Senator Adam Schiff Faces Federal Criminal Investigation Over Mortgage Fraud Allegations

WASHINGTON (TNND) – Senator Adam Schiff, a Democrat representing California, is currently the subject of a federal criminal investigation concerning allegations of mortgage fraud, Fox News reported Tuesday. The investigation, reportedly being conducted by the U.S. Attorney’s Office in Maryland, stems from questions surrounding the Senator’s claims of primary residency for multiple properties.

The inquiry was initially brought to light by Fox News host Laura Ingraham during “The ingraham Angle.” Sources within the Trump governance confirmed the investigation to the network. At the heart of the matter are two properties owned by Schiff: one located in California and another in Maryland.

According to reports, Schiff initially designated his Maryland home as his primary address in 2003. Later, in 2009, he purchased a condominium in Burbank, California, and also claimed this property as his primary residence. This dual designation allegedly allowed Schiff to receive a $7,000 property tax reduction based on the 1% rate for primary residences in California, while simultaneously not claiming any tax exemptions for his Maryland home.

California law stipulates that to qualify for a homeowner’s tax exemption, a property must be the individual’s “true, fixed and permanent home and principal establishment” to which they intend to return. The investigation is focused on whether Schiff legitimately met these criteria while simultaneously claiming primary residency for both properties between 2009 and 2019.

Further complicating the situation, the Federal Housing Finance Agency (FHFA) recently submitted a criminal referral to the Justice Department. This referral alleges that Schiff falsified bank documents and property records to secure more favorable loan terms, as detailed in a letter obtained by Fox News. The FHFA’s referral adds another layer to the scrutiny surrounding Schiff’s financial dealings.

The allegations against Senator Schiff have also drawn attention from former President Donald Trump,who was the subject of impeachment proceedings led by schiff in 2020. Trump has publicly commented on the matter, referencing the allegations on his Truth Social platform.

Understanding Primary Residency and Property Tax Exemptions: Claiming a false primary residency can have meaningful legal and financial consequences. Property tax exemptions are designed to provide relief to homeowners who occupy a property as their primary residence. Misrepresenting residency to gain these benefits is considered fraud and can result in penalties, back taxes, and even criminal charges.The specific laws governing primary residency and property tax exemptions vary by state, but generally require a demonstrable intent to remain at the property as one’s principal home.

The Role of the FHFA: The Federal Housing Finance Agency oversees Fannie Mae and Freddie Mac, government-sponsored enterprises that play a crucial role in the U.S. housing market. The agency’s involvement in this case suggests potential issues wiht the accuracy of facts provided during mortgage applications,which could have implications for the integrity of the housing finance system.

As of Wednesday, November 15, 2023, Senator Schiff’s office has not yet issued a formal response to the allegations or the ongoing investigation. This is a developing story, and World Today News will continue to provide updates as more information becomes available.

What are your thoughts on these developments? Share your opinions in the comments below, and don’t forget to subscribe to World Today News for the latest breaking news and in-depth analysis.