New York AG Letitia James indicted in Virginia after investigation by Trump’s DOJ

A grand jury indicted New York Attorney General Letitia James on Thursday, according to the clerk of court in the Eastern District of Virginia, marking the second Trump foe to face federal prosecution in recent weeks.

The indictment came exactly two weeks after a grand jury in the same Virginia courthouse voted to indict former FBI Director James Comey on charges of lying to Congress.

Last month, Mr. Trump publicly urged Attorney General Pam Bondi to look into Comey, James and a third longtime Trump antagonist, Democratic Sen. Adam Schiff of California.

James has drawn Mr. Trump’s ire for years. Her office sued the president and the Trump Organization for fraud in 2022, leading a judge to issue a nine-figure judgment against the company. Mr. Trump has referred to James as “scum,” “corrupt” and “racist.”

The charges against James are unclear. In May, CBS News reported that the Justice Department had launched a criminal probe into James around alleged mortgage fraud. Three months later, the Justice Department expanded its investigation into James for her office’s handling of its Trump Organization probe.

The mortgage fraud investigation began after William Pulte, director of the Federal Housing Finance Agency, wrote a letter to Bondi alleging that James “has, in multiple instances, falsified bank documents and property records to acquire government backed assistance and loans and more favorable loan terms.”

Pulte claimed James received deals on mortgage terms by falsifying information related to multiple properties over the course of decades. The allegations include listing a home in Norfolk, Virginia, as her “principal residence” despite living and working in New York, buying a five-family property in Brooklyn with a loan that is only available for homes with four units or less, and an accusation that in 1983, James’ father signed mortgage documents stating they were husband and wife.

James has denied the allegations, calling them “baseless.” In April, Abbe Lowell — an attorney for James whose firm frequently represents clients that it believes have been unfairly targeted by the Trump administration — sent a letter to the Department of Justice refuting the allegations laid out in Pulte’s letter.

In a letter to Bondi, Lowell called the allegations “long-disproven” and referred to the investigation as “the latest act of improper political retribution — this time directed at Ms. James — publicly instigated and endorsed by President Trump.” 

Mr. Trump has sparred with James since she was elected New York attorney general in 2018 and began pursuing cases against the president, his businesses and his administration.

In the civil lawsuit against Mr. Trump and the Trump Organization, James’ office accused the company of fraudulently inflating the value of its real estate assets to gain more favorable lending terms in what she called “the art of the steal,” a play on the name of Mr. Trump’s book, “The Art of the Deal.” The president denied wrongdoing, and he and his attorneys lashed out at James, characterizing the case as politically motivated.

After a trial that delved deeply into Mr. Trump’s business empire, a judge ordered the president and his company to pay a judgment in excess of $350 million — which ballooned to over a half-billion dollars including interest. Judges on New York’s appellate court later tossed out the judgment over the summer, calling it “excessive.”

This is a developing story and will be updated.