New York AG James Says Mortgage Fraud Allegations Are Baseless

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A Trump administration official sent a letter to the Justice Department referring her for criminal prosecution.

New York Attorney General Letitia James responded to a letter sent by a Trump administration official referring her for prosecution over alleged mortgage fraud, saying the claims โ€œare baseless.โ€

This week, Federal Housing Finance Agency Director William Pulte sent a criminal referral to the Department of Justice (DOJ) alleging that the Democratic attorney general falsified records to obtain better home mortgage rates.

However, James told local news outlet Spectrum 1 on Thursday that she believes the letter from Pulte is a sign that President Donald Trump is seeking โ€œrevengeโ€ and suggested she is being โ€œbulliedโ€ in response to the case she brought against Trump that resulted in a $454 million criminal judgment last year.

โ€œLet me just say to all New Yorkers and to all Americans: The allegations are baseless. The allegations are nothing more than a revenge tour,โ€ she said.

โ€œI will not be silenced. I will not be bullied. I will not bend. I will not break. And I will not bow to anyone. No one is above the law, including the president of these United States.โ€

James told the outlet that her office will officially respond to Pulteโ€™s letter โ€œat the appropriate time and in the appropriate way.โ€

โ€œI am more focused, again, on standing up for the freedoms, the liberties and the rule of law in the state of New York,โ€ she said.

The letter from Pulte, addressed to U.S. Attorney General Pam Bondi and Deputy Attorney General Todd Blanche, said that James has โ€œin multiple instancesโ€ falsified bank documents and property records to obtain federally backed assistance for mortgages and better terms for her loans.

โ€œThis has potentially included 1) falsifying residence status for a Norfolk, Virginia-based home in order to secure a lower mortgage rate and 2) misrepresenting property descriptions to meet stringent requirements for government backed loans and government assistance,โ€œ he wrote, citing โ€media reportsโ€ for his claims.

In the Virginia matter, James was accused of allegedly co-signing a mortgage with her niece, Shamice Thompson-Hairston, to jointly purchase a home in Norfolk. Pulte said that the terms of her mortgage mandated that she live in the home as her primary residence for at least a year, starting in October 2023, but she had to live in New York state in order to serve as the attorney general.

James was also accused by Pulte of not accurately representing a description of a piece of property that she owns in Brooklyn in order to meet the requirements for securing a federal loan.

โ€œFor both properties listed above, [she] appears to have falsified records in order to meet certain lending requirements and receive favorable loan terms,โ€ Pulte alleged.

Byย Jack Phillips

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