January 10, 2026
James made $36,000 payments to Marsh from May 2018 to February 2019 during her bid for re-election.
Federal prosecutors opened a criminal investigation into New York Attorney General Letitia James, continuing its quest to indict the woman known for challenging Donald Trump.
Financial transactions between James had with her longtime hairdresser and former event manager are under review. The inquiry, which is in its early stages, focuses on payments and loans between James and Iyesata Marsh, who has been identified as her hairdresser and occasional campaign associate, The New York Times reported. According to reports, James made $36,000 payments to Marsh from May 2018 to February 2019. The payments were contributed to expenses for James’ reelection campaign. The majority of which, $22,000, went towards the rental of Marsh’s studio, which was used as James’ campaign office.
James, an elected Democrat, has not been accused of any wrongdoing in the current probe, and no charges have been filed against her at this stage. The investigation is the newest attempt by the Justice Department to pin James for wrongdoing. She has been a frequent target of federal scrutiny since she brought charges against Trump.
Marsh was recently indicted in the Western District of Louisiana on unrelated federal charges of bank fraud and aggravated identity theft linked to the purchase of a Land Rover. Prosecutors did not allege any connection between Marsh’s indictment and James.
The new investigation follows earlier federal efforts to bring criminal charges against James in a Virginia mortgage fraud case. Indictment. James was accused of falsifying documentation in order to receive a home loan. Prosecutors stated that the Attorney General falsely claimed the sought after residence would be used as a primary residence. However, the case was dismissed after a federal judge found the prosecutor who secured it was unlawfully appointed. Subsequent attempts by the Justice Department to obtain indictments in that matter were rejected by grand juries.
James’s legal team has criticized prior federal actions against her as politically motivated. In a statement, James’s attorney, Abbe Lowell, said continuous investigations reveal the governments “desperation” and will not yield results.
“Like their earlier attempts, this attack on Ms. James is doomed to fail. The desperation of those working for Trump is palpable and makes indelible the stain already put on this Justice Department.”
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