Overview
- James filed a 22-page motion on Monday asking a federal judge to throw out the case with prejudice as “patently unconstitutional.”
- Defense lawyers point to internal Fannie Mae communications reported to show top fraud investigators lacked “clear and convincing evidence,” including doubts voiced by fraud investigations director Sean Soward.
- The motion alleges improper involvement by FHFA Director Bill Pulte, DOJ special attorney Ed Martin, and interim U.S. Attorney Lindsey Halligan.
- James’ attorneys contend Halligan was installed as interim U.S. attorney in Virginia after Erik S. Siebert’s resignation and say ethics officials and career prosecutors who resisted charges were removed or sidelined.
- Indicted in October, James pleaded not guilty to bank fraud and false-statement counts tied to a 2020 Norfolk home purchase, after FHFA accused her of falsifying documents to obtain favorable loan terms.