Major Democrat is under criminal investigation after Trump called him a 'scam artist'
California Senator Adam Schiff is accused of misrepresenting which home he used as his primary residence.
A Trump administration insider told Fox News host Laura Ingraham that the US Attorney's Office in Maryland is considering pressing charges.
The Department of Justice last month received a criminal referral from the Federal Housing Finance Agency (FHFA) allegeding Schiff falsified bank documents and property records to secure better loan terms.
In a 2011 affidavit signed by Schiff, he declared a home in Montgomery County, Maryland, as his primary residence, but as recent as 2023, a condominium in Burbank, California, is also listed as his primary residence.
Schiff and his wife purchased a Maryland home in 2003 for $870,000 with a $610,000 mortgage.
The rate was set at 5.625 percent over 30 years, on the basis that it was their primary and principal residence.
'Based on media reports, Mr. Adam B. Schiff has, in multiple instances, falsified bank documents and property records to acquire more favorable loan terms, impacting payments from 2003-2019 for a Potomac, Maryland-based property,' FHFA Director William Pulte wrote.
'As regulator of Fannie Mae, Freddie Mac, and the Federal Home Loan Banks, we take very seriously allegations of mortgage fraud or other criminal activity.
'Such misconduct jeopardizes the safety and soundness of FHFA's regulated entities and the security and stability of the U.S. mortgage market.'
Last month, Trump hit out at Schiff in a Truth Social post in the latest escalation in their long-running feud.
'Adam 'Shifty' Schiff is in BIG TROUBLE,' Trump wrote. 'He falsified loan documents.'
Trump also went on to slam Schiff for orchestrating an 'American Tragedy' by investigating his son Donald Trump Jr.'s phone records in 2019 amid concerns about the origin of a meeting with Russians held in Trump Tower three years prior.
'He once said my son would go to prison on a SCAM that Schiff, along with other Crooked Dems, illegally 'manufactured' in order to stage an actual coup,' Trump wrote.
'My son did nothing wrong, knew nothing about the fictional story. It was an American Tragedy!
'Now Shifty should pay the price of prison for a real crime, not one made up by the corrupt accusers!'
Schiff had threatened to subpoena Don Jr. to glean new details about two phone calls he made to blocked numbers after meeting with a Russian lawyer. At the time, Trump was under investigation for potentially colluding with the Kremlin.
He also led the charge to impeach Trump in his role as chair of the House Intelligence Committee.
Barbara McQuade, a former U.S. attorney for the Eastern District of Michigan told the publication it was 'awfully coincidental' that Trump's critics have been subjected to home loan investigations.
'You don't get a free pass because you're a public official,' McQuade said.
'But I think they've really undermined the credibility of the department by staking out this ground seeking retribution against Trump's enemies.'
Trump said he wanted to see Schiff 'brought to justice' through the investigation into his finances.
But Schiff maintained his innocence and argued he was being persecuted by the Trump administration as political retribution for his involvement in opposing the family over the years.
'This is just Donald Trump's latest attempt at political retaliation against his perceived enemies,' Schiff wrote on X.
'So it is not a surprise, only how weak this false allegation turns out to be.'
A spokesperson for his office insisted the lenders for both of his homes - one in Washington and another in California - were aware that he intended to use both year-round while serving in public office.
He maintained neither home is considered a 'vacation' property.
Appointing one home as a primary residence can allow a borrower to secure lower rates, because it is considered a less risky investment.
Schiff took aim at the president during an appearance on Stephen Colbert's show telling him to 'p**s off '.
'But before you p**s off, would you release the Epstein files?' Schiff asked, to rapturous applause.
It is unclear how Trump became aware of Schiff's mortgages, or what involvement he has played in the investigation so far.
According to The Washington Post, a confidential memo within Fannie Mae, the lender responsible for the questionable loans, said an investigation has been ongoing amid concerns Schiff 'engaged in a sustained pattern of possible occupancy misrepresentation on 5 Fannie Mae loans'.
The internal memo states the company's financial crimes team received a document demand from the Federal Housing Finance Agency on May 12 relating to loan files.
It states that a condo in Burbank, California, has at times been listed as a 'primary residence' before adding, 'however the 691 square foot, 1-bedroom unit appears unsuitable for a family of four, raising doubts about their true occupancy intent.'
Each of the loans involved have since been paid off in full.
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