New York's attorney general subpoenaed Donald Trump Jr. and Ivanka Trump in fraud investigation

• New York AG Tish James subpoenaed Ivanka Trump and Donald Trump Jr.
• James' office is conducting a wide-ranging civil probe into the Trump Organization's business dealings.

New York attorney general Tish James has subpoenaed former President Donald Trump's eldest children as part of an ongoing civil fraud investigation, according to a new court filing.

Donald Trump Jr. and Ivanka Trump were subpoenaed on December 1, The New York Times reported, citing a person with knowledge of the matter. Eric Trump was questioned in late 2020.

The court filing referencing the subpoenas said they were served "in connection with an investigation into the valuation of properties owned or controlled by Donald J. Trump or the Trump Organization." It went on to say that a "dispute has arisen" between the attorney general's office and the Trump family regarding the subpoenas.

A person familiar with the investigation previously told The Washington Post that James is looking into whether rampant fraud "permeated the Trump Organization," and The Times reported last month that James wants Trump to sit for a deposition on January 7.

James' inquiry is separate from an ongoing criminal probe conducted by the Manhattan district attorney's office, which the attorney general's office is collaborating with.

Most of the charges stemming from the DA's investigation so far have focused on tax-related schemes. But in recent months, the civil probe and the criminal investigation have zeroed in on whether Trump Organization officials artificially inflated or deflated the value of properties for loan and tax purposes, respectively.

Prosecutors from the DA's office in November issued new subpoenas for records of Trump Organization properties, including golf clubs, offices, and hotels.

The Post reported that among other things, prosecutors are scrutinizing a Trump-owned building located at 40 Wall Street in Manhattan. Property records reviewed by The Post showed that the Trump Organization told lenders in 2012 that the building was worth $527 million, but a few months later told tax officials that it was worth just $16.7 million.

Tax experts have previously said the discrepancy could point to a ploy to pay lower property taxes.

Trump last month filed a lawsuit accusing James of trying to "harass" him with investigations. James' office is "guided solely by political animus and a desire to harass, intimidate, and retaliate against a private citizen who she views as a political opponent," the lawsuit said.

The attorney general's office released a subsequent statement dismissing the suit as "an attempted collateral attack on that investigation."

"To be clear, neither Mr. Trump nor the Trump Organization get to dictate if and where they will answer for their actions. Our investigation will continue undeterred because no one is above the law, not even someone with the name Trump," the statement said.