President Donald Trump has escalated his long-running feud with California Senator Adam Schiff by accusing him of mortgage fraud. In a fiery post on Truth Social, Trump labeled Schiff a "scam artist" and claimed that the Financial Crimes Division of Fannie Mae had uncovered evidence of Schiff's involvement in a "sustained pattern of possible mortgage fraud." The accusation, made public on Tuesday, points to Schiff's alleged misrepresentation of his Maryland home as his primary residence to secure favorable mortgage terms.
The issue, according to Trump, was only rectified in October 2020 when Schiff's mortgage documents were amended to list the property as a secondary residence. Schiff, who has served in the U.S. House of Representatives since 2001 before his election to the Senate in 2024, has yet to respond publicly to the allegations.
Trump's accusations draw parallels to similar claims leveled against New York Attorney General Letitia James, who has faced mortgage fraud allegations and has characterized the investigation into her as a "political witch hunt." Despite this, she enjoys a publicly funded legal defense fund estimated at $10 million.
The contentious relationship between Trump and Schiff has been one of the most public and contentious political rivalries in recent times. Schiff gained national attention as the lead Democrat on the House Intelligence Committee during the investigation into alleged collusion between Trump's 2016 presidential campaign and Russia. He was also a central figure in the 2019 impeachment proceedings against Trump, where he accused the former president of abuse of power and obstruction of Congress.
Throughout his tenure, Schiff has been an outspoken critic of Trump, addressing issues from foreign policy and the COVID-19 response to the January 6 Capitol riot. Trump, conversely, has consistently attacked Schiff, branding him a "liar" and "political hack" across social media platforms and in public addresses.
The recent mortgage fraud claim aligns with Trump's increasing influence over federal agencies, such as the Federal Housing Finance Agency (FHFA), which oversees Fannie Mae and Freddie Mac. William Pulte, the FHFA Director, is reported to have backed Trump's efforts to probe alleged misconduct by political adversaries. This has raised alarms about the potential politicization of federal institutions that are typically seen as neutral arbitrators.
As of this writing, neither Fannie Mae nor federal prosecutors have officially confirmed the mortgage fraud allegations against Schiff, and his office has declined to comment. The latest development underscores the enduring tension between two high-profile figures in American politics and raises questions about the impartiality of regulatory institutions.
