- NY Attorney General Letitia James indicted for alleged bank fraud
- Accused of misrepresenting mortgage loan details on Norfolk home
- Claims property was a secondary residence but used as rental
New York Attorney General Letitia James has been indicted on federal charges by a grand jury in the Eastern District of Virginia.
According to court documents, James faces charges of bank fraud and making false statements to a financial institution in connection with a mortgage loan for a property in Norfolk, Virginia.
James, who led the high-profile civil fraud case against former President Donald Trump in 2023, is accused of misrepresenting the use of a three-bedroom home in Norfolk. Prosecutors allege she claimed it would be a secondary residence—a requirement of the mortgage—while in reality, the property was being used as a rental investment, housing a family of three. The alleged misrepresentation allowed her to secure more favorable loan terms.
In a statement, James condemned the indictment as politically motivated, directly accusing President Trump of influencing the charges.
“This is a desperate weaponization of our justice system,” James said.
“He is forcing federal law enforcement agencies to do his bidding, all because I did my job as New York State Attorney General. These charges are baseless, and the president’s own public comments reveal this is about revenge—not justice.”
Lindsey Halligan, the U.S. prosecutor now overseeing the case and a former Trump personal attorney, stated:
“This indictment shows that no one is above the law. The charges reflect intentional criminal conduct and serious breaches of public trust.”
Halligan replaced prosecutor Erik Siebert, who reportedly resigned after informing the Justice Department that he found insufficient evidence to pursue charges against James.
If convicted, James could face up to 30 years in prison per count and fines of up to $1 million per charge.
James’s attorney, Abbe Lowell, said the prosecution appears politically driven:
“We are deeply concerned that this case is being driven by President Trump’s personal desire for retribution.”
The indictment follows recent public pressure from Trump, who urged U.S. Attorney General Pam Bondi—another Trump ally—to take legal action against his political opponents, including James. In a social media post, he wrote:
“We can’t delay any longer, it’s killing our reputation and credibility.”
Following that post, Trump critics such as former FBI Director James Comey and Senator Adam Schiff have also reportedly come under federal investigation. Comey was recently charged with making a false statement to Congress and pleaded not guilty.
James is expected to appear in court on October 24 in Norfolk.
In response to the indictment, New York Governor Kathy Hochul called the charges “an outrageous weaponization of the Justice Department” aimed at punishing those who challenge the powerful. The New York Civil Liberties Union and American Civil Liberties Union echoed that sentiment, calling it “a brazen abuse of power.”
James has reaffirmed her commitment to holding Trump accountable. In her previous civil fraud case, Trump was found liable for falsifying financial records to obtain favorable loan terms. The original $500 million fine was later reduced by an appeals court but the fraud ruling was upheld.
Throughout the civil case, Trump repeatedly attacked James publicly, accusing her of conducting a political “witch hunt.” James responded that Trump was “not above the law” and that her office’s work will continue.
