The internal watchdog for the U.S. Federal Housing Finance Agency is being removed from his role, four people familiar with the matter said, as the housing regulator plays a role in President Donald Trump's crackdown on alleged abused by perceived political enemies.
The ouster of Joe Allen, FHFA’s acting inspector general, follows agency director Bill Pulte becoming an outspoken Trump ally.
Across the government, the Trump administration has fired or reassigned nearly two dozen watchdogs and defunded the group overseeing them.
The FHFA did not respond to requests for comment. The four people spoke anonymously because they are not authorized to discuss internal moves.
Created after the 2008 financial crisis, the FHFA is usually low-profile, but Pulte has launched a hotline targeting mortgage fraud and issued public criminal referrals against Trump foes, including New York Attorney General Letitia James.
Lindsey Halligan, the interim U.S. attorney for the Eastern District of Virginia appointed by Trump, later indicted James.
Allen was notified of his termination by the White House after trying to provide key information to prosecutors in that office, four sources said.
Two described the information as constitutionally required; a third said it could be relevant in discovery.
Reuters previously reported that Pulte has bypassed the agency’s inspector general in pursuing those cases.
Allen reported to work Monday, the sources said. He also serves as chief counsel in the inspector general’s office, though it’s unclear if he remains in that role.
Allen could not be reached for comment.
He became acting inspector general in April 2025, according to an archived FHFA webpage.
On Monday, the FHFA inspector general’s website listed the position as “currently vacant.”
It was unclear when the site was updated. The last snapshot from late September listed Allen as acting inspector general.
Responding to Allen’s removal, Democratic Senator Elizabeth Warren said, “Director Pulte has some answering to do.”
Before joining the FHFA, Allen spent 40 years at the Justice Department, holding roles from federal prosecutor to senior counsel at the Bureau of Alcohol, Tobacco, Firearms and Explosives.
James, a Democrat who won a $450 million fraud judgment against Trump last year, pleaded not guilty to charges of lying on mortgage documents after Pulte urged the Justice Department to investigate her.
Pulte’s tenure at the FHFA and its oversight of Fannie Mae and Freddie Mac has been turbulent.
Last week, he said he had fired dozens of Fannie Mae staff.
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