Credit: Michael M Santiago / Getty Images
| Published April 20, 2025
New York Attorney General Letitia James is under scrutiny after initiating a high-profile fundraiser for her 2026 re-election campaign, seeking contributions up to $18,000 per person—the maximum allowed under New York law. The event, scheduled for Tuesday evening, comes just days after federal authorities referred James for investigation over alleged mortgage fraud involving properties in Virginia and Brooklyn.
The fundraiser is set to take place at the Manhattan residence of LGBTQ activists Rod Grozier and Rob Smith, the latter being the founder of The Phluid Project, a gender-neutral clothing company. The event invitation, circulated via ActBlue, features James framed by a circular gay pride flag and states: “Letitia James is fighting for our rights every single day. This is our opportunity to show Letitia that we have her back.”
Letitia James facing fraud accusations: ‘There’s some real smoke here’
Fox News contributor Paul Mauro joins ‘America Reports’ to discuss charges being filed against New York Attorney General Letitia James over allegations of falsifying records to commit mortgage fraud.
The federal referral stems from allegations that James falsely claimed a Norfolk, Virginia, property as her “principal residence” in 2023, potentially violating New York’s residency requirements for state officials. Additionally, questions have arisen regarding her Brooklyn property, where she reportedly misrepresented the number of units to qualify for favorable mortgage terms.
Critics argue that launching a high-dollar fundraiser amid such allegations raises ethical concerns. Political analysts suggest that the timing of the fundraiser may be an attempt to consolidate support as James faces increasing pressure from opponents.
As the investigation unfolds, the juxtaposition of James’s fundraising efforts against the backdrop of legal scrutiny continues to fuel debate over accountability and transparency in public office.
James’ latest troubles have sparked significant social media attention:
A fundraising event scheduled for next week is soliciting donations of up to $18,000 per ticket, as the New York Post reported:
The high-dollar fundraiser will be hosted at the home of left-wing activists Rod Grozier and Rob Smith, the latter of whom is the CEO and founder of The Phluid Project, a gender-neutral clothing company.
“Letitia James is fighting for our rights every single day. This is our opportunity to show Letitia that we have her back,” the event page on lefty fundraising website ActBlue reads.
The New York AG this week became the subject of a federal criminal referral over allegations she falsely claimed in official public documents in August 2023 that her “principal residence” was a home in Norfolk, Va.
James’ latest troubles have sparked significant social media attention:
For one New York City attorney, the current probe into James seems to represent a bit of karmic justice, as Fox News reported:
“To be perfectly frank, this is a retaliatory case brought by the president for what the attorney general did to him over the last several years,” New York City attorney Pierre Debbas, partner and founding member of real estate law firm Romer Debbas, told Fox News Digital in a Zoom interview Thursday morning. “Both cases, quite honestly, are very weak cases.
“The attorney general’s case that was brought against Donald Trump was honestly a pure manipulation of the legal system, and it was laughable,” he continued, referring to the civil fraud case she brought against Trump. “Something that’s never taken place in the history of New York that was isolated at one particular person for a politically driven purpose.
“Now, on the flip side, this serves the same purpose, right? This is the president’s way of seeking retaliation against the attorney general for something that, in reality, is, while it’s considered mortgage fraud, it’s not criminal,” he continued. “And it’s not something that would have been brought upon had the attorney general not pursued a similar case with low merit against the president a few years back.”
Here’s a detailed Pros and Cons section you can include in the feature article about Letitia James’ high-dollar fundraiser launched amid allegations of mortgage fraud:
🔍 Pros and Cons of Letitia James’ $18K-Per-Seat Fundraiser Amid Federal Scrutiny
✅ Pros
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Campaign Normalcy
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Hosting a fundraiser signals that James is continuing her political activities as usual, projecting confidence and stability despite the allegations.
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Strong Donor Network
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The ability to attract donors willing to contribute up to $18,000 shows she still has strong financial and grassroots backing within New York’s progressive and LGBTQ communities.
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Strategic Positioning
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By aligning with high-profile LGBTQ activists and progressive figures, James reinforces her brand as a social justice advocate, potentially insulating herself from criticism among her base.
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Legal Fund Support
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Though technically for re-election, the influx of campaign funds could help cover legal and PR costs if challenges escalate—within the bounds of campaign finance rules.
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❌ Cons
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Perception of Impropriety
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Raising large sums while under federal investigation can appear tone-deaf or ethically questionable, especially when allegations involve financial misconduct.
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Undermines Public Trust
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Critics argue that James, who has long positioned herself as an anti-corruption figure, is now violating the spirit of transparency by fundraising amid unresolved legal issues.
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Fuel for Political Opponents
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The timing provides ammunition for opponents to paint her as hypocritical—pursuing Donald Trump over alleged fraud while facing similar scrutiny herself.
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Risk of Donor Backlash
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Some high-dollar donors may reconsider their support if the investigation advances or if public backlash grows—creating long-term fundraising challenges.
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🧾 Conclusion
Letitia James’ decision to forge ahead with a high-dollar fundraiser—even as she faces a federal investigation—has cast a spotlight on the intersection of politics, optics, and accountability. While the event may rally core supporters and shore up her financial war chest for a tough 2026 re-election campaign, it also raises serious questions about timing, transparency, and judgment.
As a top law enforcement official who built her political brand on holding others accountable, James now finds herself navigating the same scrutiny she once directed outward. Whether the fundraiser is remembered as a bold display of resilience or a political misstep will depend not just on the investigation’s outcome, but on how voters perceive her response to the growing controversy.
In the end, it’s not just her donors who are watching closely—it’s the entire state of New York.
SOURCES: THE GATEWAY PUNDIT – Letitia James Launches Fundraiser Asking up to $18K Per Person Amid Explosive Mortgage Fraud Allegations
FOX NEWS – Letitia James launches high-dollar fundraiser after alleged mortgage fraud case
100 PERCENT FED UP – Tickets To Letitia James Fundraiser Go For $18,000 Each As She Faces Fraud Investigation
GRANT PASS TRIBUNE – New York Attorney General Seeks Donations for Re-election Amid Fraud Allegations
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