dOnald Trump and his allies are accused of enforcing a “legal model” similar to the authoritarian regimes in Hungary and Russia that are adopting new strategies to target political opposition: mortgage fraud charges.
First, New York Attorney General Letitia James, then California Senator Adam Schiff. Now the president targets Fed Gov. Lisa Cook Require She resigns and threatens to fire her.
Cook is the first black woman to be appointed as Fed governor, appointed by Joe Biden in 2022. Her 14-year term does not expire until 2038.
Leading this new strategy is Bill Pulte, the heir to the wealth of a home construction company, appointed by Trump to lead the federal housing finance institution, which oversees regulations for federal housing lenders Fannie Mae and Freddie Mac.
Pulte has used his role to publicly accuse Trump opponents of, posting extraordinary allegations on social media, and referring them to investigate.
He claimed James, Schiff and Cook committed so-called owner-occupation fraud when it was claimed that a second home or investment property was actually the primary residence for getting a better mortgage. The lender is more inclined to allow the borrower to lower the mortgage in the primary residence than a second or investment property.
exist letter For the Justice Department, Pulte claims Cook “forged bank documents and property records for more favorable loan terms.” In other online posts and TV news appearances, Pat said Cook should resign or be fired for allegations that have not been verified.
James and Schiff denied the allegations. Cook has promised to “provide facts” after collecting relevant information.
Trump allies celebrated the allegations, citing evidence of corruption within the Democratic Party. “This is not only hypocritical, it is poetic justice Clip Trump reposted social media.
Although Pulte investigation The Associated Press found Texas Attorney General Ken Paxton, a Republican and a determined Trump ally whose wife at the time claimed three homes were their primary residences.
Although Paxton has not commented on his mortgage fraud charges, he spoke about the allegations against Attorney General James: “I hope she did something wrong and I hope she can take responsibility.”
Owner – Occupy fraud is not uncommon. Philadelphia adopts researchers in 2023 Estimated People who have offered more than 20,000 loans to “fraudulent investors” or have purchased multiple homes within one year.
Some political experts raised concerns that the president and his allies are blatantly using the legal system to intimidate political opponents. “The fact that law is being applied selectively emphasizes that it is part of the legal model,” Don Moynihan, a professor of public policy at the University of Michigan, told the Guardian via email.
“What we’re seeing is the weaponization type associated with authoritarian regimes like Hungary, Turkey or Russia,” Moynihan added. “I would say it’s a huge warning sign, but the reality is that we’ve seen a lot of these signs at the moment.”
“We refer people from all parties to mortgage fraud, and we will continue to do so,” a federal housing spokesperson contacted for comment.
“Anyone who engages in criminal activities should be responsible. No one is beyond the law,” a White House official said.
“No intention to be bullied”
Trump is targeting the Fed governor, which illustrates the president’s continued confrontation with the Fed. Compared to James or Schiff investigation In the case of Trump, Cook did not see himself as the president’s enemy.
But her role in the 12-person Federal Administration Commission that sets interest rates may have made her a target. Since taking office in January, Trump has asked the central bank to rule tax rates, ignoring the precedent set by his predecessors; the Fed has historically been regarded by past presidents as an independent institution with no political influence.
In five meetings this year, the Fed’s board of directors has not yet lowered interest rates, angering Trump. policy makers, including the chairman of the central bank, Jerome Powellassuming that government tariffs cast a shadow on the economic outlook and increase the risk of higher inflation.
Pulte mapping A letter from Trump – still insincere – fired Powell. “Jerome Powell’s career has been completed,” Pulte wrote in July.
“Can anyone tell Jerome’s Powell’s damage to the housing industry is very serious? Write On social media earlier this week.
Trump’s gut reaction to grab the Fed’s control was to fire Powell, but neither the stock market nor the U.S. Supreme Court Response This threat. So Trump spent the summer after other strategies with the help of Pulte.
In July, Trump zeroed in on the renovations at the Federal Reserve headquarters in Washington, D.C., claiming that the renovations were fraudulent because they were more expensive than the original budget, at $2.5 billion, rather than $1.9 billion. The Fed puts this complication It appeared during the renovation.
But as criticism of the renovation faded, Trump began to zero on Cook. Her exit will allow Trump to appoint a replacement, who may be more sympathetic to his desire to lower interest rates.
exist statementCook said she had no intention of bullying my position because she asked some questions in the tweet, adding: “I do intend to take any questions about my financial history as a member of the Fed so I’m collecting accurate information to answer any legitimate questions and provide facts.”
On Friday, Trump threatened to fire her if she didn’t resign.
Health & Wellness Contributor
A wellness enthusiast and certified nutrition advisor, Meera covers everything from healthy living tips to medical breakthroughs. Her articles aim to inform and inspire readers to live better every day.
