New York Attorney General Letitia James is reportedly under federal investigation for alleged mortgage fraud, according to a CBS News report over the weekend.
William Pulte, Director of the Federal Housing Finance Agency, has sent a referral letter to U.S. Attorney General Pam Bondi, alleging that James falsified financial information to obtain government-backed mortgage benefits for properties in Brooklyn, New York, and Norfolk, Virginia.
According to Pulte, James falsely claimed a Norfolk property as her primary residence in order to receive favorable loan terms, despite her official duties requiring residency in New York. He also alleges she used a power of attorney to falsely designate the Virginia address as her main home.
Additional claims involve a Brooklyn property James purchased in 2001. Pulte alleges that James misrepresented the building as a four-unit dwelling—within the limit for certain federal loans—when it actually had five units, potentially securing a lower interest rate.
Another accusation relates to a 1983 mortgage document in which James and her father allegedly posed as a married couple.
Pulte says if these allegations are substantiated, they could constitute wire fraud, bank fraud, mail fraud, and making false statements to financial institutions. Attorney General Bondi confirmed her office had received the referral and will review the claims.
James has denied any wrongdoing. A spokesperson said she remains committed to serving New Yorkers and dismissed the allegations as politically motivated. James herself called the claims “baseless” and part of a “revenge tour” tied to her successful 2022 fraud case against Donald Trump, which resulted in penalties exceeding $500 million.
Governor Kathy Hochul urged caution and due process, while legal analyst Nicole Brenecki noted that some of the alleged offenses may be affected by statutes of limitations.
As of now, James has not been charged.
