WASHINGTON — Albany US Attorney John Sarcone III was illegally appointed to his position by the Trump administration last year, a federal appeals court ruled Friday, dealing a setback to the Justice Department’s effort to build a case against New York Attorney General Letitia James.

The ruling by the divided panel from the NYC-based Second Circuit Court of Appeals held that two subpoenas Sarcone sent James‘ office last year were not valid.

“We disagree with the court’s decision, and intend to take this case to the Supreme Court,” a Justice Department spokesperson told The Post.

The ruling came the day after Sarcone, the top prosecutor in New York state’s Northern District, announced charges against an Albany-area woman for allegedly plotting to bomb the state Capitol building in Albany after swearing allegiance to the ISIS terror group.

But Sarcone’s longest-running and highest-profile case is his pursuit of James.

One of the subpoenas at issue related to the $464 million civil fraud judgment won by James’ office against Trump, which was voided as excessive this past August by an appeals court. The matter is still pending before the New York Court of Appeals.

The second subpoena reportedly sought information on James’ own investigation of the National Rifle Association, along with other records.

Sarcone, a former Trump campaign attorney, launched his investigation of potential deprivation of rights allegations against James in coordination with the FBI in May 2025.

James brought the case questioning Sarcone’s appointment and has claimed his investigation is politically motivated. Her office did not immediately comment on Friday’s ruling.

The state AG initially brought the civil case against Trump in 2022, claiming that the real estate mogul’s eponymous business inflated the value of its real estate holdings to get favorable loan terms and other financial perks.

Sarcone has stayed on the job even after a federal judge ruled this past Janaury that he had been unlawfully appointed to his position by then-Attorney General Pam Bondi.

The prosecutor was initially named acting US attorney on March 17, 2025, allowing him to serve for 120 days without confirmation by the Senate.

Once the 120 days expired and a panel of federal judges in the district declined to extend Sarcone’s appointment, he was named first assistant US attorney and designated as a special attorney — a title traditionally given to those handling cases across multiple districts or specific high-profile investigations.

Sarcone has no experience as a prosecutor when the Trump administration appointed him last year. 

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