Congressman Eric Swalwell of California is facing a federal criminal referral based on accusations that he misrepresented his Washington, D.C., home as his primary residence to secure favorable loan terms. The referral, issued by the head of the Federal Housing Finance Agency, signals possible charges for mortgage, insurance and tax fraud stemming from the 2020 purchase of a $1.2 million property in D.C.
Swalwell, now a target of the United States Department of Justice inquiry, purchased the residence in a neighborhood near the U.S. Capitol. The allegations detail that multiple loans and refinancing agreements were granted on the basis of claiming the property as a primary home, a status that can unlock lower interest rates and favorable terms.
In response, Swalwell described the investigation as politically motivated. He asserted that his outspoken criticism of former President Donald Trump and his ongoing lawsuit against the ex-president are factors in the referral. He also affirmed his determination to continue his work in Congress despite the legal cloud.
The probe places Swalwell alongside other Democrats who have faced similar mortgage-fraud scrutiny in recent months, marking a notable trend of federal scrutiny over how high-profile officials classify their residences for financial benefit.