Ah, the tides of political fortune—how swiftly they shift!
In an unexpected twist, the Trump Administration has lodged a criminal referral against New York Attorney General Letitia James, alleging mortgage fraud. This development comes as accusations swirl around James regarding the manipulation of property records.
The Federal Housing Finance Agency (FHFA) has thrown its hat into the ring, accusing James of misrepresenting a five-unit residential property in Brooklyn as a mere four units. This alleged deceit was supposedly aimed at securing a more advantageous loan.
US Federal Housing Finance Agency Director @pulte has referred NY AG Letitia James to the DOJ for alleged mortgage fraud. pic.twitter.com/L9l96DBhOZ
— Trump War Room (@TrumpWarRoom) April 15, 2025
As previously reported by TGP, this particular property, acquired by Letitia James in 2001, has been a point of contention. Over two decades, she allegedly described her Brooklyn building as a four-unit structure on various mortgage applications, despite public records confirming its status as a five-unit dwelling.
This is not merely a trivial oversight; the implications are significant. By misrepresenting the unit count, James purportedly gained access to better loan terms, including a favorable 2011 Home Affordable Modification Program (HAMP) loan that reportedly saved her substantial amounts annually.
By securing a conforming loan through Fannie Mae or Freddie Mac, James effectively capitalized on a loophole, as such loans are restricted to properties with four or fewer units.
Documentation, including the Certificate of Occupancy, clearly indicates that the property is, in fact, a five-unit family dwelling.
Furthermore, Bill Pulte, the FHFA Director, has also alleged that James inaccurately labeled her Virginia property as her ‘primary residence,’ despite it being unoccupied.
“This is quite rich coming from someone who has pursued Trump over allegations that seem comparatively trivial,” remarked legal scholar Johnathan Turley on Fox News. “If we apply the standard that Letitia James herself has set, the case against her appears quite straightforward.”
WATCH:
BREAKING: A criminal referral has been sent to the Department of Justice, accusing New York AG Letitia James of mortgage fraud.
How the tables have turned…
Fox News is now reporting that the Federal Housing Finance Agency has sent a criminal referral to Attorney General Pam… pic.twitter.com/7KHpkoOGpk
— Collin Rugg (@CollinRugg) April 15, 2025
In a report by Fox News, it was stated:
New York Attorney General Letitia James has found herself at the center of shocking allegations from the Trump administration, claiming she has committed mortgage fraud.
Documents obtained by Fox News Channel’s The Ingraham Angle reveal that the Federal Housing Finance Agency (FHFA) has referred her case to the Department of Justice, highlighting the potential falsification of records to meet lending criteria for favorable loan terms.
Pulte’s letter to Attorney General Pam Bondi elaborated on the irregularities tied to both a Virginia property she claimed as her main residence and the New York property mischaracterized as a four-unit structure.
Moreover, has suggested that questions surrounding Letitia James’s past may extend even further, with claims of a potential misrepresentation involving her father in a 1983 real estate loan application, where both were reportedly listed as “husband and wife.” The documentation from the New York City Department of Finance indicates a loan taken out on May 20, 1983, raising eyebrows about the accuracy of such claims.
