The Federal Reserve's internal watchdog has released a report on the central bank's $2.4 billion renovation of its Washington headquarters, which has been plagued by cost overruns and criticism from President Donald Trump.
The report found no evidence of criminal wrongdoing but highlighted a pattern of carelessness in managing the project.
The inspector general's report revealed that the Fed failed to follow normal contractual protocols, such as locking in a guaranteed maximum price for the project. This led to ballooning costs and criticism from Trump, who has been pushing for lower interest rates.
The report noted that by following standard procedures, the Fed could have substantially reined in costs. The lack of oversight and adherence to protocols has raised concerns about the Fed's ability to manage its resources effectively.