The Justice Department’s renewed effort to prosecute New York Attorney General Letitia James fell flat on Thursday as a second grand jury declined to indict her, a source close to the case told NBC News.
This latest legal move came just days after the original case was thrown out by a federal judge. That case was led by Lindsey Halligan, a Trump ally and former personal attorney who had no prosecutorial background. Her appointment was ruled invalid, making the charges legally void.
The original indictment accused James of bank fraud and lying to a financial institution. She has firmly denied the allegations.
After backing off an appeal, the DOJ brought in new prosecutors to re-present the case to a grand jury in Norfolk, Virginia. But the result was the same: no indictment.
A source familiar with the process cautioned against reading too much into the outcome, saying, “There should be no premature celebrations.” The DOJ can still try again, although the legal path is becoming increasingly complicated.
Separately, the DOJ is also evaluating whether to retry former FBI Director James Comey, whose charges were dismissed the same day as James.
Both cases have drawn criticism for being politically driven. Trump had previously pressured Attorney General Pam Bondi to pursue legal action against James, Comey, and Democratic Sen. Adam Schiff, urging her to act fast and praising Halligan as a strong choice.
The DOJ has not issued a comment regarding the latest grand jury outcome.
