The US Justice Department has launched an inquiry into whether two close allies of former President Donald Trump improperly influenced the investigation into California Senator Adam Schiff's alleged mortgage fraud case.
Subpoena Reveals Investigation Scope
According to documents obtained by the Guardian and a source familiar with the matter, federal prosecutors are examining the activities of Trump associates Bill Pulte, head of the Federal Housing Finance Agency, and Ed Martin, who leads the Justice Department's weaponisation committee.
The investigation is being overseen by Deputy Attorney General Todd Blanche's office and represents a significant development as it involves scrutiny of individuals closely aligned with the former president.
A federal grand jury in Maryland issued a subpoena to Christine Bish, an associate of Pulte and a Republican congressional candidate in California. Bish had previously filed an ethics complaint accusing Schiff of mortgage fraud.
Questionable Communications Under Scrutiny
The subpoena demanded Bish provide all communications with Pulte, individuals claiming to represent him, and people purporting to work on behalf of Ed Martin. It also requested correspondence with Robert Bowes and Scott Strauss.
Bish told CNN that during her grand jury appearance, prosecutors appeared more interested in determining whether "there was conspiracy or collusion between me and Pulte or me and Ed Martin" than in her original complaint against Schiff.
ABC News reported that Bowes, who describes himself as a financial fraud expert, contacted Bish without the knowledge of Maryland prosecutors or FBI agents. Similarly, Strauss reached out to her and asked that she send documents about Schiff to a private email address.
Political Motivations and Case Complications
Both Pulte and Martin have strong ties to Trump and have previously assisted in using federal government resources to target political opponents, including Schiff and New York Attorney General Letitia James.
The investigation is examining whether Pulte and Martin improperly assigned unauthorised individuals to assist in investigating mortgage fraud claims against Schiff and potentially James.
The case against Schiff has reportedly stalled as prosecutors have failed to produce adequate evidence, according to NBC News reporting from last month. The current inquiry may represent an effort by the Justice Department to anticipate potential defences Schiff might employ if indicted.
Should misconduct be discovered involving Pulte or Martin, it could potentially undermine the entire case against the California senator.
Pulte has made criminal referrals to the Justice Department targeting Schiff, James, Federal Reserve governor Lisa Cook, and California congressman Eric Swalwell for alleged mortgage fraud. All parties have denied any wrongdoing.
The FHFA chief's methods have faced previous scrutiny, including bypassing the agency's standard inspector general procedures for handling mortgage fraud allegations. Last week, the Wall Street Journal reported he removed ethics officials who were investigating whether FHFA staff had improperly accessed James' mortgage information.
A representative for Schiff did not immediately respond to requests for comment, while the Justice Department declined to comment on the ongoing investigation.
