Trump DOJ dropping criminal probe of Jerome Powell – Business News
WASHINGTON — The Department of Justice is dropping its criminal investigation of Federal Reserve Chair Jerome Powell over pricey building renovations at its headquarters within the nation’s capital.
DC US Attorney Jeanine Pirro introduced Friday that the Fed’s inspector basic as an alternative “has been asked to scrutinize the building costs overruns – in the billions of dollars – that have been borne by taxpayers.”
“The IG has the authority to hold the Federal Reserve accountable to American taxpayers,” Pirro mentioned. “I expect a comprehensive report in short order and am confident the outcome will assist in resolving, once and for all, the questions that led this office to issue subpoenas.”
Federal Reserve Chairman Jerome Powell and President Trump look over a doc of value figures during a go to to the Federal Reserve, Thursday, July 24, 2025. AP
“Accordingly, I have directed my office to close our investigation as the IG undertakes this inquiry,” she added, threatening to “not hesitate to restart a criminal investigation should the facts warrant doing so.”
In January, Pirro’s workplace fired off subpoenas to Powell over statements he made to Congress in regards to the $2.5 billion renovations on the Fed.
Those subpoenas had been blocked by a federal choose final month.
DC’s prime federal prosecutor launched the probe in January in response to Powell’s denials earlier than the Senate Banking Committee final 12 months that the lavish upgrades had been pushing the project over finances.
The Federal Reserve building — or The Marriner S. Eccles Building — undergoes renovations or present process construction in Washington, DC as seen on April 15, 2025. Christopher Sadowski
“There’s no VIP dining room, there’s no new marble. There are no special elevators,” Powell testified. “There are no new water features, there’s no beehives, and there’s no roof terrace gardens.”
In a video assertion on Jan. 11 revealing the probe, Powell mentioned: “The threat of criminal charges is a consequence of the Federal Reserve setting interest rates based on our best assessment of what will serve the public, rather than following the preferences of the president.”
