Federal Prosecutor Fired After Sending Files Related to Letitia James Probe

A federal prosecutor in Virginia who reportedly opposed bringing bank fraud charges against New York Attorney General Letitia James has been dismissed after allegedly mishandling sensitive materials related to the case, according to an internal report.

Beth Yusi, a career attorney with the U.S. Attorney’s Office for the Eastern District of Virginia, was terminated earlier this month.

Yusi, who joined the Department of Justice in 2010, had been based in the Norfolk office before her firing.

According to CNN, an internal email indicated Yusi allegedly forwarded investigative files containing James’ personally identifying information to her private email account.

The report stated that federal officials viewed the alleged action as a security breach involving protected case information.

So now we learn that Beth Yusi, the Virginia prosecutor who fought against charging Letitia James, was fired for allegedly emailing investigative files about James to her personal account.

Let that sink in.
The same prosecutor who wrote the “no evidence” memo somehow had so much…

— Sam E. Antar (@SamAntar) October 25, 2025

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Several media outlets reported that Yusi’s termination also followed internal disagreement over how to handle the bank fraud investigation involving James.

Yusi reportedly pushed back against pressure from within the Justice Department to move forward with criminal charges.

The former assistant U.S. attorney had authored an internal memorandum stating that there was insufficient evidence to establish probable cause for a bank fraud prosecution against James.

The case involves allegations that James made false statements to a financial institution in connection with her 2020 purchase of a property in Norfolk, Virginia.

Sources familiar with the matter told CNN that Yusi’s firing was based, at least in part, on her alleged mishandling of sensitive investigative materials.

They said the Justice Department’s Office of Professional Responsibility is reviewing her conduct.

Lindsey Halligan, interim U.S. Attorney for the Eastern District of Virginia, was reportedly concerned about possible leaks of confidential case details to the press.

Halligan has overseen the prosecution of James since the investigation began.

“Ms. Yusi is a well-respected prosecutor, a leader among her peers, and a consummate professional with nearly two decades of experience,” Yusi’s attorney, Margaret Donovan, told CNN.

Donovan denied any wrongdoing by her client and disputed the claim that Yusi ever transferred protected materials outside government channels.

“She has no record of any such email and has never used her personal email account for any portion of any investigation,” Donovan said.

Letitia James appeared in federal court in Norfolk on Friday, where she pleaded not guilty to both charges against her.

The indictment, filed by Halligan’s office, accuses James of committing bank fraud and making false statements to obtain a mortgage loan for a Norfolk property.

Prosecutors allege James purchased the home in 2020 using a $109,600 loan and signed mortgage documents declaring she would be the “sole borrower to occupy and use the property.”

However, investigators say James used the residence as a rental investment instead of occupying it as required under the loan terms.

According to the indictment, James also signed a “second home rider” to qualify for more favorable mortgage conditions, saving approximately $19,000 in costs and interest.

If convicted on both counts, James faces a potential sentence of up to 60 years in prison and fines totaling as much as $2 million.

The case remains ongoing in the U.S. District Court for the Eastern District of Virginia, with pretrial motions expected to begin in the coming weeks.

Neither the Justice Department nor James’ legal team has commented further on the firing of Yusi or the allegations surrounding the handling of case files.