A senior prosecutor in Virginia has decided not to pursue criminal charges against New York Attorney General Letitia James over alleged mortgage fraud, resisting pressure from President Donald Trump, multiple sources report.
Elizabeth Yusi, who manages major prosecutions in the Norfolk office of the Eastern District of Virginia, told colleagues she sees no probable cause to move forward, according to MSNBC.
Her stance puts her in potential conflict with Attorney General Pam Bondi and interim U.S. Attorney Lindsey Halligan, appointed by Trump earlier this year.
The allegations against James span several decades and include claims of falsifying mortgage applications and misrepresenting property information.
Reports suggest she listed her father as her husband and misstated the number of units in a property to obtain favorable loan terms.
Resist the Mainstream previously highlighted allegations suggesting James may have concealed the whereabouts of a relative facing legal trouble.
James denies any criminal intent, arguing that the claims do not indicate wrongdoing.
This controversy comes in the wake of leadership changes within the Eastern District. Trump replaced acting U.S. Attorney Erik Siebert with Halligan, a former White House aide and personal defense attorney.
Soon after her appointment, Halligan pursued charges against former FBI Director James Comey, a case career prosecutors had previously considered too weak to pursue.
Yusi’s decision highlights tensions between seasoned prosecutors and politically appointed leadership in the Justice Department.
Trump has repeatedly called for James to face prosecution, despite career attorneys concluding there is insufficient evidence to establish intent.
On Truth Social, he referred to James as “SCUM” and accused her of conducting a “WITCH HUNT against President Donald J. Trump and others.”
Norfolk prosecutors reportedly fear political consequences if they fail to comply with pressure from above.
Yusi has reportedly implemented measures to protect her staff as preliminary recommendations are reviewed ahead of any potential grand jury action.
While Yusi’s political affiliation is not publicly known, publicly observable activity on X indicates that she has previously shared multiple posts related to former President Joe Biden.
These posts, some of which were also shared by conservative commentators highlighting Biden’s policies, have drawn attention among observers seeking context for her approach in high-profile cases.
Legal experts have commended Yusi for adhering to ethical standards.
Randall Eliason, a retired public corruption prosecutor, told MSNBC, “This supervisor clearly is doing the right and ethical thing by refusing to bend her legal conclusions to fit the president’s desire for political retribution.”
He added that it is “tragic” that prosecutors must weigh their oaths against the risk of losing their positions.
The investigation traces back to a May referral by Trump ally Bill Pulte, who cited reports indicating James misrepresented a Norfolk home as her niece’s primary residence to obtain a lower mortgage rate.
James’ attorney, Abbe Lowell, provided documentation demonstrating the property was never claimed as a primary residence and submitted emails showing the niece’s loan application accurately reflected that fact.
James’ legal history also includes a civil fraud case against Trump and the Trump Organization, resulting in a 2024 judgment of $500 million, later partially overturned on appeal.
Critics argue that the combination of mortgage allegations and other controversies reflects a troubling disregard for legal norms and public accountability.
Observers say Yusi’s refusal to bring charges underscores broader debates about political influence in federal prosecutions.
Yusi’s refusal to pursue charges underscores the growing concern among conservatives that politically connected figures may evade scrutiny.
The Eastern District of Virginia has become a flashpoint for questions about accountability, highlighting the need for prosecutors to apply the law equally, regardless of political affiliation.
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