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Letitia James Launches Fundraiser Asking up to $18K Per Person Amid Explosive Mortgage Fraud Allegations

by April 19, 2025
April 19, 2025

Credit: Michael M Santiago / Getty Images

While everyday New Yorkers struggle under crushing inflation and a historic crime wave fueled by Democrat policies, embattled New York Attorney General Letitia James is busy doing what Democrats do best — raising obscene amounts of money while under federal scrutiny.

Corrupt New York Attorney General Letitia James has launched a high-dollar fundraiser just days after being hit with a bombshell federal criminal referral over alleged mortgage fraud, The New York Post first reported.

The outlet added that the glitzy fundraiser for her 2026 re-election campaign is scheduled for Tuesday from 5:30 to 7 p.m., with ticket prices ranging from $500 to a jaw-dropping $18,000—the maximum allowed under New York law.

Source: ActBlue via NY Post

The fundraiser, scheduled for Tuesday evening, is being held at the swanky Manhattan residence of left-wing LGBTQ activists Rod Grozier and Rob Smith.

Smith is the founder of The Phluid Project, a so-called “gender-neutral” clothing company that has openly embraced radical leftist ideology.

The event listing on the far-left ActBlue platform proclaims, “Letitia James is fighting for our rights every single day. This is our opportunity to show Letitia that we have her back.”

Fighting for whose rights, exactly? Certainly not the taxpayers of New York.

But the real fight may be just beginning—for her political survival.

Earlier this week, the Trump administration formally referred James to federal authorities, citing what they say is a pattern of deceptive behavior, including her claim on official records that her “principal residence” in 2023 was a house in Norfolk, Virginia.

James made the claim in order to skirt New York residency rules and possibly reap financial benefits tied to homeowner tax breaks and loan qualifications.

In an interview Thursday night on NY1’s Inside City Hall, James was asked point-blank about a criminal referral alleging she misrepresented her home’s occupancy classification on mortgage documents — a potential felony offense that would land any other New Yorker behind bars.

“Let me just say to all New Yorkers and to all Americans: the allegations are baseless. The allegations are nothing more than a revenge tour,” James said during the interview.

The Gateway Pundit and the White Collar Fraud previously reported back in early March that James has been implicated in multiple instances of mortgage fraud, with the most damning claims centered on her Brooklyn and Virginia properties.

For over two decades, James allegedly misrepresented her Brooklyn apartment building as a four-unit property on mortgage applications, despite official records confirming it has five units.

This seemingly minor discrepancy enabled her to secure a 2011 Home Affordable Modification Program (HAMP) loan at a remarkably low 2.7% interest rate, saving her an estimated $44,000 annually.

To qualify, James claimed financial hardship, despite earning over $126,390 in 2011 from her New York City Council position, CUNY work, and rental income. Critics argue this hardship claim was dubious at best, raising questions about her eligibility for the taxpayer-backed loan.

Further allegations point to a 2023 Virginia property purchase, where James declared a Norfolk home as her primary residence, despite New York law requiring her to maintain residency in the state as Attorney General.

The Federal Housing Finance Agency (FHFA) has referred James to the Department of Justice, with Director William Pulte asserting she falsified records to obtain a $219,780 mortgage with preferential terms.

Perhaps the most bizarre accusation involves a 1983 property purchase with her father, Robert James, where documents listed them as “husband and wife.” The Gateway Pundit suggests this misrepresentation was a deliberate ploy to secure better loan terms, constituting mortgage fraud under federal law.

Previously on TGP:

  1. Big Development: Is Letitia James Guilty of Mortgage Fraud? 
  2. Mortgage Fraud Alert: Did Letitia James Marry Her Father?
  3. The Letitia Files: Did Letitia James Illegally Hire a Nonprofit for Her 2013 Campaign?
  4. Revealed: NY Attorney General Letitia James Declares Virginia Home Her ‘Principal Residence’
  5. New for Letitia Files: Is Letitia James’ Rage Against Trump Really a “Daddy Issue?”

The post Letitia James Launches Fundraiser Asking up to $18K Per Person Amid Explosive Mortgage Fraud Allegations appeared first on The Gateway Pundit.

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