FBI

Open Letter to the Federal Bureau of Investigation

December 29, 2025

Director Kash Patel
Federal Bureau of Investigation
935 Pennsylvania Avenue NW
Washington, D.C. 20535

Dear Director Patel,

We are writing this open letter on behalf of Americans Against Foreclosures ( AAF ), an Organization composed of concerned citizens, homeowners, and advocates across the United States, to urge the Federal Bureau of Investigation to initiate or expand a comprehensive nationwide investigation into ongoing patterns of foreclosure fraud affecting American families.

While the most infamous foreclosure scandals—such as the widespread “robo-signing” practices exposed in 2010, where mortgage servicers mass-produced fraudulent affidavits and documents without proper verification—led to temporary halts in foreclosures and settlements, recent reports indicate that systemic issues persist and may be worsening in certain areas.

In 2025, investigative reporting has revealed allegations of systematic fraud in New York ( N.Y. ) foreclosure proceedings, where major lenders and servicers have allegedly used disputed interest calculation methods that deprive former homeowners of surplus funds from auction sales or inflate their remaining debts.

Analyses of thousands of court records dating back over a decade show this practice in widespread use, potentially costing New Yorkers millions collectively. Attorneys representing affected homeowners have filed lawsuits accusing lenders and law firms of fraud and theft to maximize profits.

Nationwide trends further underscore the urgency:

• Mortgage application fraud risk has risen year-over-year.
• Undisclosed real estate debt and transaction fraud increasing amid high interest rates and investor activity.

Foreclosure activity itself has increased quarterly and annually in 2025, with over 100,000 properties receiving filings in recent quarters—up significantly from prior periods—concentrated in states like Florida, Illinois, Nevada, South Carolina, and Delaware.

Additionally, isolated but serious schemes, such as investor-led fraud in Baltimore affecting hundreds of properties and concerns over “zombie” second mortgages resurfacing to trigger foreclosures on long-paid primary loans, highlight vulnerabilities that fraudsters continue to exploit.

These practices not only devastate individual families—stripping equity, damaging credit, and displacing residents—but also undermine public confidence in the housing market and financial system.

Mortgage fraud, including foreclosure-related schemes, falls squarely within the FBI’s jurisdiction as a federal crime often involving wire fraud, mail fraud, bank fraud, and violations of fair lending laws.

We at AAF respectfully call on the FBI to:

1. Launch a coordinated nationwide probe into current foreclosure practices by major lenders, servicers, and law firms, building on past efforts like Operation Malicious Mortgage.
2. Partner with state attorneys general, the Consumer Financial Protection Bureau ( CFPB ), and the Department of Justice ( DOJ ) to examine patterns of fraudulent documentation, improper debt calculations, and predatory rescue scams.
3. Provide resources for victims to report suspicions safely and prioritize cases with evidence of systemic abuse.

Homeownership is a cornerstone of the American dream, yet persistent fraud erodes this foundation. The FBI’s expertise in combating financial crimes has proven vital in past crises, and renewed vigilance is needed now to protect vulnerable homeowners and hold bad actors accountable.

We at AAF stand ready to provide additional information or support this effort.

Thank you for your attention to this critical matter.

Sincerely,

Americans Against Foreclosures ( AAF )

Published by : AXJ.NEWS

CC: Public distribution for awareness and accountability is granted to be served on every Member of Congress, all Senators, and the entire Trump Administration and Executives.