Letitia James Faces Calls to Resign Amid DOJ Probe

New York Attorney General Letitia James is facing mounting pressure to resign as federal authorities continue investigating her for potential mortgage fraud.

The Justice Department’s Weaponization Working Group, led by special prosecutor Ed Martin, sent James a letter on August 12 urging her to step down.

Martin argued that her resignation would be seen as “an act of good faith” and serve “the good of the state and nation.”

“Her resignation from office would give the people of New York and America more peace than proceeding,” Martin wrote. “I would take this as an act of good faith.”

The probe centers on alleged discrepancies involving James’s Brooklyn townhouse and a property she owns in Virginia. Investigators claim she misrepresented her Brooklyn five-unit property as a four-unit building on mortgage applications, building permits, and filings for government aid.

This alleged misclassification would have allowed James to secure loans with lower down payments and more favorable interest rates through Fannie Mae and Freddie Mac, per the Conservative Brief.

Federal officials also claim James falsely designated her Norfolk, Virginia, property as her principal residence while she was still serving as New York’s attorney general, listing her Brooklyn home as a second residence.

The investigation comes amid political scrutiny due to James’s high-profile past legal battles with former President Donald Trump.

In 2024, James successfully prosecuted Trump in a civil fraud case over inflated property values used to obtain favorable loans and insurance terms.

Trump and his allies consistently labeled the case politically motivated, a claim James rejected, highlighting her ongoing feud with Trump as part of her political platform.

The parallels between James’s prosecution of Trump and the current allegations against her have fueled the political fallout.

Critics argue the timing and nature of the investigation could have serious implications for public trust in the justice system, especially as grand juries in Virginia and Maryland consider potential indictments involving James and California Sen. Adam Schiff (D).

Allegations against both include falsifying property records to secure advantageous loans.

Martin appeared outside James’s Brooklyn townhouse last week, accompanied by an aide and a journalist from the New York Post. He did not attempt to enter the property or speak directly with James but reportedly commented to a neighbor, “I’m just looking at houses, interesting houses. It’s an important house.”

James’s lawyer, Abbe Lowell, fired back at Martin, saying the request for resignation violated Justice Department standards and ethical codes.

“The DOJ has firm policies against using investigations and against using prosecutorial power for achieving political ends,” Lowell wrote. “This is ever more the case when that demand is made to seek political revenge against a public official in the opposite party. Let me be clear: that will not happen here.”

The investigation into James’s real estate filings began in April when Federal Housing Finance Agency Director Bill Pulte referred the case to the DOJ. The case highlights the delicate intersection of politics, law enforcement, and public accountability.

As the probe continues, James faces growing calls to resign while defending her record as New York’s top law enforcement officer. The coming weeks may reveal whether the allegations hold merit or if James will continue to resist mounting federal pressure.

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