Letitia James spent years trying to put Donald Trump in prison and strip him of his fortune.
Now the woman who launched the most aggressive legal assault on a sitting president in modern American history is facing federal prosecution herself – for the second time.
Trump's FHFA Director Bill Pulte just referred James to two separate U.S. Attorneys for insurance fraud, and what she allegedly told those insurance companies is going to make you furious.
What Letitia James Allegedly Told Allstate and Universal Property Insurance
Federal housing officials allege James filed homeowner's insurance applications containing false statements about who was living in her properties in Norfolk, Virginia.
In one referral to the U.S. Attorney in Illinois, Pulte alleged James told Allstate her property would be occupied by a single adult with no children.
Four people were actually living there – her niece and three children.
In a second referral to the U.S. Attorney in Florida, Pulte alleged James told Fort Lauderdale-based Universal Property Insurance her property would be unoccupied five months out of the year.
That claim appears to have been false as well.
President Trump amplified the news Wednesday night on Truth Social.
The Woman Who Sued Trump for Lying on Financial Documents Allegedly Lied on Her Own
Letitia James built her entire career on the claim that Donald Trump falsified financial statements to get better deals from lenders and insurers.
That was the basis of the $464 million civil fraud judgment she won against him – a judgment an appeals court later threw out as an unconstitutionally excessive fine.
https://twitter.com/RealAmVoice/status/2036928207379685423?s=20
Now federal officials allege James did something nearly identical: misrepresented her own properties on financial documents to get better terms from insurance companies.
She ran for New York Attorney General in 2018 explicitly promising voters she would "use every area of the law" to investigate Trump and his family.
One of the appellate judges who reviewed her civil case against Trump wrote that her motivation had been "political hygiene" – an attempt to destroy his business and derail his political career.
The voters delivered their verdict on his political career in November 2024.
The Justice Department is still working on hers.
Letitia James Has Now Faced Four Criminal Referrals and Zero Convictions
Pulte's housing agency has referred James, Adam Schiff, Eric Swalwell, and Federal Reserve Governor Lisa Cook to the Justice Department for prosecution – every one of them a Trump critic, every one of them denying wrongdoing.
James is the only one who has actually been indicted.
She was charged last October on bank fraud counts – she allegedly misrepresented a Virginia property as a second home to get a lower mortgage rate while secretly renting it out.
https://twitter.com/RedWavePress/status/2037129818299420910?s=20
Those charges were dismissed in November – not because she was exonerated, but because the judge ruled the interim U.S. Attorney who brought the case was improperly appointed.
Two grand juries then refused to re-indict her in December.
Three failed attempts. Not one decided on the merits. The underlying facts of her conduct have never been adjudicated.
These new insurance fraud referrals route through U.S. Attorneys in Miami and Chicago – neither of which was involved in any of the prior failed prosecutions.
Fresh prosecutors, fresh jurisdiction, same alleged conduct.
The Department of Justice confirmed both referrals were received.
James's lawyer called the whole thing a "vendetta" and promised it would fail.
That's the same thing her lawyer said the last three times.
Sources:
- Sean Moran, "Trump Admin Refers New York Attorney General Letitia James for Prosecution," Breitbart, March 26, 2026.
- "Trump official refers New York AG Letitia James for prosecution after a previous case was dismissed," CBS News, March 26, 2026.
- "Trump admin alleges insurance fraud by NY AG Letitia James in DOJ referral," Fox News, March 26, 2026.
- "Letitia James targeted by Trump official seeking new DOJ prosecution of the New York attorney general," NBC News, March 26, 2026.
- "NY appeals court voids the nearly $500 million civil fraud penalty against Trump," CNN, August 21, 2025.
