Politics
Rep. Swalwell’s suit alleges abuse of power, adds to scrutiny of Trump official’s mortgage probes
In a fiery rebuttal to allegations he’d criminally misrepresented facts in his mortgage documents, Rep. Eric Swalwell (D-Dublin) sued Federal Housing Finance Agency Director Bill Pulte on Tuesday — accusing him of criminally misusing government databases to baselessly target President Trump’s political opponents.
“Pulte has abused his position by scouring databases at Fannie Mae and Freddie Mac — two government-sponsored enterprises — for the private mortgage records of several prominent Democrats,” attorneys for Swalwell wrote in a federal lawsuit filed in Washington, D.C. “He then used those records to concoct fanciful allegations of mortgage fraud, which he referred to the Department of Justice for prosecution.”
They said Pulte launched his attack on Swalwell at a particularly inopportune time, just as Swalwell was launching his campaign for California governor.
Pulte’s attack, Swalwell’s attorneys wrote, “was not only a gross mischaracterization of reality” but “a gross abuse of power that violated the law,” infringing on Swalwell’s free speech rights to criticize the president without fear of reprisal, and violating the Privacy Act of 1974, which they said bars federal officials from “leveraging their access to citizens’ private information as a tool for harming their political opponents.”
Pulte, the FHFA and the White House did not immediately respond to requests for comment Wednesday.
Pulte has previously defended his work probing mortgage documents of prominent Democrats, saying no one is above the law. His referrals have exclusively targeted Democrats, despite reporting on Republicans taking similar actions on their mortgages.
Swalwell’s lawsuit is the latest counterpunch to Pulte’s campaign, and part of mounting scrutiny over its unprecedented nature and unorthodox methods — not just from targets of his probes but from other investigators, too, according to one witness.
In addition to Swalwell, Pulte has referred mortgage fraud allegations to the Justice Department against Sen. Adam Schiff (D-Calif.), New York Atty. Gen. Letitia James and Federal Reserve Governor Lisa Cook, who have all denied wrongdoing and suggested the allegations amount to little more than political retribution.
James was criminally charged by an inexperienced, loyalist federal prosecutor specially appointed by Trump in Virginia, though a judge has since thrown out that case on the grounds that the prosecutor, Lindsey Halligan, was illegally appointed. The judge also threw out a case against former FBI Director James Comey, another Trump opponent.
Cook’s attorneys slammed Pulte in a letter to the Justice Department, writing that his “decision to use the FHFA to selectively — and publicly — investigate and target the President’s designated political enemies gives rise to the unmistakable impression that he has been improperly coordinating with the White House to manufacture flimsy predicates to launch these probes.”
Schiff also has lambasted Trump and Pulte for their targeting of him and other Democrats, and cheered the tossing of the cases against James and Comey, calling it “a triumph of the rule of law.”
In recent days, federal prosecutors in Maryland — where Schiff’s case is being investigated — have also started asking questions about the actions of Pulte and other Trump officials, according to Christine Bish, a Sacramento-area real estate agent and Republican congressional candidate who was summoned to Maryland to answer questions in the matter last week.
Pulte has alleged that Schiff broke the law by claiming primary residence for mortgages in both Maryland and California. Schiff has said he never broke any law and was always forthcoming with his mortgage lenders.
Bish has been investigating Schiff’s mortgage records since 2020, and had repeatedly submitted documents about Schiff to the federal government — first to the Office of Congressional Ethics, then earlier this year to an FHFA tip line and to the FBI, she told The Times.
When Trump subsequently posted one of Schiff’s mortgage documents to his Truth Social platform, Bish said she believed it was one she had submitted to the FHFA and FBI, because it was highlighted exactly as she had highlighted it. Then, she saw she had missed a call from Pulte, and was later asked by Pulte’s staff to email Pulte “the full file” she had worked up on Schiff.
“They wanted to make sure that I had sent the whole file,” Bish said.
Bish said she was subsequently interviewed via Google Meet on Oct. 22 by someone from the FHFA inspector general’s office and an FBI agent. She then got a subpoena in the mail that she interpreted as requiring her to be in Maryland last week. There, she was interviewed again, for about an hour, by the same official from the inspector general’s office and another FBI agent, she said — and was surprised their questions seemed more focused on her communications with people in the federal government than on Schiff.
“They wanted to know if I had been talking to anybody else,” she said. “You know, what did I communicate? Who did I communicate with?”
