Interesting details have surfaced about New York Attorney General Letitia James, who has been referred to the Department of Justice for alleged mortgage fraud. The Federal Housing Finance Agency (FHFA) Director William Pulte James alleged that James had “falsified records” to obtain favorable mortgage terms.
James allegedly claimed the five-unit Brooklyn, NY, property had four units to meet lending requirements and obtain better interest rates.
“Spanning the last two decades, Ms. James has consistently misrepresented the same property as only having four units in both building permit applications and numerous mortgage documents and applications,” Pulte wrote.
“It appears that Ms. James may have listed the Brooklyn, NY property as four units instead of five units in order to meet the conforming loan requirements, and thus receive better interest rates.”
James also allegedly listed her Norfolk, Virginia, property as her primary residence in 2023 while still serving as the New York state Attorney General.
“Ms. James was the sitting Attorney General of New York and is required by law to have her primary residence in the state of New York — even though her mortgage applications list her intent to have the Norfolk, VA, property as her primary home,” the letter stated.
Between 1983 and 2000, James also purchased another property with her father as a co-signer, but listed that she and her father were in fact “husband and wife.”
“While this was a long time ago, it raises serious concerns about the validity of Ms. James’ representations on mortgage applications,” Pulte noted.
However, James denies those allegations and accuses the Trump administration of weaponizing the federal government and vows not to be intimidated.
Questions surrounding James’ mortgage applications have persisted for a while. Retired NYPD inspector Sam Antar had previously alleged that James had also taken mortgages totaling about $400,000 for her Virginia “investment property,” which she valued between $100,000 and $150,000. Questions also remain as to how James qualified for the Home Affordable Modification Program (HAMP) loan intended for Americans with financial hardships while earning $126,390 in 2011.
Nonetheless, the irony was not lost on the New York chief prosecutor, who spent the better part of her career prosecuting Trump for allegedly inflating the value of his property.
The New York AG had also decried “powerful people” who lie on mortgage applications to obtain better terms at the expense of hardworking Americans.
“When powerful people cheat to get better loans, it comes at the expense of hardworking people. Everyday Americans cannot lie to a bank to get a mortgage, and if they did, our government would throw the book at them. There simply cannot be different rules for different people,” she said in 2024.
In an indirect jab aimed at Trump in 2024, she also claimed that “No one is above the law. Even when you think the rules don’t apply to you.”
Speaking to Fox News, George Washington University law professor Jonathan Turley ripped James, saying she should be held to the same standards she expects from others.
“This is a person who prosecuted Trump for everything short of ripping a label off a mattress, and among the charges … was making false or misleading statements to financial institutions,” Turley said.
“As for James, if we apply the Letitia James standard that she created, there’d be little question here. This seems pretty straightforward.”
If indicted, James faces various charges, including wire fraud, mail fraud, bank fraud, and making false statements to a financial institution. If convicted, she could spend up to 30 years in prison and face fines of up to $1 million.
