was partly attributed to suspicions she mishandled information concerning the case, as a source familiar with the situation relayed. Lindsay Harrigan, interim U.S. attorney for the Eastern District of Virginia, expressed concerns that her office’s lawyers were leaking details about the case to the media.
Margaret Donovan, Yusi’s attorney, stated that her client is well-respected and has nearly 20 years of experience, insisting that Yusi “has no record of such emails” and has never used a personal account for the investigation.
On Friday, James appeared in federal court in Norfolk, entering a not guilty plea to the two charges laid against her. Should she be convicted on both counts, James could face up to 60 years in prison and hefty fines potentially totaling $2 million.
The indictment asserts that James utilized a Norfolk home financed with a $109,600 loan as a rental investment, despite signing a document that specifically identified her as “the sole tenant to occupy and use the property.”
By agreeing to the second home arrangement, James managed to secure better mortgage terms, which reportedly saved her about $19,000. The Justice Department has not yet commented on the matter.





