For a second time in latest days, a federal grand jury in Virginia has refused to indict New York Lawyer Basic Letitia James for alleged mortgage fraud, sources mentioned, once more rejecting the Division of Justice’s try to refile the case after a federal decide dismissed an earlier case primarily based on the illegal appointment of the U.S. lawyer within the Jap District of Virginia.
Federal prosecutors on Thursday did not persuade a majority of grand jurors to approve expenses that James misled a financial institution to acquire favorable mortgage phrases on a house mortgage, in keeping with sources.
The fees have been introduced to a grand jury within the Jap District of Virginia’s Alexandria department after a grand jury in Norfolk, Virginia, final week rejected the costs.
A Justice Division spokesperson didn’t instantly reply to a request for remark from ABC Information.
An lawyer for James didn’t instantly remark.
Letitia James, New York’s lawyer normal, speaks outdoors federal courtroom in Norfolk, Virginia, Oct. 24, 2025.
Eric Lee/Bloomberg through Getty Photographs
Prosecutors have alleged that James, who efficiently introduced a civil fraud case in opposition to now-President Donald Trump final 12 months, falsely listed a house she bought in 2020 as a second house as a substitute of an funding property with a purpose to save doubtlessly $19,000 over the lifetime of the mortgage with a extra favorable mortgage fee.
As ABC Information beforehand reported, prosecutors who investigated James for doable mortgage fraud discovered proof that appeared to undercut a few of the allegations within the indictment of James secured in September — together with the diploma to which James allegedly personally profited from her buy of the property.
James has denied all wrongdoing.
This can be a creating story. Please verify again for updates.
