U.S. News
Federal Watchdog Probes FHFA Director Over Referrals
Clear Facts
- The Government Accountability Office (GAO) is investigating Federal Housing Finance Agency (FHFA) Director Bill Pulte following his referral of several Democratic officials to the Justice Department for alleged mortgage fraud.
- A letter from Senate Democrats requested this investigation, raising concerns over whether Pulte and FHFA staff misused federal authority and resources.
- The case against New York Attorney General Letitia James was dismissed by a federal judge due to an unlawful appointment of prosecutors, but future prosecution is still possible.
The GAO confirmed the launch of a review into the FHFA director’s actions, prompted by top Senate Democrats questioning the handling of criminal referrals involving high-profile Democrat officials.
Pulte’s actions drew criticism from former agency officials, with the process being characterized as “unusual” and “unheard of.”
In a recent CNBC interview, Pulte stated, “We make referrals almost every day. Lisa Cook happened to be one of them.”
Pulte also questioned the focus of the investigation, saying, “I think we’re worried about the wrong thing. There’s an alleged crime here. Why aren’t we talking about the crime? Why are we blaming the investigators?”
The FHFA declined to make any public statement, and all named Democratic officials have denied any wrongdoing.
The GAO has not provided a completion date for its investigation, explaining its process can take several months to determine the full scope and methodology.
As government oversight persists, traditional accountability mechanisms remain vital to maintaining trust.
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