New York AG Letitia James Gets Criminal Referral for Possible Mortgage Fraud

New York Attorney General Letitia James made a name for herself prosecuting President Trump for fraud. That case resulted in a judgement against Trump for hundreds of millions of dollars and is currently being appealed. Today, AG James got criminal referral of her own which involves her purchasing of a house in Norfolk, Virginia and another multi-family home in Brooklyn.

Federal Housing FHFA Director William Pulte sent the missive to Attorney General Pam Bondi and Deputy AG Todd Blanche, alleging that James had “falsified records” to get home loans for a property in Virginia that she claimed was her “principal residence” in 2023 — while still serving as a New York state prosecutor.

In February 2001, James also purchased a five-family dwelling in Brooklyn — but has “consistently misrepresented the same property as only having four units in both building permit applications and numerous mortgage documents and applications,” the letter noted.

So what’s going on here? Newsweek has a story up looking at the allegations about the house in Norfolk. 

A “specific power of attorney” document signed by James on August 17, 2023, shows her intent to change her residence to Norfolk, Virginia. The attorney general authorized her relative, Shamice Thompson-Hairston, to act on her behalf…

The 1,450-square-foot single-family home property in Norfolk was built in 1947 and has three bedrooms and one bathroom, per the deed. It was purchased for $240,000, with a $219,780 mortgage…

A separate land record stipulates both women to “occupy, establish, and use” the Norfolk home as their “principal residence” within 60 days and to keep it their “principal residence” for at least one year.

This generates two potential problems for James. The first is that, by law, her residence must remain in the jurisdiction where she holds office.

State law says the following: “When an officeholder removes his residence from the territorial limits required by statute, the office is rendered vacant.”

Obviously, since James does not live in Norfolk, VA, she hasn’t actually vacated the jurisdiction. However, this creates another potential problem: mortgage fraud. 

If you’ve ever held a mortgage then you may know that rates for second homes or investment properties are always higher than rates for primary residences. Here’s a whole page about that at Bankrate:

Keep in mind that second home mortgage rates are typically higher than primary residence interest rates. That’s because they hold more risk — if you’re struggling financially, you’re much more likely to pay the mortgage on the home you live in than the one you vacation in or rent out.

So claiming a home is your primary residence could be an attempt to get a lower rate from the bank and if you had no intention of actually moving there full time, that would be fraud. 

Newsweek’s story doesn’t mention the five-family dwelling but you can read what the referral letter said about that here:

🚨 US Federal Housing Finance Agency Director @pulte has referred NY AG Letitia James to the DOJ for alleged mortgage fraud. pic.twitter.com/L9l96DBhOZ

— Trump War Room (@TrumpWarRoom) April 15, 2025

Laura Ingraham opened her show tonight with a discussion of this story with guest Jonathan Turley.

BREAKING: A criminal referral has been sent to the Department of Justice, accusing New York AG Letitia James of mortgage fraud.

How the tables have turned…

Fox News is now reporting that the Federal Housing Finance Agency has sent a criminal referral to Attorney General Pam… pic.twitter.com/7KHpkoOGpk

— Collin Rugg (@CollinRugg) April 15, 2025

Turley recapped some of his comments on X:

…For James, the irony is crushing. She previously prosecuted Trump for everything short of ripping a label off a mattress. She emphasized that Trump was ultimately responsible for any filings made in his name or that of his company…

— Jonathan Turley (@JonathanTurley) April 15, 2025

…The greatest danger for Letitia James may be if the Letitia James standard is applied to her case. She emphasized that such technicalities matter and that the powerful should not be given a free pass under these laws…

— Jonathan Turley (@JonathanTurley) April 15, 2025

James didn’t offer a response when contacted by Fox News so we’ll probably have to wait until tomorrow to get her version of the story. Maybe she can explain some of this. For instance, does her Brooklyn property have 5 units or just 4. Could it have been remodeled at some point? We’ll have to wait and see. Meanwhile, plenty of people on X are ready to treat her the same way they feel she treated Trump.

Letitia James engaged in some of the most shameful, partisan lawfare against President Trump—based on far less evidence than this.

No one is above the law. https://t.co/FxSvm4XGSJ

— Tom Cotton (@TomCottonAR) April 16, 2025

No one is above the law! https://t.co/elH9ZtcuiF

— Elise Stefanik (@EliseStefanik) April 16, 2025

The Queen of Lawfare, PEEKABOO @TishJames, must be investigated.

She appears to be guilty of what she FALSELY accused @realDonaldTrump of doing.

NO ONE IS ABOVE THE LAW! https://t.co/tTCirmRmcl

— Lance Gooden (@Lancegooden) April 16, 2025

👀 https://t.co/kJpwK49fnY pic.twitter.com/w7M05aNMwW

— Trump War Room (@TrumpWarRoom) April 16, 2025

🤔 “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