DOJ Drops Investigation into Powell over Fed HQ Renovation
The Department of Justice (DOJ) has announced that it will not reopen its criminal investigation into former Federal Reserve Chair Jerome Powell. The investigation was sparked by concerns over a multibillion-dollar renovation project at the central bank's headquarters, which was significantly overbudget.
In January, the DOJ opened an investigation into the renovation and issued grand jury subpoenas seeking related records. However, a federal judge quashed those subpoenas in March, finding that they had been issued for an improper purpose and that the government had produced little evidence of wrongdoing.
The Justice Department's decision not to reopen the investigation comes after the Federal Reserve's inspector general found no reasonable grounds to believe that a federal crime had occurred. However, the watchdog did fault the central bank for major management and oversight failures that contributed to the project's soaring costs.
Former President Donald Trump has been critical of Powell's handling of the renovation project and has called for him to resign from the Federal Reserve's Board of Governors. In a recent post on Truth Social, Trump said, 'He can't manage a Building, and he certainly shouldn't be allowed to manage his High Interest Rate Policy (only on 'TRUMP!').'