NORFOLK, Va. (AP) — New York Attorney General Letitia James He is scheduled to make his first court appearance Friday in the mortgage fraud case, making him the third opponent of President Donald Trump to face a judge on federal charges in recent weeks.
James was charged earlier this month with bank fraud and making false statements to a financial institution in connection with a 2020 home purchase in Norfolk, Virginia. The charges come shortly after the officials overseeing the investigation were ousted by the Trump administration and the president publicly called on the Justice Department to take action against James and other political opponents.
James, Democrats who have sued Trump and his administration dozens of timeshas denied wrongdoing and denounced the indictment as “nothing more than the president’s continued hopeless weaponization of our justice system.”
The charges stem from James’ purchase of a modest Norfolk home for his family. At the time of the sale, she signed a standard document called a “Second Home Covenant” in which she agreed to keep the property primarily for “her personal use and enjoyment for at least one year” unless the lender agreed otherwise.
Rather than use the home as a separate residence, James rented it out to a family of three, according to the indictment. According to the indictment, this misrepresentation allowed Mr. James to obtain favorable financing terms not available for investment properties.
Mr. James angered Mr. Trump by winning a stunning verdict against the president and his company for defrauding banks by inflating the value of real estate holdings on financial statements. The appeals court reversed the fine, which had grown to more than $500 million, including interest, but upheld a lower court’s finding that Trump committed fraud.
James’ indictment comes after Eric Siebert resigned from his post as attorney for the Eastern District of Virginia after resisting pressure from the Trump administration to prosecute. Siebert was replaced by Lindsey Harrigan, a White House aide and former Trump lawyer. Mr. Harrigan, who had never previously served as a federal prosecutor, personally presented Mr. James’ case to a grand jury.
On Thursday, James’ lawyers sought an order barring prosecutors from disclosing information about the investigation or case materials to the media outside of court.
The motion follows revelations earlier this week that Mr. Harrigan contacted a reporter for Lawfare, a media organization that covers legal and national security issues, via an encrypted text messaging platform to discuss the prosecution of James and to complain about its coverage. A reporter published the exchange between her and Harrigan.
“This exchange was a shocking revelation of inside government information,” James’ lawyers wrote.
It added: “Mr. Harrigan reportedly has no experience as a prosecutor. However, lack of experience cannot excuse violations, as all federal prosecutors are required to know and follow the rules governing their conduct from their first day on the job.”
The motion also calls on the government to preserve all communications with media representatives and to prevent the deletion of records and communications related to the investigation and prosecution of the case.
Separately Thursday, lawyers said they intended to challenge Mr. Harrigan’s appointment, a move that lawyers for former FBI Director James Comey took this week in a separate lawsuit brought by Mr. Harrigan.
Trump’s third opponent, former National Security Adviser John Bolton. He pleaded not guilty last week. He was accused of emailing confidential information to his family and storing classified documents in his Maryland home.
The Justice Department is also investigating mortgage fraud charges against Democratic Sen. Adam Schiff, whom President Trump is seeking to prosecute on charges related to Maryland real estate. In a separate mortgage investigation, authorities are investigating allegations against Lisa Cook, a Federal Reserve board member who is challenging her firing by the Trump administration.
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Richer reported from Washington. Associated Press writer Eric Tucker in Washington contributed.
