Federal Grand Jury Rejects Indictment Against New York Attorney General Letitia James for Second Time in Seven Days
A federal grand jury has declined to indict New York Attorney General Letitia James on mortgage fraud charges for the second time in as little as seven days, a move that is being hailed by her lawyers as an embarrassing blow to the Trump Justice Department. The decision marks a stunning reversal of fortunes for prosecutors who had been working to bring charges against the AG.
According to sources familiar with the matter, the Justice Department attempted to refile new charges against James following a judge's dismissal of the initial case after determining that the prosecutor handling it had not been properly appointed. However, the latest grand jury rejected the fresh allegations, leaving prosecutors with little choice but to regroup and re-strategize.
The decision by a federal grand jury is extremely rare, as only prosecutors appear before them and defendants do not. The power dynamics at play are stark, with some arguing that prosecutors can essentially "indict a ham sandwich" thanks to their significant influence over the proceedings. Critics of the Justice Department's actions have accused President Trump's administration of using its powers to pursue a political vendetta against one of his rivals.
James was originally charged with one count of bank fraud and one count of making a false statement in connection with a home in Norfolk, Virginia in 2020. Prosecutors alleged that she had committed a crime by indicating on mortgage paperwork that the purchase would serve as her second home, but then rented it out. However, experts have said that the allegations against James are thin on evidence and that she denies wrongdoing.
The case has been marked by controversy from the outset, with career prosecutors being fired after questioning the viability of the charges. The initial presentation was handled by Lindsey Halligan, a Trump ally installed as acting US Attorney for the eastern district of Virginia, who was later found to have been improperly appointed to the post.
A federal judge had already dismissed the case in November, ruling that Halligan's appointment was defective and that the prosecution had failed to meet its burden of proof. The Justice Department attempted to refile the case last week before a new grand jury in Norfolk, but ultimately saw it rejected. It remains unclear whether they will attempt to refile charges against James again.
James' lawyers have denounced the latest development as an "unprecedented rejection" that underscores the need for greater accountability and integrity within the Justice Department. Abbe Lowell, who represents James, said: "For the second time in seven days, the Department of Justice has failed in its clear attempt to fulfill President Trump's political vendetta against Attorney General James." He warned that any further attempts to revive the discredited charges would be a "mockery of our system of justice."
A federal grand jury has declined to indict New York Attorney General Letitia James on mortgage fraud charges for the second time in as little as seven days, a move that is being hailed by her lawyers as an embarrassing blow to the Trump Justice Department. The decision marks a stunning reversal of fortunes for prosecutors who had been working to bring charges against the AG.
According to sources familiar with the matter, the Justice Department attempted to refile new charges against James following a judge's dismissal of the initial case after determining that the prosecutor handling it had not been properly appointed. However, the latest grand jury rejected the fresh allegations, leaving prosecutors with little choice but to regroup and re-strategize.
The decision by a federal grand jury is extremely rare, as only prosecutors appear before them and defendants do not. The power dynamics at play are stark, with some arguing that prosecutors can essentially "indict a ham sandwich" thanks to their significant influence over the proceedings. Critics of the Justice Department's actions have accused President Trump's administration of using its powers to pursue a political vendetta against one of his rivals.
James was originally charged with one count of bank fraud and one count of making a false statement in connection with a home in Norfolk, Virginia in 2020. Prosecutors alleged that she had committed a crime by indicating on mortgage paperwork that the purchase would serve as her second home, but then rented it out. However, experts have said that the allegations against James are thin on evidence and that she denies wrongdoing.
The case has been marked by controversy from the outset, with career prosecutors being fired after questioning the viability of the charges. The initial presentation was handled by Lindsey Halligan, a Trump ally installed as acting US Attorney for the eastern district of Virginia, who was later found to have been improperly appointed to the post.
A federal judge had already dismissed the case in November, ruling that Halligan's appointment was defective and that the prosecution had failed to meet its burden of proof. The Justice Department attempted to refile the case last week before a new grand jury in Norfolk, but ultimately saw it rejected. It remains unclear whether they will attempt to refile charges against James again.
James' lawyers have denounced the latest development as an "unprecedented rejection" that underscores the need for greater accountability and integrity within the Justice Department. Abbe Lowell, who represents James, said: "For the second time in seven days, the Department of Justice has failed in its clear attempt to fulfill President Trump's political vendetta against Attorney General James." He warned that any further attempts to revive the discredited charges would be a "mockery of our system of justice."