Democratic Senator Adam Schiff is reportedly being investigated over claims that he committed mortgage fraud.
A White House source told Fox News host Laura Ingraham on Tuesday evening that the U.S. Attorney’s Office in Maryland is leading the probe.
The allegations relate to claims that Schiff misrepresented which home he was using as his primary residence to secure better loan terms.
Highlights
- Sen. Adam Schiff is under federal investigation for allegedly misrepresenting his primary residence to secure favorable mortgage terms.
- FHFA Director William Pulte referred Schiff to the DOJ, citing falsified bank documents affecting mortgage payments from 2003 to 2019.
- Schiff allegedly claimed his Maryland home as his primary residence despite taking a tax break on his California condo during his California service.
- Schiff denies wrongdoing, calling the probe a politically motivated retaliation by President Donald Trump.
Adam Schiff is reportedly under investigation for mortgage fraud
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In May, Federal Housing Finance Agency (FHFA) Director William Pulte referred Schiff to the Department of Justice (DOJ), citing alleged misconduct.
In a letter to Attorney General Pam Bondi and Deputy Attorney General Todd Blanche, Pulte alleged that Schiff had falsified bank documents and property records.
“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,” the letter read.
“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.”
Image credits: The White House
Those claims relate to Schiff’s home in Montgomery County, Maryland, and his residence in Burbank, California.
In 2003, Schiff and his wife bought the Maryland home for $870,000 and agreed to a $610,000 mortgage with Fannie Mae for a term of 30 years, with a rate of 5.625%.
Schiff had signed an affidavit declaring that this home was his primary residence.
According to Pulte, mortgage refilings in 2009, 2011, 2012, and 2013 all listed the Maryland home as Schiff’s primary residence.
At this time, Schiff was serving as an elected member representing California, and he had taken a $7,000 tax exemption on his California condo, also listing it as his primary residence, according to Pulte.
The letter to the DOJ alleged that Schiff and his wife did not change the Maryland address to their second residence until 2020.
Image credits: William B. Plowman/NBC via Getty Images
Pulte said Schiff “appears to have falsified records in order to receive favorable loan terms, and also appears to have been aware of the financial benefits of a primary residence mortgage when compared to a secondary residence mortgage.”
He also referenced a comment given to CNN in 2023 by a spokesperson for Schiff, which said: “Adam’s California and Maryland addresses have been listed as primary residences for loan purposes because they are both occupied throughout the year and to distinguish them from a vacation property.”
Schiff could have violated federal criminal codes banning wire fraud, mail fraud, bank fraud, and false statements to financial institutions, according to Pulte.
While Schiff has not publicly commented on the new claims regarding a federal investigation, he previously described the allegations as Donald Trump’s attempt at political retribution.
Schiff said U.S. President Trump is politically retaliating against his perceived enemies
Image credits: The White House
Schiff is one of Trump’s most vocal critics, most notably leading his first impeachment trial and pushing the Trump-Russia investigation.
During the impeachment trial, Schiff served as the lead House manager and presented a case that alleged Trump abused his power by pressuring Ukraine to investigate Joe Biden.
As chairman of the House Intelligence Committee, during and after the 2016 Russian election interference investigations, Schiff said there was “ample evidence” of collusion between the Trump campaign and Russia.
He even threatened to subpoena Donald Trump Jr. to ascertain what was said on calls he made to two blocked numbers after meeting with a Russian lawyer.
It outraged Republicans and Trump.
Schiff has also called for Trump to be indicted over a range of alleged offenses, including efforts to overturn the 2020 election and his handling of classified documents.
Image credits: Drew Angerer/Getty Images
He served on the House Select Committee investigating the January 6 Capitol riot, where he played a prominent role in presenting evidence of Trump’s alleged efforts to subvert the election results.
Schiff also supported legal consequences when the Trump Organization was found to have fraudulently inflated property values to secure favorable bank loans and insurance terms, calling the conduct part of a broader pattern of financial deception.
After the DOJ letter, Trump called for Schiff to be “brought to justice” and said he had always suspected him of being a “scam artist.”
Schiff responded to those comments, saying the claims against him were false allegations.
“Since I led his first impeachment, Trump has repeatedly called for me to be arrested for treason,” he said in a statement on X.
“So in a way, I guess this is a bit of a letdown. And this baseless attempt at political retribution won’t stop me from holding him accountable. Not by a long shot.”
“This is just Donald Trump’s latest attempt at political retaliation against his perceived enemies,” he added.
“So it is not a surprise, only how weak this false allegation turns out to be. And much as Trump may hope, this smear will not distract from his Epstein files problem.”
A spokesperson for Schiff said that his mortgage lenders were aware of his Congressional services and his intended use of both homes around the year.