Justice department opens investigation into Jerome Powell as Trump ramps up campaign against Federal Reserve | Jerome Powell
The Justice Department has opened a criminal investigation into Jerome Powell and the Federal Reserve, a significant escalation in Donald Trump’s extraordinary attack on the US central bank.
in a bubbly state expression On Sunday, Powell argued that he was threatened with criminal charges because the Fed sets interest rates “based on our best assessment of what will serve the public, rather than following the President’s preferences.”
Trump has repeatedly criticized Powell and the Fed for refusing to give in to his demand for rapid rate cuts.
The U.S. attorney’s office for the District of Columbia has opened a criminal investigation into Federal Reserve chairman Jerome Powell over the central bank’s renovation of its Washington headquarters and whether Powell lied to Congress about the scope of the project, the New York Times reported Sunday.
According to NYT’s news, based on his briefing to the authorities about the situation, the investigation, which included analysis of Powell’s public statements and review of spending records, was approved by Attorney Jeanine Pirro in November.
Powell said the Justice Department sent a grand jury subpoena to the Fed on Friday and threatened criminal charges regarding testimony the Fed gave before the Senate Banking Committee last June regarding renovations of historic office buildings in Washington, D.C.
Trump’s allies spent months last year accusing the Fed of mishandling billions of dollars in rollovers. Trump has repeatedly threatened to take legal action.
In a statement Sunday evening, Powell said: “This is about whether the Fed can continue to set interest rates based on evidence and economic conditions or whether monetary policy will instead be guided through political pressure or intimidation.”
“I have served at the Federal Reserve under four administrations, Republican and Democratic. In each case, I have performed my duties without political fear or favor, focusing solely on our missions of price stability and maximum employment.
“Public service sometimes requires standing firm in the face of threats. I will continue to do the job the Senate has approved me to do, with integrity and a commitment to serving the American people.”
The White House and the Justice Department did not immediately respond to requests for comment.
More details coming soon…
