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The Department of Justice (DOJ) is investigating New York Attorney General Letitia James over allegations of mortgage fraud. The FBI has opened a criminal probe following a request from the Federal Housing Finance Agency (FHFA) last month. The investigation focuses on claims that James may have falsified paperwork for properties in Virginia and New York.
According to The Guardian, prosecutors have impaneled a federal grand jury in Virginia to hear evidence. The allegations include claims that James falsely stated a Virginia house was her primary residence while serving as New York's attorney general. The investigation also involves the FBI in New York and has gained momentum recently.
James, known for her legal battles against President Donald Trump, has dismissed the allegations as politically motivated. Her lawyer, Abbe Lowell, argued that the residency claim was a mistake and that James had informed the mortgage broker the house would not be her main residence. Lowell criticized the investigation as baseless and politically driven, according to Newsweek.
The probe also examines claims that James misrepresented the number of units in a Brooklyn property to secure better interest rates. Despite the allegations, it remains unclear if they will lead to criminal charges. James's office has not responded to the investigation, which marks the first criminal inquiry into one of Trump's major political opponents.