Former 18F employees file appeal of DOGE firings; Fannie Mae partners with Palantir on mortgage fraud detection

Former employees of the General Services Administration’s 18F digital tech consultancy team filed an appeal Wednesday challenging their alleged wrongful termination and the “targeted” shuttering of the program by the Trump administration’s Department of Government Efficiency earlier this year. The employees, represented by the law firm Mehri & Skalet, submitted a class-action appeal with the U.S. Merit Systems Protection Board to request a hearing and have their removal reversed. Former 18F leaders Lindsay Young, Miatta Myers, Christian Crumlish, James Tranovich and Kate Fisher are named as appellants, representing that larger class of about 80 terminated permanent and term employees from the team who served for more than a year. The group claims that GSA — along with the Office of Personnel Management, DOGE and the Office of Management and Budget — lacked a “valid reason … for the [reduction in force] targeting 18F” that took place Feb. 28, and claimed the action was a result of “retaliation.” Fannie Mae, the government-sponsored enterprise overseen by the Federal Housing Finance Agency, is enlisting data analytics giant Palantir in a new partnership aimed at cracking down on mortgage fraud. Under the agreement, Palantir’s technology will be deployed to uncover fraud in mortgage packages before they reach Fannie Mae. Priscilla Almodovar, president and chief executive officer of Fannie Mae, said the tech will allow the organization “to see patterns quicker.” “We’re going to be able to identify fraud more proactively, as opposed to reactively,” Almodovar said during a press conference Wednesday in Washington, D.C. “We’re going to be able to understand the fraud and stop it in its tracks. And I think over time, this really becomes a deterrent for bad actors, because we’re creating friction in the system when they do bad things.” FHFA Director Bill Pulte, who also serves as chairman of the Fannie Mae board, said the financial crimes division that monitors Fannie Mae and Freddie Mac “is only able to root out crime that it gets made aware of.” Palantir’s red-flag approach, meanwhile, tips off those investigators to conduct probes they otherwise might not have known to launch.Almodovar recalled an exercise where Palantir’s technology was given four actual loan files to assess. The tech, she said, scoured the “reams of paper” and identified instances of fraud in 10 seconds. The same exercise could take human investigators roughly two months. The Daily Scoop Podcast is available every Monday-Friday afternoon. If you want to hear more of the latest from Washington, subscribe to The Daily Scoop Podcast  on Apple Podcasts, Soundcloud, Spotify and YouTube.