New York Attorney General Letitia James is facing serious allegations of mortgage fraud—claims that could carry criminal liability and continue undermine her credibility as the state’s top law enforcement official.
The allegations come from Bill Pulte, the newly confirmed Director of the Federal Housing Finance Agency (FHFA), who says James may have falsified mortgage and property records over decades to secure favorable loan terms.
Pulte, confirmed to lead the FHFA in March 2025 after a bipartisan Senate vote, now oversees the regulation of Fannie Mae, Freddie Mac, and the Federal Home Loan Banks—institutions central to U.S. housing finance.
The Department of Justice maintains a conviction rate of roughly 98%, meaning it is exceedingly rare for prosecutors to pursue a case they believe they cannot win. That standard makes the current investigation especially significant.
The fact that it is being pursued so seriously suggests a clear necessity for scrutiny, supported by substantial evidence warranting federal attention.
According to Pulte, one of the most significant examples involves a home James purchased in Norfolk, Virginia, in August 2023. At the time, she was serving as New York’s attorney general—a role that legally requires her to maintain her primary residence in New York.
Pulte alleges that James granted an associate, Shamice Thompson-Hairston, power of attorney to designate the Norfolk property as her “principal residence.”
Mortgage applications for the property reportedly list her intent to live there, which can qualify borrowers for lower interest rates than those available for second homes or investment properties.
If James never intended to reside there, this could constitute a false statement to a financial institution.
Hellbound and Down 