Schiff’s office declined to comment. However, Schiff’s attorney has previously told Justice Department officials that there was “ample basis” for them to launch an investigation into Pulte and his campaign targeting Trump’s opponents, calling it a “highly irregular” and “sordid” effort.
The acting FHFA inspector general at the time Bish was first contacted, Joe Allen, has since been fired, which has also raised questions.
On Nov. 19, Rep. Robert Garcia (D-Long Beach) — the ranking Democrat on the House Oversight and Government Reform Committee — wrote a letter to Pulte denouncing his probes as politically motivated, questioning Allen’s dismissal and demanding documentation from Pulte, including any communications he has had with the White House.
Swalwell’s attorneys wrote in Tuesday’s lawsuit that he never claimed primary residence in both California and Washington, D.C., as alleged, and had not broken any laws.
They accused Pulte of orchestrating a coordinated effort to spread the allegations against Swalwell via a vast network of conservative influencers, which they said had “harmed [Swalwell’s] reputation at a critical juncture in his career: the very moment when he had planned to announce his campaign for Governor of California.”
They said the “widespread publication of information about the home where his wife and young children reside” had also “exposed him to heightened security risks and caused him significant anguish and distress.”
Swalwell said in a statement that Pulte has “combed through private records of political opponents” to “silence them,” which shouldn’t be allowed.
“There’s a reason the First Amendment — the freedom of speech — comes before all others,” he said.
Politics
Bessent flips script on Dem senator with reminder about his son’s past ties to Epstein
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Sen. Ron Wyden, D-Ore., suddenly found himself on the defensive at a budget hearing on Wednesday when, amid levying accusations of the Trump administration’s “corrupt” dealings, Treasury Secretary Scott Bessent fired back by bringing Wyden’s son’s investments into the exchange.
“We would like to hear what Adam Wyden and Jeffrey Epstein talked about,” Bessent said, referring to unearthed emails drawing a connection between the senator’s son and the disgraced financier.
“Did your son and Jeffrey Epstein talk about pole dancing as he begged him for money?”
The moment continues the political fallout for the many names associated with Epstein that — despite not amounting to proof of wrongdoing — continue to prompt embarrassment and scandal at even the smallest mention.
TOP FIERY MOMENTS AS DEMOCRATS CLASH WITH TREASURY SECRETARY BESSENT IN CHAOTIC HILL HEARINGS
Treasury Secretary Scott Bessent, left, pictured along Sen. Ron Wyden, D-Ore, right. (Aaron Schwartz/Bloomberg via Getty Images; Chip Somodevilla/Getty Images)
Epstein, a former financier, died while in prison on charges of sex trafficking minors in 2019, leaving behind questions of whether he facilitated illegal sexual encounters for his vast network of rich and powerful figures.
Amid public demands for transparency on the matter, the Department of Justice released troves of documents on Epstein late last year, unveiling a slew of new names with all manner of ties to the infamous figure ranging from purely innocuous to alarming.
Among them, emails surfaced indicating that Adam Wyden, Ron Wyden’s son, went to Epstein, hoping to gain his support for a business venture.
UNEARTHED EMAILS REVEAL DEM SENATOR’S SON WANTED EPSTEIN TO JOIN HIS FUND: ‘ENJOYED OUR CONVERSATION’
Sen. Ron Wyden leaves a Senate Democratic meeting at the U.S. Capitol Building in Washington, D.C., on Oct. 3, 2025, as the federal government shuts down after Congress and the White House failed to reach a funding deal. (Kevin Dietsch/Getty Images)
“Jeffrey, I wanted to thank you for taking the time to meet with me. I thoroughly enjoyed our conversation and hope my passion and dedication for my business came through in the meeting. I live and breathe this business and take my returns, integrity and reputation quite seriously,” the younger Wyden said in an email in April 2016.
“I intensely appreciate like-minded individuals and would very much look forward to having you join us at the fund.”
The emails came after Epstein pleaded guilty to soliciting a minor for prostitution in Florida in 2008.
It’s unclear what the business venture discussed by Adam Wyden and Epstein may have been or what, specifically, had been discussed in their conversations.
Even so, Bessent reminded viewers that the younger Wyden had a history of investing in off-color markets at Wednesday’s hearing.
DEMOCRATS ARE HAMMERING REPUBLICANS ON EPSTEIN, BUT ONE SENATOR BRUSHED OFF THE ISSUE YEARS AGO
Treasury Secretary Scott Bessent addresses a press conference in Rosenbad after trade talks between the U.S. and China concluded in Stockholm, Sweden, on July 29, 2025. (Magnus Lejhall/TT News Agency/AFP via Getty Images)
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“Your son’s largest investment position was Rick’s Cabaret,” Bessent said, referring to a series of strip clubs.
