Swalwell Sues FHFA Director Over Alleged Misuse of Mortgage Records
Representative Eric Swalwell, a Democrat from California, has filed a lawsuit claiming that the head of the Federal Housing Finance Agency (FHFA) improperly accessed private mortgage records of Democratic members of Congress. This action, he argues, was meant to initiate a federal criminal investigation.
The lawsuit, submitted in federal court in Washington, D.C., alleges that FHFA Director Bill Pruitt misused his authority to retrieve mortgage records belonging to several Congressional Democrats, including Swalwell himself, and subsequently referred these records to the Department of Justice (DOJ) for criminal inquiry.
Swalwell contends that the FHFA overstepped its boundaries by gathering and utilizing such sensitive information from politicians known for their critical stance against former President Donald Trump. In a statement, he expressed, “Today, I filed a civil lawsuit against FHA Administrator Bill Pruitt for violating privacy laws and the First Amendment. Pruitt scoured through personal records of political rivals to silence them.”
Interestingly, there seems to be a division among Republicans regarding accountability for the so-called “Arctic frost,” yet critics haven’t presented a clear alternative solution.
Pruitt is accused of having “abused his position” to discover private records through government databases and used them to fabricate questionable allegations of mortgage fraud against Swalwell.
Notably, the DOJ began investigating Swalwell on November 13, suspecting him of mortgage fraud. According to the lawsuit, Pruitt claimed Swalwell misrepresented his Washington, D.C., home as his primary residence in order to secure better loan conditions.
Swalwell’s lawsuit alleges that Pruitt’s referral letter is not only misleading but showcases a flagrant misuse of power that violates legal standards. “The accusations in Pruitt’s referral letter are plainly false,” the suit states.
This DOJ inquiry comes as Swalwell is attempting to position himself for a gubernatorial run in California in 2026. The suit argues that the release of his personal details has tarnished his reputation just as he aims for higher office, compelling him to expend personal resources in his defense against the inquiry.
In his complaint, Swalwell highlighted the increased safety risks for his family due to the public exposure of their home information. He stressed that this situation has not only caused significant distress but has also emerged from a concerted effort by the FHFA to retaliate against individuals critical of the former administration. This included further investigations involving other known Trump detractors, such as New York Attorney General Letitia James.
Swalwell claims that Pruitt’s actions were not mere errors; rather, they reflect a deliberate assault on core democratic principles, aiming to suppress criticism against the government—a violation of what the First Amendment and privacy laws strive to protect.
In his lawsuit, Swalwell seeks financial compensation, a declaration that the FHFA violated federal laws, and an order to rescind the referral made to the DOJ. Thus far, Pruitt and the FHFA have not issued a public response regarding the lawsuit.
