Power Play: Trump Ally Targets Political Foes Through Housing Regulator

In a surprising move, Joe Allen, the acting inspector general of the Federal Housing Finance Agency (FHFA), was recently removed from his position. This decision came at a time when the FHFA, usually a behind-the-scenes player, has been making waves under the leadership of Bill Pulte, a vocal supporter of the Trump administration. Pulte has been using the FHFA's new mortgage fraud hotline to target political opponents of the president. He has publicly referred criminal cases against figures like New York Attorney General Letitia James, Federal Reserve Governor Lisa Cook, and Senator Adam Schiff. This has raised eyebrows, as the FHFA is not typically known for such high-profile actions. Allen's termination seems to be linked to his efforts to share important information with prosecutors. He was also preparing to inform Congress that the FHFA was not cooperating with his office's investigations. This lack of cooperation is concerning, as it suggests that the agency may be prioritizing political agendas over its regulatory duties. Letitia James, who is facing charges related to mortgage documents, has pleaded not guilty. Her legal team argues that the prosecution is politically motivated and that the appointment of the interim U. S. attorney, Lindsey Halligan, was unlawful. Halligan was hand-picked by Trump and went ahead with the indictment despite her predecessor's concerns about the lack of evidence. Pulte's leadership at the FHFA has been anything but smooth. Just last week, he fired dozens of staff at Fannie Mae, adding to the turmoil within the agency. His actions have drawn criticism from figures like Senator Elizabeth Warren, who has called for Pulte to explain his decisions. Before joining the FHFA, Allen had a long career at the Justice Department, where he held various senior legal positions. His removal raises questions about the independence of the FHFA's inspector general office and the potential influence of political considerations on its work.