The Justice Department’s prosecution of mortgage fraud didn’t match its public bravura after the 2008 financial crisis, says a Justice Department inspector general’s report quoted by MainJustice.com. Law enforcement officials talked about a vigorous crackdown on fraudulent mortgages, but the report–disputed by the Justice Department–found that the FBI’s Criminal Investigative Division put mortgage fraud as the lowest threat in the lowest-ranked category.
FBI supervisors interviewed said their offices had a significant backlog of unaddressed mortgage fraud investigations. The report faulted the Justice Department for using bad data, even after it was disputed, to tout its success. Sen. Charles Grassley (R-IA), ranking Republican on the Senate Judiciary Committee, chastised the department for wasting resources and not going after Wall Street. A Justice Department spokeswoman called the report a “completely inaccurate assessment” of the department’s efforts.