New York Attorney General Letitia James, who led the landmark civil fraud case against former President Donald J. Trump, was indicted Thursday on two federal charges of bank fraud and making false statements to a financial institution.
The indictment, filed in Alexandria, Virginia, stems from what prosecutors allege was a misrepresentation on a 2020 mortgage application for a property in Norfolk.
James, 65, is accused of falsely declaring that the home would be used as her secondary residence, allegedly allowing her to secure a lower interest rate. Prosecutors claim the attorney general instead rented the property, benefitting from roughly $18,933 in improper gains over the life of the loan.
Her first court appearance is set for October 24 in Norfolk, where she will face federal prosecutors from the Eastern District of Virginia.
James Fires Back: ‘No Weapon Formed Against Me Shall Prosper’
Within hours of the indictment, James released a video statement on social media, denouncing the charges as “a continuation of the President’s desperate weaponization of our justice system.”
“He is forcing federal law enforcement agencies to do his bidding, all because I did my job as New York State Attorney General,” James said. “These charges are baseless, and the President’s own public statements make clear that his only goal is political retribution at any cost.”
James accused the administration of firing a U.S. Attorney who previously declined to bring charges against her and replacing him with someone “blindly loyal not to the law, but to the President.”
The Democratic attorney general, who made history as the first Black woman elected to statewide office in New York, invoked her faith and vowed to fight back:
“I’m a proud woman of faith, and I know that faith and fear cannot share the same space,” she said. “So today, I’m not fearful — I’m fearless. No weapon formed against me shall prosper.”
A Long-Running Feud Reignites
The indictment comes amid escalating tension between Trump and James, whose legal battle culminated earlier this year in a $355 million civil fraud penalty against Trump, his adult sons, and the Trump Organization for inflating property values. The decision — later partially stayed pending appeal — drew Trump’s fury.
During the 11-week trial in Manhattan, Trump repeatedly attacked James, calling her “a political hack” and claiming her case was “a witch hunt.” James, undeterred, often responded on social media, insisting that “no one is above the law.”
Questions Over Justice Department Independence
The federal investigation into James began in May, focusing initially on a 2023 mortgage. Prosecutors in Virginia reportedly expressed doubts about the strength of the evidence and declined to indict. But after the resignation of U.S. Attorney Erik Siebert, the case was revived under his successor — Lindsey Halligan, a former Trump attorney.
“This is nothing more than a politically motivated prosecution,” one legal analyst said. “It’s highly unusual for a sitting state attorney general to be indicted by a Justice Department overseen by the very individual she successfully sued.”
Halligan, in a statement, defended the indictment:
“No one is above the law. The charges as alleged represent intentional, criminal acts and tremendous breaches of the public’s trust. The facts and the law in this case are clear, and we will continue following them to ensure justice is served.”
Trump ally Ed Martin, now leading the Justice Department’s “Weaponization Division,” celebrated the charges online, writing, “Promises made, promises kept.”
Looking Ahead
If convicted, James could face up to 30 years in prison under federal sentencing guidelines, though legal experts say a conviction is far from certain given the political context and the relatively small financial amount at issue.
Meanwhile, James maintains her innocence and insists she will continue leading her office. “We will fight these baseless charges aggressively,” she said. “My office will continue to fiercely protect New Yorkers and their rights — and I will continue to do my job.”
