FHFA launches new investigation, Bill Pulte's troubles escalate

Unlike his predecessors at the Federal Housing Finance Agency, who largely stayed out of the public eye, current FHFA Director Bill Pulte has taken an unusually aggressive and high-profile approach. A staunch supporter of former President Trump, Pulte has reportedly used mortgage fraud allegations as a tool against individuals perceived as opponents of the former administration. While these actions were seemingly aimed at challenging Trumps adversaries, they have also drawn significant controversy toward Pulte himself.

According to NBC News, the Government Accountability Office (GAO)an independent watchdog for Congresshas officially launched an investigation into Pultes conduct. Earlier in November, leading Senate Democrats requested that the agency promptly investigate recent actions undertaken at the FHFA by Pulte. Their concerns specifically cited Pultes recent referrals of several prominent figures, including New York Attorney General Letitia James, Senator Adam Schiff, Federal Reserve Governor Lisa Cook, and Congressman Eric Swalwell, to the U.S. Department of Justice on allegations of mortgage fraud.

The GAO confirmed that the probe has been opened, signaling that Pultes decisions warrant closer examination. Adding to his legal challenges, MS NOW reported that a federal grand jury in Maryland is investigating whether Pulte and Justice Department official Ed Martin improperly shared confidential grand jury information with unauthorized individuals. Such actions are considered serious violations of Justice Department regulations and could result in criminal charges, including obstruction of justice, contempt of court, and significant fines.

Investigators have reportedly requested documents and conducted interviews regarding individuals who may have presented themselves as federal agents acting on behalf of Pulte or Martin. Meanwhile, Congressman Swalwell, one of the officials referred by Pulte, has filed a lawsuit against him, alleging abuse of office and violations of federal privacy laws.

As these overlapping investigations unfold, Pulte is now confronting the very backlash he likely sought to avoid. The outcomes of these inquiries will determine the potential consequences for the FHFA director, whose tenure has become increasingly contentious.

Author: Logan Reeves