U.S. Attorney General Pam Bondi on Friday announced the appointment of a special prosecutor to oversee the politically sensitive cases involving New York Attorney General Letitia James and U.S. Senator Adam Schiff (D-CA)—both Democrats. However, the selection may prove controversial for the defendants.
Speaking to Fox News’ Peter Doocy, Bondi emphasized the importance of a special prosecutor to ensure impartiality and prevent any perception of political bias that could influence judicial proceedings. Both James and Schiff are facing allegations that they misrepresented their primary residences to secure more favorable mortgage terms.
Appointed to lead the cases is Ed Martin, a polarizing Trump nominee whose earlier bid to serve as U.S. Attorney for the District of Columbia was rejected.
FIRST ON FOX: Attorney General Bondi has authorized a special prosecutor, Ed Martin, to investigate allegations of mortgage fraud involving Sen. Adam Schiff and Letitia James, @pdoocy reports pic.twitter.com/EHYp8JEluR
— Fox News (@FoxNews) August 8, 2025
Martin’s appointment coincided with news that a grand jury has been convened to weigh charges against James, who was referred to the Justice Department by federal mortgage authorities after discrepancies were found in her property filings.
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According to documents submitted to investigators, James allegedly listed her father as her husband—potentially to access better mortgage rates available to married couples—and underreported the number of units in a Brooklyn brownstone, possibly to avoid costly safety compliance upgrades.
Schiff, meanwhile, was referred for allegedly misrepresenting a Maryland property he purchased in 2009 as his primary residence—despite not designating it as a secondary home until 2021. At the time, Schiff was serving in the U.S. House representing California, where he was constitutionally required to reside.
Both Democrats have denied the allegations and accused the Trump administration of politicizing the Justice Department against them—a charge that mirrors the very criticism Trump himself leveled against them during his own criminal and civil legal battles.
