New York Attorney General Letitia James stood before a federal judge in Norfolk, Virginia on Friday, pleading not guilty to two felony charges. The allegations? Bank fraud and making false statements to a financial institution over her 2020 purchase of a home in the area.
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Federal prosecutors claim James misled her lender by claiming the property would be her secondary residence, when in fact she allegedly rented it out to another family. That misrepresentation, according to the indictment, helped her qualify for a lower interest rate and slash nearly $19,000 over the 30-year life of the mortgage.
“This is nothing more than a continuation of the president’s desperate weaponization of our justice system,” James said after her indictment. “These charges are baseless, and the president’s own public statements make clear that his only goal is political retribution at any cost.”
James appeared in court before U.S. District Judge Jamar K. Walker and is being represented by Abbe Lowell and Andrew Bosse, a former federal prosecutor.
The indictment was brought by Lindsey Halligan, a former White House aide immediately acting as U.S. attorney for the Eastern District of Virginia. Halligan was appointed last month by Donald Trump, who has a long-standing feud with James following her investigations and successful civil fraud case against him.
James is expected to file a motion to dismiss the case, arguing selective and vindictive prosecution and questioning the legality of Halligan’s appointment.
Her trial is set for January 26, 2026. Motion hearings will begin this December.
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