A grand jury indicted New York Attorney General Letitia James on federal charges.
James, who led the civil fraud investigation against Trump in 2023, was charged with bank fraud in the Eastern District of Virginia in Alexandria, according to court documents.
Prosecutors charge James with alleged bank fraud and making false statements to a financial institution regarding a mortgage on a home in Norfolk, Virginia, the documents say.
In her statement, James accused the president, who recently publicly pressured prosecutors to file criminal charges against her, of “desperately weaponizing our justice system.”
“He is forcing federal law enforcement to do his bidding, all because I did my job as New York State Attorney General,” she said.
“These allegations are unfounded, and the president’s own public statements make clear that his only goal is political retribution at any cost.”
Meanwhile, the U.S. Attorney assigned to the case, Lindsey Halligan, said the case proved that “no one is above the law.”
“The charges brought in this case represent deliberate criminal acts and a serious breach of public trust,” she said.
“The facts and the law in this case are clear, and we will continue to follow them to ensure justice is served.”
Trump appointed Halligan, his former personal lawyer, to oversee the case after another U.S. attorney, Eric Siebert, resigned. Siebert was reportedly fired after telling the Justice Department that he did not find sufficient evidence to charge James.
James' first court appearance is scheduled for Oct. 24 in Norfolk.
The federal government alleges James bought a three-bedroom home in Norfolk using a mortgage that required her to use the property as a secondary residence and did not allow for co-ownership or “time-sharing” of the home.
The indictment alleges that the property “was not occupied or used” by James as a secondary residence, but was instead “used as a rental investment property” that was rented to a family of three.
The “misrepresentations” allowed James to obtain favorable loan terms that would not have been available for investment properties, prosecutors allege.
“We are deeply concerned that this case is driven by President Trump's desire for revenge,” James' lawyer, Abbey Lowell, said in a statement.
Last month, Trump, in a social media post, called on U.S. Attorney General Pam Bondi, who heads the Justice Department, to prosecute his political opponents, including James.
“We cannot delay any longer, it is killing our reputation and credibility,” he wrote.
James was one of several Trump opponents mentioned in the post. He also called on Bondi to investigate former FBI Director James Comey, who was criminally charged shortly after publication. He pleaded not guilty Wednesday after being charged with making a false statement to Congress.
The Justice Department has also reportedly opened investigations into Trump's former national security adviser John Bolton and California Democratic Senator Adam Schiff.
In the civil fraud case brought by James, Trump was found guilty of falsifying records to secure better loan deals, resulting in a $500 million (£375 million) fine. The penalty was overturned by an appeals court, which called the fine excessive, although it confirmed that Trump was responsible for fraud.
During the case, Trump frequently attacked James outside the courtroom, accusing her of conducting a “political witch hunt” against him. James said the courts have ruled that Trump is “not above the law.”
