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A federal housing official has submitted a criminal referral to the Department of Justice (DOJ) concerning California Senator Adam Schiff over alleged mortgage fraud. The director of the U.S. Federal Housing Finance Agency (FHFA), William Pulte, sent a letter to Attorney General Pam Bondi and Deputy Attorney General Todd Blanche in May, citing misconduct by Schiff involving properties in California and Maryland.
According to the letter obtained by Fox News, Schiff allegedly falsified bank documents and property records to secure favorable loan terms for a Maryland property from 2003 to 2019. The letter claims Schiff misrepresented the property as his primary residence to obtain a lower interest rate, while also claiming a homeowner’s tax exemption on a California condo as his primary residence.
President Donald Trump has publicly accused Schiff of mortgage fraud, demanding justice on social media. Trump referred to Schiff as a "scam artist" and emphasized the seriousness of mortgage fraud in a post on Truth Social.
The FHFA's referral follows a conclusion by Fannie Mae's financial crimes investigations that Schiff engaged in a "sustained pattern of possible occupancy misrepresentation" on five loans. Despite these allegations, Schiff has denied any wrongdoing, attributing the accusations to political retribution from Trump. Schiff's spokesperson stated that lenders were aware of his dual residency and use of both homes year-round.
It remains unclear if the DOJ will pursue action against Schiff. The allegations have sparked political tension, with Schiff asserting that the accusations are part of Trump's ongoing attempts at political retaliation.