ALBANY, N.Y. (WTEN) — New York Attorney General Tish James is facing federal charges for alleged bank fraud and making false statements.
“She is alleged to have purchased a residential property in Virgina many years ago and apply for a mortgage in order to purchase that property,” said Aaron Pam, Senior Associate of Tully Rinckey.
On that application, James is accused of misrepresenting the property as her second residence. The indictment said ” the property was not occupied or used by James as a secondary residence and was instead used as a rental investment property, renting the property to a family of 3.”
And when it comes to her application for homeowners’ insurance, the indictment says that it “indicated owner occupied non-seasonal use further misrepresenting the intended use of the property.”
Pam said usually a person knows whether the home they’re purchasing is for a primary residence or a rental property. However, he added this type of prosecution is rare.
“It’s very common that the bank is sort of not motivated to prosecute its own customers when a homeowner is making regular mortgage payments,” said Pam. “The bank has very little incentive to go back to the original application papers and figure out if anyone told a lie. But something is motivating this prosecutors’ office to prosecute and pursue this individual for having told an alleged falsehood in her original mortgage application.”
The Attorney General said that motivation is, the President seeking retribution after she previously sued the Trump Organization for fraud. On a video statement posted on X, James said she will aggressively fight the charges against her.
“These charges are baseless, and the president’s own public statements make it clear, that his only goal is political retribution at any cost,” said James. “The president’s actions are a grave violations of our constitutional order and has drawn sharp criticism of both parties.”
Republican Chairwoman, Elise Stefanik shared a statement saying, “The long-overdue indictment of corrupt New York Attorney General Letitia James on one count of bank fraud stemming from a federal mortgage fraud investigation represents a critical step toward restoring accountability and the rule of law.”
James’ first court date is October 24 in Norfolk, Virginia.
