FHFA Director Refers NY AG James for Insurance Fraud

Bill Pulte, director of the Federal Housing Finance Agency, issued two criminal referrals on Wednesday targeting New York Attorney General Letitia James, alleging possible homeowners insurance fraud related to a property she owns in Norfolk, Virginia. The referrals, sent to U.S. attorneys in the Northern District of Illinois and the Southern District of Florida, claim James provided misleading information on insurance applications to two companies.

One referral, directed to U.S. Attorney Andrew Boutros in Illinois, concerns an application to Allstate Insurance. It alleges James misrepresented the occupancy of the Virginia property, stating it would be occupied by a single adult with no children, when records indicate it was actually occupied by her niece and three children. The second referral, to U.S. Attorney Jason Reding Quiñones in Florida, addresses an application to Universal Property Insurance in Fort Lauderdale. This one claims James falsely indicated the property would be unoccupied for five months each year, despite evidence that her niece resided there year-round. Both referrals reference social media posts by attorney Mike Davis detailing these alleged discrepancies...