(MENAFN- Live Mint) New York Attorney General Letitia James was indicted on Thursday in Alexandria, Virginia, marking a dramatic twist in the political and legal confrontation between the top state prosecutor and President Donald Trump.

The indictment-secured by a prosecutor appointed directly by Trump-comes just months after James led a successful civil case against the former president, accusing him of inflating his assets to secure financial advantages.

What are the charges against Letitia James?

According to the five-page indictment filed in the Eastern District of Virginia, James faces two felony counts: bank fraud and making false statements to a financial institution.

The case stems from a 2023 mortgage James obtained to purchase a home in Norfolk, Virginia. Prosecutors allege that she falsely stated she would use the property as a secondary residence, while instead renting it out as an investment. That misrepresentation, they claim, allowed her to secure favourable loan terms worth nearly $19,000.

Letitia James' first court appearance is scheduled for 24 October in Norfolk.

How did the indictment come about?

The investigation began in May 2025, amid growing pressure from the Doonald Trump administration to target political opponents. The grand jury's decision follows the president's public calls for James to be prosecuted-a move that has alarmed legal experts and deepened concerns about the politicisation of the Justice Department.

“The charges, coming two weeks after the Trump-directed indictment of James B. Comey, the former FBI director, deepened the president's intervention in the justice system, casting away longstanding democratic norms as he seeks retribution on his political enemies,” Letitia James' indictment's summary noted.

What has Letitia James said?

In a sharply worded statement following the announcement, James denounced the charges as politically motivated:

“Nothing more than a continuation of the president's desperate weaponization of our justice system.”

She described the accusations as“baseless,” accusing Trump of using federal law enforcement to punish those who have challenged him.

“This is nothing more than an attempt to silence and intimidate those who stand up to corruption,” James added.

What does this mean for the Justice Department?

Letitia James' indictment underscores what critics describe as a turbulent era at the Department of Justice-one“increasingly under the direct command of a president intent on using federal law enforcement to prosecute his adversaries, shield his supporters and redefine criminality as it suits his interests.”

That two separate grand juries-one targeting James, another former FBI director James Comey-have now returned indictments against Trump's political critics is likely to embolden the president further, even as legal observers warn that convictions are far from certain.

Career prosecutors previously found insufficient evidence to bring either case to trial, and a former US attorney-reportedly removed by Donald Trump-had declined to present the allegations to a grand jury.

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