California Sen. Adam Schiff under federal investigation for mortgage fraud

08/08/2025 / By Ramon Tomey

Sen. Adam Schiff (D-CA) is under federal investigation for alleged mortgage fraud, following a criminal referral by the FHFA accusing him of falsifying property and bank documents to secure favorable loan terms.
The investigation focuses on conflicting claims about whether Schiff’s California and Maryland homes were primary residences – a distinction affecting mortgage rates – with evidence suggesting repeated misrepresentation between 2003 and 2019.
Alleged violations could include wire fraud, bank fraud or false statements to financial institutions, as Schiff reportedly certified the Maryland property as his primary home while claiming tax benefits in California.
The case resembles past mortgage fraud prosecutions, with legal experts noting that intentional misrepresentation could lead to criminal charges. President Donald Trump publicly condemned Schiff, calling for prosecution.
Schiff’s office claims both homes were legitimately occupied, but the probe underscores the legal and political ramifications of financial transparency – or lack thereof – for public officials. No charges have been filed yet.

Sen. Adam Schiff (D-CA), once a prominent figure in congressional investigations into President Donald Trump, is now the subject of a federal criminal probe over allegations of mortgage fraud.

The U.S. Attorney’s Office in Maryland has launched an investigation on Schiff following a criminal referral to the Department of Justice (DOJ) in May of this year by the Federal Housing Finance Agency (FHFA). It accused Schiff of falsifying property records and bank documents to secure favorable loan terms.

The case centers on conflicting claims about whether his residences in Burbank, California and Potomac, Maryland were primary homes – a distinction that can significantly affect mortgage rates. The former congressman for the Golden State was elected to the Senate last year and assumed office in December 2024.

The allegations surfaced after FHFA Director William Pulte sent a letter to the DOJ, citing evidence that Schiff and his wife repeatedly misrepresented their primary residence between 2003 and 2019. According to Pulte, Schiff certified the Maryland property as his primary home in a 2011 affidavit while simultaneously claiming tax benefits in California. This violation could constitute wire fraud, bank fraud or false statements to financial institutions.

“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,” Pulte wrote in the letter addressed to U.S. Attorney General Pam Bondi and Deputy U.S. Attorney General Todd Blanche. “Such misconduct jeopardizes the safety and soundness of FHFA’s regulated entities and the security and stability of the U.S. mortgage market.”

Trump targets Schiff over loan scandal

Fox News obtained records showing Schiff reaffirmed the Maryland home’s status in refinancing filings in 2009, 2011, 2012 and 2013 despite his California congressional role. The case echoes previous high-profile mortgage fraud prosecutions, such as the 2023 conviction of former Baltimore prosecutor Marilyn Mosby for lying on a loan application.

Legal experts note that occupancy misrepresentation, while often treated as a civil offense, can escalate to criminal charges if proven intentional. Trump himself amplified the scrutiny in a Truth Social post last month.

“I always knew Adam Schiff was a crook,” the president stated, attaching the California senator’s notarized affidavit. Trump also demanded prosecution, framing the case as part of a broader pattern of alleged misconduct. (Related: President Trump accuses California Sen. Adam Schiff of MORTGAGE FRAUD.)

Schiff’s office has maintained that both homes were legitimately occupied. A spokesperson for the lawmaker told fake news outlet CNN in 2023 that the properties were “listed as primary residences … to distinguish them from a vacation property.”

For now, the investigation remains ongoing, with no public response yet from Schiff’s legal team. The probe marks a dramatic turn for a lawmaker who once led impeachment efforts against Trump. It also serves as a reminder that even political adversaries face the same legal scrutiny when accusations of financial impropriety arise.

The outcome could hinge on whether prosecutors uncover evidence of deliberate deception or whether the discrepancies were bureaucratic oversights. Either way, the case underscores the enduring consequences of financial transparency – or the lack thereof – in public office.

Watch this clip from “Fox & Friends” about President Trump accusing Sen. Adam Schiff (D-CA) of mortgage fraud.

This video is from the NewsClips channel on Brighteon.com.