The Department of Justice dropped its criminal investigation into the Federal Reserve and its chair, Jerome Powell, on April 24, likely clearing the way for his nominated successor Kevin Warsh’s Senate confirmation.
U.S. Attorney for D.C. Jeanine Pirro announced the decision in a social media post, saying the probe — which was related to the budget for a renovation project at the central bank’s Washington headquarters — would be closed.
“This morning the Inspector General for the Federal Reserve 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 said. “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. Accordingly, I have directed my office to close our investigation as the IG undertakes this inquiry. Note well, however, that I will not hesitate to restart a criminal investigation should the facts warrant doing so.”
Warsh’s confirmation in the Senate has been stalled by Democrats and Sen. Thom Tillis, R-North Carolina, who wanted to see the Justice Department’s investigation into Powell resolved. Powell’s term as chair is set to end May 15.
(This is a developing story and will be updated with new information.)
