US EditionFederal prosecutors open criminal investigation into the Fed and Jerome Powell
The Department of Justice probes whether Powell misled Congress on a $2.5 billion Fed HQ renovation amid political pressure over interest rate decisions.
- On January 11, 2026, federal prosecutors in Washington, D.C., opened a criminal inquiry into Federal Reserve Chair Jerome Powell over the Marriner S. Eccles Building renovation and whether he misled Congress.
- $2.5 billion renovation has run roughly $700 million over initial projections due to asbestos, soil contamination, and higher materials and labour costs at the Marriner S. Eccles Building.
- Powell said the DOJ served grand jury subpoenas on Friday regarding his June 2025 Senate testimony, and the Fed published FAQs and additional materials.
- Powell responded that the subpoenas were a threat to the Fed's independence and vowed to continue in his duties, while the Department of Justice must still assemble evidence to secure an indictment.
- Authorized in November 2025 by U.S. Attorney Jeanine Pirro, the inquiry represents an extraordinary escalation of President Donald Trump's campaign against Powell and raises political pressure questions on the Federal Reserve.
196 Articles
196 Articles
The U.S. Department of Justice has opened a criminal investigation into Federal Reserve Chairman Jerome Powell regarding renovations to the Fed's headquarters. Many observers point out that this case indicates Trump's intent to exert significant pressure on the Fed.
The tension between the White House and the Federal Reserve officially became a political war, after it was revealed that federal prosecutors in Washington opened a criminal investigation against Jerome Powell, current president of the Fed, regarding the costly renovations of the headquarters of the agency and possible inconsistencies in their statements before Congress.Read more]]>
Jerome Powell said the Fed received a summons and attributed the action to Trump's pressure to lower interest rates
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