New York Attorney General Letitia James is “grateful” after a grand jury declined to reindict her on mortgage fraud charges.
On Thursday, the grand jury in Norfolk, Virginia, rejected the Department of Justice’s attempt to refile the case just days after a federal judge dismissed an earlier case, sources familiar with the case told multiple news outlets.
The decision comes a week after a federal judge dismissed a mortgage fraud-related criminal case against James, ruling the appointment of the prosecutor in the case was unconstitutional.
“I am grateful to the members of the grand jury and humbled by the support I have received from across the country,” James wrote in an emailed statement.
James entered a not-guilty plea on Oct. 24 to charges of bank fraud and making false statements to a financial institution. She filed a motion asking the interim U.S. District Judge Cameron Currie to dismiss the indictment, brought by the U.S. attorney for the Eastern District of Virginia, who was appointed by Attorney General Pam Bondi. The charges were filed after President Donald Trump forced out former U.S. Attorney Erik Siebert, who, sources told ABC News, resisted bringing the case.
Currie tossed out James’ indictment without prejudice, meaning charges could be refiled by another appointed prosecutor. A source told The Washington Post on Thursday that prosecutors are expected to try again for an indictment.
“As I have said from the start, the charges against me are baseless. It is time for this unchecked weaponization of our justice system to stop,” James said in the statement. “Now, I will continue to do my job standing up for the rule of law and the people of New York.”
James did not fold when a federal grand jury in Virginia indicted her. Days after the Oct. 9 announcement, she took the stage at the United Palace in Manhattan to stump for now-Mayor-elect Zohran Mamdani.
On the evening of Oct. 13, dressed in a sharp black pantsuit and her signature middle-part bob, James stepped confidently onto the auditorium stage to cheers from a crowd of Mamdani supporters — herself among them.
Prior to court on Oct. 24, James channeled her Brooklyn-born grit, and refused to back down.
“Today, I am not fearful, I am fearless, and as my faith teaches me, no weapon formed against me shall prosper,” she said at the time. “I will not bow. I will not break. I will not bend. I will not capitulate. I won’t give up, and I won’t give in.”
At her arraignment, James classified the charges as a “tool of revenge.” But believes in the process of the criminal justice system to see through the allegations and clear her name.
“My faith is strong. I have this belief in the justice system and the rule of law,” James wrote in a press release. “Because I believe that justice will rain down like water and righteousness like a mighty stream.”
In February 2024, James’ office secured a civil fraud judgment against Trump and the Trump Organization, barring him from doing business in New York for three years. (The multimillion-dollar penalty against Trump was later overturned on appeal).
Little more than a year and a half later, the first Black woman elected as attorney general of New York became the latest target in a continuing campaign by Trump to seek retribution against those who he perceives to have wronged him. What’s more, James was part of a growing list of high-profile Black women in public service who were under increased scrutiny by the Trump administration.
James was part of a growing list of high-profile Black women in public service who were under increased scrutiny by the Trump administration or whose office’s policies were seen as in opposition of his agenda.
This is part of this administration’s history of political prosecutions used to discredit people of color for speaking out or setting up guardrails against Trump’s policies, said Melba Pearson, a Florida-based civil rights and criminal law attorney.
The arrests — and later dismissals of charges following the 2020 Black Lives Matter protests — follows the playbook of The Heritage Foundation’s Project 2025 agenda on how this administration can weaponize the Justice Department to handle future protests, Pearson said.
She noted that while former Baltimore State’s Attorney Marilyn Mosby wasn’t named in the conservative agenda, Mosby’s overturned 2022 mortgage fraud conviction set a precedent for how an elected Black woman prosecutor exercised her discretion during Trump’s first term — and endured the legal consequences.
An investigation into Mosby’s finances launched a federal inquiry that led to her January 2022 indictment on mortgage fraud and perjury charges. She was convicted in November 2023 of perjury for falsely claiming COVID-related financial hardship to access retirement funds and secure favorable mortgage rates on two Florida homes.
The prosecution was described by Mosby as a “federal witch hunt.” After an appellate court overturned her mortgage fraud conviction, she was still able to keep both condos.
In August, Lisa Cook from the Federal Reserve’s Board of Governors came under fire from Trump in a social media post alleging that she committed mortgage fraud. While Cook has not been charged with any crimes, he called for her resignation. In fact, even Cook’s historic nomination was met with fierce Republican resistance.
In September, the Department of Justice subpoenaed records related to Fulton County, Georgia, District Attorney Fani Willis’ travel history around the time of last year’s presidential election.
In August 2023, Willis announced that a grand jury had indicted Trump and 18 other co-defendants on racketeering charges alleging election interference and operating a “criminal enterprise.” But last year, a state appeals court disqualified her from overseeing the case after it was revealed she had a personal relationship with one of the lawyers working with her on the case.
James was accused of cosigning a mortgage application to help her niece purchase a home in Norfolk, Virginia, allegedly misrepresenting it as a primary residence to secure a lower interest rate. It’s not illegal to own homes in two states, as long as you don’t claim both as your primary residence for federal and state tax purposes, or to earn a lower interest rate on a mortgage.
When personal financial records of Trump officials — Labor Secretary Laurie Chavez-DeRemer, Transportation Secretary Sean Duffy, and Environmental Protection Agency Administrator Lee Zeldin — faced scrutiny, all were found to hold multiple primary residence mortgages, according to ProPublica. Similar findings were reported for former Texas Attorney General Ken Paxton.
None were charged in federal court.
Trump’s campaign of retribution also comes as Black women have become collateral damage in broader efforts to defund or dismantle diversity, equity, and inclusion initiatives. The president’s attack on diversity efforts has derailed the careers of Black women civil servants.
“Every day, Black women across the country … experience microaggressions and macroaggressions on the regular,” said Janai Nelson, president of the NAACP Legal Defense Fund, told Capital B in October. “That is just the fact of being a Black woman in this country.”

