New York Attorney General Letitia James — the same official who led the civil fraud case against President Donald Trump — is now under federal scrutiny for allegedly committing mortgage fraud herself. The U.S. Federal Housing Finance Agency (FHFA) has referred James to the Department of Justice, citing accusations that she falsified mortgage documents to score better loan terms.
According to the referral, James allegedly misrepresented a Virginia property as her primary residence and listed a New York property as having four units instead of five — potentially skirting lending rules. She also reportedly listed her father as her husband on loan documents. These errors may have helped her secure more favorable mortgage terms, but they also raise serious questions about her ethics, especially given her public crusade against financial fraud.
As Fox News reports:
FHFA Director William Pulte said in a letter to Attorney General Pam Bondi that James appears to have falsified records to meet certain lending requirements and receive favorable loan terms.
Pulte cited a property in Virginia that James allegedly claimed as her principal residence and a property in New York she claimed as a four-unit structure instead of five, which he said could mean she was able to get a different and more favorable loan.
In response, a spokesperson for James’ office said Wednesday morning that she has been “focused every single day on protecting New Yorkers, especially as this administration weaponizes the federal government against the rule of law and the Constitution. She will not be intimidated by bullies — no matter who they are.”
Fox News contributor and George Washington University law professor Jonathan Turley told Fox News host Laura Ingraham the irony of James getting accused of falsifying records is “perfectly crushing.”
Ingraham Angle EXCLUSIVE:
— Laura Ingraham (@IngrahamAngle) April 16, 2025
Bombshell criminal referral on NY AG & Trump prosecutor Letitia James from Federal Housing Authority. Document contains serious claims of mortgage fraud and includes several pages of documentary evidence. pic.twitter.com/w8bFH6G3u6
James built her national reputation by accusing Trump of inflating property values to defraud lenders to receive more favorable loans and insurance. Judge Arthur Engoron ruled in September 2023 that Trump and his company had committed civil fraud, claiming exaggerated valuations for properties like Mar-a-Lago and Trump Tower. (RELATED: Obama-Era Judge Drops A Bombshell – The Showdown Is Just Beginning)
After an 11-week trial to determine damages owed, Trump was hit with a $350+ million penalty, plus interest. He was also barred from operating a business in New York for three years — though that ruling is currently under appeal.
Following Trump’s reelection, James announced her intention to double down on her pursuit of the then nearly $500 million civil fraud judgment against him — signaling that presidential immunity won’t deter her.
At the time, James’ office asserted that Trump’s status as both a former and future president does not place him above the law.
In a letter to Trump’s attorney, the deputy solicitor general for the New York Attorney General’s office argued that the lawsuit would not interfere with Trump’s responsibilities in the White House.
Selective Justice?
James famously declared “no one is above the law” while going after Trump. But if these allegations are true, it looks like she didn’t think the same rules applied to her. Furthermore, the transactions under question date back to 1983 and 2000 — long before she was in the national spotlight. If true, it suggests a long-term, systemic pattern, not a one-off mistake. (RELATED: Trump Lawyer Promises To Put Letitia James’ ‘Fat Ass’ In Prison If She Continues Lawfare)
🤔 "No one is above the law. Even when you think the rules don’t apply to you." – Letitia James https://t.co/9Y0GeMfyoS pic.twitter.com/lJjihQ5Jx2
— Byron Donalds (@ByronDonalds) April 16, 2025
Why It Matters
This isn’t just a “gotcha” moment. It highlights a broader issue: the two-tiered approach to justice that Americans are increasingly waking up to. When high-profile Democrats are accused of similar behavior to what they prosecute others for, the trust in our institutions takes a hit.
At the very least, if James is going to argue that Trump should be held accountable for stretching the truth on paper, then the same standard should apply to her. Otherwise, her entire case against Trump looks more political than principled.
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Soros backed Democrat turn out to be another Democrat criminal,has many of her peers in the same boat
But I am Black and entitled to anything I want! So says this Black Attorney who seems to think she can get away with anything. So we shall see if that is true or not. All of the litigation items listed for an attorney or a CPA like myself are felony offences. Pam Bondi and the DOJ had better put that Bit*h in jail where she belongs!!!
I bet if you dig a little further, you’ll find more mud. Officials like Pelosi, Waters, Willis,, James and others are so ROTTED and fraudulent, while waltzing around as if they were Ms. America personified, wrapped in the Stars and Stripes spouting Democracy, when besides mouthing the word, they know NOTHING about Democracy and in fact are the enthesis of Democracy