NORFOLK, VA — A federal judge on Friday handed the Department of Justice a procedural victory in New York Attorney General Letitia James’ federal mortgage fraud case, rejecting a defense motion that sought to compel prosecutors to log all communications with members of the media.
The ruling, issued by U.S. District Judge Jamar Walker, came one week after defense attorney Abbe Lowell filed the motion citing a New York Post report alleging that U.S. Attorney Lindsey Halligan exchanged encrypted Signal messages with a reporter covering the case.
In his six-page order, Walker wrote that James’ defense team failed to justify the need for such a sweeping order, stating:
“The defendant does not demonstrate that it is necessary for the Court to order the government to track communications with the media in any particular form.”
He then denied the motion outright, adding:
“The defendant’s request that the government be required to keep a communication log is DENIED.”
Judge: Signal Chats ‘Unusual,’ But No Proof of Misconduct
Walker acknowledged reports that Halligan’s private chats with Lawfare senior editor Anna Bower earlier this month were “unusual,” but said the court would not issue a ruling on whether the conversations were improper “in any sense, either legal or ethical.”
While he declined to find wrongdoing, Walker ordered the Justice Department to comply with a litigation hold, instructing prosecutors not to delete or destroy any records or communications related to the investigation or prosecution of the case.
According to The Post, Halligan’s Signal messages were configured to automatically disappear after eight hours.
The defense had argued that such ephemeral communications could interfere with discovery obligations and the preservation of evidence — a claim the judge ultimately rejected.
“The Court is not persuaded that preservation of evidence related to the government’s communications requires such evidence be maintained in any particular form,” Walker wrote.
“The Court trusts that counsel on both sides will comply with this Order without further handholding.”
Prosecutors Sought Gag Order — Denied
In a notable exchange, prosecutors asked the court to impose a gag order on Letitia James, citing concerns about her recent public comments.
Walker denied that request as well, signaling that both sides would continue to operate under standard court decorum rules rather than special restrictions.
The Case Against Letitia James
Letitia James — the high-profile Democratic attorney general of New York and one of President Donald Trump’s most aggressive political opponents — was arraigned last week on one count of bank fraud and one count of making false statements to a financial institution.
According to the federal indictment, James purchased a three-bedroom, one-bathroom home in Norfolk, Virginia, on August 17, 2020, using a $109,600 mortgage loan that included a “second home rider,” identifying her as the property’s sole occupant.
Prosecutors allege that this classification allowed her to secure more favorable mortgage terms, saving nearly $19,000 in interest and fees.
However, investigators say the home was never actually used as a residence by James, but instead rented out to her grandniece, Nakia Thompson.
The indictment accuses James of misrepresenting her intent to live in the property in order to obtain a better loan rate.
If convicted on all counts, James faces up to 60 years in prison and fines exceeding $2 million.
She has pleaded not guilty to all charges.
Parallel DOJ Review of Prosecutor Conduct
In a related development, another federal judge — U.S. District Judge Cameron McGowan Currie, a Clinton appointee sitting in the District of South Carolina — ordered the Department of Justice earlier this week to turn over internal records regarding prosecutor Lindsey Halligan’s role in both the James and former FBI Director James Comey cases.
Currie directed the DOJ to provide all relevant documents and grand jury materials to the court for a private, sealed review, known as an in camera inspection.
That review reportedly took place in Currie’s chambers at the Matthew J. Perry U.S. Courthouse in Columbia, South Carolina, under strict confidentiality.
Defense attorneys in both cases had argued that Halligan’s communications could raise potential conflicts of interest or breach confidentiality rules.
Political and Legal Fallout
The case against James has sent shockwaves through political circles, given her prominent role in pursuing civil and criminal actions against President Trump, the Trump Organization, and multiple Republican officials.
Republican lawmakers have accused her of “weaponizing” the legal system against political opponents, while Democrats insist the charges against her are politically motivated retaliation.
Despite the controversy, legal experts say Friday’s ruling represents a modest procedural victory for federal prosecutors, giving the DOJ more latitude to manage its internal communications without immediate court intervention.
“This was a small but important win for the government,” said one former U.S. attorney. “The defense was fishing for potential misconduct evidence that the judge clearly didn’t believe existed.”
Next Steps
James’ next pretrial hearing is expected later this fall, as prosecutors continue reviewing evidence related to her 2020 Norfolk mortgage.
While the court’s decision on Friday doesn’t resolve the larger fraud allegations, it signals that Judge Walker is unwilling to indulge peripheral disputes unless the defense can demonstrate concrete harm or misconduct.
For now, both sides are under order to preserve all relevant communications — and to proceed toward trial without further “handholding.”
Emily Johnson is a critically acclaimed essayist and novelist known for her thought-provoking works centered on feminism, women’s rights, and modern relationships. Born and raised in Portland, Oregon, Emily grew up with a deep love of books, often spending her afternoons at her local library. She went on to study literature and gender studies at UCLA, where she became deeply involved in activism and began publishing essays in campus journals. Her debut essay collection, Voices Unbound, struck a chord with readers nationwide for its fearless exploration of gender dynamics, identity, and the challenges faced by women in contemporary society. Emily later transitioned into fiction, writing novels that balance compelling storytelling with social commentary. Her protagonists are often strong, multidimensional women navigating love, ambition, and the struggles of everyday life, making her a favorite among readers who crave authentic, relatable narratives. Critics praise her ability to merge personal intimacy with universal themes. Off the page, Emily is an advocate for women in publishing, leading workshops that encourage young female writers to embrace their voices. She lives in Seattle with her partner and two rescue cats, where she continues to write, teach, and inspire a new generation of storytellers.