Wyden, who has widely panned the Trump administration and its many officials for their own connections to Epstein, didn’t respond to Bessent’s jabs.
Politics
Hilton and Becerra lead California’s unsettled governor’s race; Steyer faces elimination
As election officials continued tallying ballots Wednesday, Republican Steve Hilton and Democrat Xavier Becerra continued to lead in the unsettled race to replace termed-out Gov. Gavin Newsom, with billionaire Democrat Tom Steyer hoping for a surge in late-arriving votes to push him into one of the top-two spots to advance to the November general election.
Hilton, a British immigrant and former Fox News commentator, told reporters outside the state Capitol in Sacramento Wednesday morning that he was “very encouraged” by the latest results, though he stopped short of declaring victory.
“It does look as if change is coming to California, and that is good news for everyone, every small business, every working family, everyone who wants to see our state set back on track,” he said.
Becerra and Steyer did not hold public events as of Wednesday afternoon.
Election data analyst Paul Mitchell said it would be nearly mathematically impossible for Steyer to close the gap.
“As we start to get more data, the runway is going to get shorter and shorter,” he said.
He said Steyer, to finish in the top two in the primary, would have to get about 30% of the remaining uncounted votes while Becerra would need to be limited to 15%. The self-funded billionaire has “a very high hill to overcome, and the challenge gets steeper and steeper as we get more data from the counties,” Mitchell said.
Once mired near the bottom of a crowded pack of Democrats in opinion polls, Becerra, a former Biden administration cabinet member, rocketed ahead of his rival candidates after former Rep. Eric Swalwell dropped out of the race in April amid allegations of sexual assault and misconduct. The scandal triggered an upswing of voter interest in California’s once sluggish governor’s race and in Becerra, who seized the moment.
“Here in Hollywood’s hometown, we love a good underdog story,” Becerra told cheering supporters at his election night party at La Plaza de Cultura y Artes in downtown Los Angeles.
Becerra spoke about his Mexican immigrant parents and becoming the first in his family to attend college. Though a longtime California politician, Becerra said that his campaign for governor was outspent and that he faced calls to drop out of the race.
“The underdog stayed in the fight,” he said. “Like my parents, I never gave up. … Never stopped believing in the beacon-light goodness of California and thankfully, neither did you.”
Steyer, who spent more than $216 million of his wealth on the race, has not conceded defeat.
His campaign manager, Heather Hargreaves, wrote in a letter to supporters Wednesday that “we’re going to give democracy time to work. County election officials are still counting ballots and don’t expect to know how many people voted in total until” Thursday, when officials are required to report the estimated number ballots left to process.
The billionaire former hedge fund owner campaigned against the corporate and special interests that have a powerful presence in Sacramento and often spend heavily in elections, including this year against Steyer.
Billionaires “do everything they can to hoard their wealth and avoid paying taxes, and we see corporations continue to rig the system for themselves — raising your prices to juice their profits. Screw that,” Steyer said at his election watch party at the Regency Ballroom in San Francisco.
Other candidates in the race included Republican Riverside County Sheriff Chad Bianco and Democrats including former Rep. Katie Porter, San José Mayor Matt Mahan, former Los Angeles Mayor Antonio Villaraigosa and state Supt. of Public Instruction Tony Thurmond.
Villaraigosa, Mahan and Porter conceded the race Tuesday night.
California’s 2026 race for governor started slow but ended with a flourish, including the demise of a scandal-ridden Democratic favorite, the anointing of a Republican by Trump and Becerra’s unexpected rise from the depths of the candidate field.
Unlike gubernatorial elections in the last quarter of a century, this year’s race lacked a clear crowd-pleasing front-runner able to win over voters, such as movie star Arnold Schwarzenegger or Jerry Brown, a sage of the California electorate and scion of a storied political family. But it unfolded at a time when the state’s residents are overwhelmed by high housing costs, steep gas prices and overall unaffordability that threatens the “California dream” that once drew millions of people to the state.
“Normal people are not living and breathing politics on a daily basis,” said Tim Rosales, a strategist who ran Republican John Cox’s unsuccessful 2018 gubernatorial campaign. In today’s information-saturated environment, Rosales said, the race and its roster of “extremely milquetoast candidates” didn’t break through until the Swalwell scandal grabbed voters’ attention.
