November 13, 2025
The recent removal of Fannie Mae ethics officials comes amid probes into improper access to mortgage records of Letitia James and other Democrats.
Fannie Mae’s abrupt removal of ethics officials is drawing scrutiny amid probes into whether Trump allies improperly accessed mortgage records for Letitia James and other Democrats.
Experts are raising concerns about William Pulte, a strong Trump supporter and head of the Federal Housing Finance Agency (FHFA), who has accused James, Rep. Adam Schiff, and Federal Reserve Governor Lisa Cook of mortgage fraud, The Guardian reports. All three deny the claims, and analysts are viewing the cases as a possible attempt by Trump to target political opponents.
Mortgage data is highly sensitive, and fraud investigations are rarely handled by the FHFA inspector general, whose office typically acts as an internal watchdog. After Pulte made the referrals, former officials and experts have been noting how unusual they are.
Amid the review, Fannie Mae ethics officials who investigated Pulte’s potential improper access to mortgage records were removed. Acting Inspector General Joe Allen was asked to step down, leaving the office vacant, while roughly a dozen ethics and internal investigations staff, including Chief Ethics Officer Suzanne Libby and General Counsel Danielle McCoy, were fired or resigned under pressure last month.
Fannie Mae ethics and internal investigations officials had received complaints that FHFA senior officials ordered employees to access the mortgage records of James and others. They referred the matter to the inspector general, who then sent it to the U.S. attorney for the Eastern District of Virginia. Trump recently installed ally Lindsey Halligan in that role. According to a source, Halligan was reportedly displeased to receive the information, which could become part of the discovery for James’s lawyers, and allegedly forwarded it to the White House. Halligan denies this, calling the claim false.
“This is more Fake News from people who are trying to impede the criminal justice system,” a spokesperson for FHFA said in a statement.
Pulte says the employees were fired as part of a broader effort against diversity, equity, and inclusion initiatives. Still, many note the suspicious timing of removing internal watchdogs investigating his potential access to mortgage records.
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