Federal prosecutors have investigated the Trump administration’s criminal referral against New York Attorney General Letitia James, who allegedly may have forged paperwork for the property she owns in Virginia and New York, according to people familiar with the matter.

The investigation marks a rapid escalation of Donald Trump's main political enemy, James, who was ordered to pay a fine of more than $450 million, due to a lawsuit filed by the James office accusing him of inflated his net worth for financial benefits.

In the early stages of the FBI's criminal investigation, prosecutors announced one evidence in a federal grand jury in the East Side of Maryland after FHD chief William Pulte last month referred to the Department of Justice last month.

The people say the investigation seems to be a multi-pronged approach, with the participation of the FBI in the New York except for Virginia. The people said the investigation seemed to have reached a pace only in recent weeks, when Pulte received a request for documents recommended for him.

Crime Recommendation re-tuned the Trump allies online touting that James proved in 2023 that she would build a house in Norfolk, Virginia to help her as her primary residence when she was the primary residence of New York State attorneys.

Whether these allegations are sufficiently fulfilled has led to the criminal charges being unclear. However, its existence has not been clearly reported, regardless of the increase in legal stake in James, which appears to be the first criminal investigation into one of Trump's most important political opponents.

James sees the allegations as politically motivated retribution. James' attorney argued in a letter to the Justice Department last week that residency was a mistake, telling the mortgage broker that the House would not be her primary residence.

"Director Pulte Cherry picked the August 17, 2023 power of attorney, mistakenly saying that the property was Ms. James' primary residence," wrote Abbe Lowell, James' attorney. "The agent understands this, Ms. James is not a Virginia resident."

A spokesperson for the Department of Justice and federal housing finance institutions declined to comment. James' attorney Abbe Lowell did not immediately respond to a request for comment.

Still, in recent weeks, the allegations have been fascinating among Trump’s allies, and they seem to see an opportunity to attempt to invalidate Trump’s $450 million civil fraud trial judgment, challenge James’ qualification to become the attorney general, and increase the likelihood of criminal charges.

James signed the power of attorney in August 2023, weeks before the civil fraud trial began. New York State law requires public officials to become residents of the state, and Trump's allies argue that James should not be eligible to become attorney general when the case goes to trial in October 2024.

Trump's allies also accuse James of receiving improper financial benefits by proving that she will live in a Virginia home, even if any assumed mortgage interest rates are low, property occupied from the owner will live in the home with her relatives.

Real estate lawyers in Virginia believe that the document is unlikely to be a problem unless James misrepresents his intentions for the home. James said in another loan application that she does not intend to live in Virginia.

The criminal referral also accused James of buying a home in Brooklyn in 2001, characterized by a five-unit property, with a loan only applicable to homes owning four units in order to obtain higher interest rates.

The referral mentioned a certificate of occupation from January 2001, saying that the house had five units. Lowell said in a letter to the Justice Department that the house has four floors, James used as four units, and many other New York City records listed the building as four units.