Grand jury refuses to re-indict NY AG Letitia James: AP source

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Judge dismisses indictments against Letitia James and James Comey

A federal judge dismissed the indictments against New York's Attorney General Letitia James and former Director of the F.B.I. James Comey. FOX 5 NY's Sharon Crowley has more.

A grand jury has declined to re-indict New York Attorney General Letitia James for the second time, the Associated Press reports.

James will not be re-indicted

What we know:

The Justice Department has failed to re-indict James after a grand jury refused to resurrect the mortgage fraud prosecution case brought against her in October, according to a source for the Associated Press.

NORFOLK, VIRGINIA - OCTOBER 24: New York Attorney General Letitia James places her hand over her heart to acknowledge supporters while speaking outside the Walter E. Hoffman United States Courthouse following an arraignment hearing on October 24, 202 …

The individual who confirmed the failure to the Associated Press spoke on the condition of anonymity.

Mortgage fraud case

The backstory:

James, a Democrat who infuriated President Donald Trump after his first term with a lawsuit alleging that he built his business empire on lies about his wealth, was charged with bank fraud and making false statements to a financial institution in connection with a home purchase in Norfolk, Virginia, in 2020.

The indictment pertains to James’ purchase of a modest house in Norfolk, where she has family. During the sale, she signed a standard document called a "second home rider" in which she agreed to keep the property primarily for her "personal use and enjoyment for at least one year," unless the lender agreed otherwise.

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Feds accuse Letitia James of mortgage fraud

The Trump administration has made a criminal referral to the Department of Justice, accusing New York Attorney General Letitia James of mortgage fraud. The Federal Housing Finance Agency alleges James misrepresented properties in Brooklyn and Virginia, including claiming a Virginia home as her primary residence. The referral comes as James continues her investigations into the Trump administration. FOX 5's Morgan McKay reports on the potential legal showdown.

Rather than using the home as a second residence, the indictment alleges, James rented it out to a family of three. According to the indictment, the misrepresentation allowed James to obtain favorable loan terms not available for investment properties.

James pleaded not guilty to the federal charges later that same month.

Charges against James and former FBI Director James Comey were similarly dismissed last month.

NEW YORK, NEW YORK - OCTOBER 16: Attorney General Letitia James listens as New York Gov. Kathy Hochul speaks during a press conference at her NYC office on October 16, 2025 in New York City. Gov. Kathy Hochul was joined by James and Janno Lieber, Cha …

A federal judge dismissed the criminal cases against Comey and James after concluding that the prosecutor who brought the charges at Trump’s urging was illegally appointed by the Justice Department.

The Source: This article includes reporting from the Associated Press.

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