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A criminal investigation has been opened by the FBI and the US Attorney’s Office in Albany into allegations of mortgage fraud committed by New York Attorney General Letitia James.

The Albany Times-Union first reported the story, which followed a criminal referral brought by Federal Housing Finance Agency Director William Pulte earlier this month that claimed James “falsified records” to obtain loans on a Virginia property that she listed as her “principal residence” in August 2023. This occurred weeks before she litigated a civil fraud trial that resulted in a $454 million judgment against Trump and the Trump Organization.

Pulte’s complaint also called attention to James’ purchase of a five-family dwelling in Brooklyn in 2001 where she stated on building permit applications and mortgage documents that the property only had four units. He also provided documents showing James purchased another property with her father as a co-signer that falsely listed the buyers as “husband and wife” in 1983 and 2000. Pulte raised concern that James could be liable for multiple fraud charges.

James called the allegations “baseless” and claimed it was part of President Trump’s “revenge tour” against those he faced in court. She has also hired high-profile attorney Abbe Lowell to represent her, with a James spokesperson stating her legal fees will be paid by “private legal defense fund” along with taxpayer money culled from $10 million fund approved by Democratic lawmakers to cover legal fees for actions taken against state legislators by the Trump administration.

“This is being handled at this time by main (Department of) Justice and the Albany FBI field office,” said US Attorney John A. Sarcone III, who oversees the US Attorney’s Office in New York’s Northern District. “We stand prepared to act in the capacity that we need to when and if we are informed there’s a charge to be made. Unlike Letitia James, who unethically ran around the state campaigning on getting Donald Trump… my office conducts itself in a manner that is proper and professional.”