NORFOLK — New York Attorney General Letitia James on Friday pleaded not guilty in U.S. District Court in Norfolk to charges accusing her of misleading a bank in an effort to get a lower interest rate for a house she bought here in 2020.

James smiled broadly as she walked into the courtroom with her team of attorneys shortly before the 11 a.m. hearing began. The only time she spoke was in response to the Judge Jamar K. Walker’s questions, and to enter her pleas. Afterwards, she walked outside and spoke to dozens of supporters, who chanted, “We stand with Tish.”

“This is not about me. This is about all of us,” James told the group. “And about a justice system which has been weaponized. A justice system which has been used as a tool of revenge.”

James was indicted Oct. 9 on one count of bank fraud and one count of making false statements to a financial institution. Each charge carries a maximum penalty of 30 years in prison and a $1 million fine.

The indictment alleges that in an effort to qualify for a lower interest rate for a home James purchased in August 2020 in Norfolk’s Fairmount Park neighborhood, James misrepresented how she planned to use the two-story, pale yellow house.

The mortgage terms required that she use it as a secondary residence, yet the indictment claims James rented it to a family of three. The misrepresentation, the indictment asserted, allowed James to save close to $19,000 over the life of the 30-year loan.

A person familiar with the case said the home is occupied by James’ great-niece, Nakia Monique Thompson, and that James bought the house for Thompson and her three children in an effort to help them through some tough times. The source said James has stayed with Thompson at the house on multiple occasions, and that Thompson told a grand jury she’s never paid rent.

On Thursday, James’ defense team filed a motion asking the court to enforce rules prohibiting the attorneys involved in the case from discussing it publically. The motion alleged Halligan had improperly reached out to a journalist for Lawfare and shared internal government information.

This is a developing story. Check back later for updates.

Jane Harper, jane.harper@pilotonline.com

https://www.dailypress.com/2025/10/24/james-pleads-not-guilty/