Attorney General Pam Bondi has appointed Ed Martin as a special attorney to investigate mortgage fraud allegations against two of President Donald Trump’s most vocal legal adversaries, signaling a dramatic shift in federal law enforcement priorities.
Story Snapshot
- Ed Martin appointed a special attorney to investigate Letitia James and Adam Schiff for alleged mortgage fraud.
- The Federal Housing Agency referred both Democrat officials to the DOJ for allegedly falsifying mortgage documents.
- Martin leads DOJ’s new Weaponization Working Group and previously defended January 6 participants.
- James previously won $454 million civil fraud judgment against Trump, while Schiff led impeachment efforts.
DOJ Targets Trump’s Legal Adversaries
The Federal Housing Finance Agency referred New York Attorney General Letitia James in April 2025 and California Senator Adam Schiff in May 2025 to the Department of Justice for allegedly falsifying mortgage documents to secure better loan terms.
Both Democrat officials have been prominent legal opponents of President Trump, with James securing a $454 million civil fraud judgment and Schiff leading impeachment proceedings. Martin’s appointment represents a significant escalation in federal scrutiny of these high-profile Democrats.
Allegations Under Federal Investigation
The mortgage fraud allegations center on claims that both James and Schiff manipulated loan applications to obtain more favorable terms.
James faces subpoenas related to her mortgage dealings, while Schiff’s case involves alleged misrepresentations regarding a Maryland property and dual residency claims.
However, Schiff’s attorney, former U.S. Attorney Preet Bharara, has denounced the allegations as “transparently false, stale, and long debunked,” calling Martin’s appointment “the very definition of weaponization of the justice process.”
The investigations remain in early stages with no formal charges filed against either official. Critics argue these probes represent political retaliation against Democrats who pursued legal action against Trump, while supporters view them as necessary accountability measures.
The outcome will likely set important precedents for how federal law enforcement handles politically sensitive cases involving high-profile elected officials.
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Justice Department escalates scrutiny of Trump foes with probes of Letitia James, Adam Schiff