The 2026 gubernatorial primary has been one of the most unpredictable and expensive in decades and a race that was shaped early on by a number of heavyweight Democrats staying on the sidelines.
Though supporters urged them to run, former Vice President Kamala Harris, Sen. Alex Padilla and Atty. Gen. Rob Bonta passed on the race. It was in a state of limbo for months last year as Harris, one of the state’s most high-profile politicians, weighed whether to jump in.
“I don’t ever recall a playing field that looks like this one. Usually there’s a clear front-runner,” said veteran Democratic strategist Darry Sragow. “It’s easy to say that it reflects a lack of talent [but] that’s absolutely not true. Almost any of the candidates running could make a good governor.”
Still, candidates struggled for months to break through to voters.
In February, polls showed the crowded field of Democrats splitting liberal voters and opening a statistical possibility that the party would be boxed out of November under California’s open, top-two primary, which places all candidates on the same ballot. Only the first- and second-place finishers in the primary advance to the general election, regardless of their party affiliation.
Just when Swalwell appeared on the cusp of becoming the Democratic front-runner the San Francisco Chronicle and CNN published allegations that he sexually assaulted a former staffer and acted inappropriately with other women. Swalwell suspended his campaign.
It was Becerra who benefited the most. In less than two months, he vaulted from polling in the low single digits to the top of the field of candidates, according to surveys conducted by UC Berkeley’s Institute of Governmental Studies that were co-sponsored by the Los Angeles Times.
“Becerra caught lightning in a bottle,” Rosales said. “It could have easily gone to any of the other candidates,” but many had baggage. Videos of Porter losing her temper hurt her image, the source of Steyer’s wealth and his unbridled campaign spending weighed on voters’ minds, and Villaraigosa and Mahan were “more centrist than what most Democrats wanted, and so Xavier Becerra was really the safe choice,” Rosales said.
Before Democratic voters began to narrow down their choices, Trump endorsed Hilton in early April. It helped the former Fox News host break away from Bianco, his main GOP rival.
In the days before the primary election, the race solidified into a three-way contest involving Becerra, Steyer and Hilton.
Steyer stepped up his fight in the remaining days, seeking to squeeze into one of the top two spots by battering Becerra in ads and at campaign rallies as a politician propped up by corporate special interests.
“We cannot afford to have a governor who’s been bought off by Big Oil. Period,” he said at a Sunday rally in Los Angeles.
Corporations, along with labor unions and interest groups including the California Assn. of Realtors, had spent more than $18.7 million to boost Becerra, according to the election spending tracker California Target Book. Many of the same groups also gave money to a committee intended to attack Steyer.
As the election neared, Becerra sharpened his attacks against Steyer, calling the billionaire a “liar” and accusing him of trying to buy the election.
“We are not going to let a billionaire or Trump’s handpicked candidate take over this state,” he said during a Sunday rally in Long Beach.
If Becerra faces off with Hilton in November he’ll have a distinct advantage. Democratic voters outnumber Republicans nearly 2 to 1 in left-leaning California.
Winning the general election would make the 68-year-old Becerra the first elected Latino governor of California. At roughly 40% of the state’s population, Latinos are California’s largest ethnic group but have not been represented in the governor’s mansion since 1875, when then-Lt. Gov. Romualdo Pacheco was elevated to fill a 10-month vacancy.
Times staff writers Iris Kwok, Susanne Rust, Andrew Khouri and Christopher Goffard contributed to this report.
Politics
Video: Steve Hilton Holds Slim Early Lead in California Governor’s Race
new video loaded: Steve Hilton Holds Slim Early Lead in California Governor’s Race
transcript
transcript
Steve Hilton Holds Slim Early Lead in California Governor’s Race
Steve Hilton, a Republican and former Fox News host, held a narrow lead in early votes over two Democratic opponents in California’s nonpartisan primary for governor. The top two candidates will advance to the general election in November.
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“Change is coming to California, and it’s long overdue. I want to just say something from my heart to every single person who’s voted for me. We’re not — We’re not there yet, but it’s looking good.” [cheers] “Tonight, the people of the great state of California, in the greatest nation on earth, have spoken. [cheers] Loudly and proudly. [cheers] And while I take nothing for granted, there are lots of ballots left to be counted, it appears that we are on track to advance to November.” [cheers] “It might take some time to figure out where this is going. We’re going to wait until every ballot is counted. We’re going to give democracy a time to work, and we know we finished really strong.” [cheers]
By Axel Boada
June 3, 2026
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