GAO Launches Investigation into FHFA Director Bill Pulte
The Government Accountability Office (GAO), that trusty watchdog for Congress, has decided to open an investigation into none other than Federal Housing Finance Agency (FHFA) Director Bill Pulte. Sounds serious, right? Well, it gets juicier.
Back in November, a few top Senate Democrats thought it was high time to poke the bear; they wrote a letter urging the GAO to “promptly investigate recent actions undertaken at the FHFA” by our friend Pulte. The letter specifically pointed fingers at Pulte’s referrals of big names like New York Attorney General Letitia James, U.S. Senator Adam Schiff, Federal Reserve Governor Lisa Cook, and Congressman Eric Swalwell to the Justice Department for, wait for it, mortgage fraud.
Interestingly enough, all these officials referred to the Justice Department have vehemently denied any wrongdoing. It’s almost like a game of “he said, she said,” but with far more at stake.
GAO Statement on Investigation
A GAO spokesperson confirmed to NBC News that they have accepted this request and are in the process of figuring out exactly what they’ll be investigating. “The first thing GAO does as any work begins is to determine the full scope of what we will cover and the methodology to be used,” the spokesperson said. “This can take a few months, and until that is done, we cannot provide any estimates on a completion date.” Sounds like we might be waiting on this one.
Questions Surrounding Pulte’s Actions
Now, Pulte has been under the spotlight for quite some time. There’s been considerable chatter regarding the origin of the mortgage documents he used in these referrals. When pressed during a September CNBC appearance, he nonchalantly mentioned he got a “tip” but refused to elaborate. “I’m not going to explain our sources and methods,” he stated. Classic move, right?
Political Dynamics and Turbulence
Since taking on the role of FHFA director, Pulte hasn’t shied away from becoming an outspoken critic of several Democratic officials, especially those that President Donald Trump has targeted. He seems to have embraced this role with gusto, much like a seasoned actor stepping into a memorable character. In fact, Trump has repeatedly lambasted Fed Chair Jerome Powell, accusing him of not trimming interest rates quickly enough—a rather bold critique.
Cook, a Federal Reserve governor appointed by Trump’s predecessor Joe Biden, has also been in Pulte’s crosshairs. While accompanying the president on a July visit to the Federal Reserve’s headquarters, which was buzzing with renovation activity, Pulte utilized his time in the spotlight to share Trump’s sentiments through social media.
In a notable twist, Trump expressed an intention to fire Cook in August, citing a referral from Pulte to Attorney General Pam Bondi. This case is now headed for the Supreme Court’s docket in January, proving that this saga is far from over.
A Tense Administration
Pulte’s behavior has reportedly baffled some colleagues in the administration, including Treasury Secretary Scott Bessent. The tension reached a boiling point in September when Bessent allegedly threatened to punch Pulte at a White House dinner. When asked about this on CNBC, Bessent didn’t shy away from the truth. “Treasury secretaries dating back to Alexander Hamilton have a history of dueling,” he quipped. You can already imagine the tension in the room, can’t you?
Bessent added, “With President Trump’s team, just like any great sports team, you can argue in the locker room, but we get out in the field and do the best for the President and the American people every day.” If that doesn’t scream team spirit, what does?
As the GAO digs deeper into this investigation, we can only sit back and watch how the drama unfolds in the political arena. Who knows? Maybe we’ll reach a conclusion before we run out of popcorn!
