The Department of Justice has decided to end its criminal investigation into Federal Reserve Chair Jerome Powell concerning the expensive renovations at the Fed’s headquarters in Washington, D.C.
On Friday, D.C. U.S. Attorney Jeanine Pirro announced that the Federal Reserve’s inspector general has been tasked with examining the significant cost overruns, which have amounted to billions of dollars and impacted taxpayers.
Pirro stated, “The IG is empowered to ensure that the Federal Reserve remains accountable to the American public. I anticipate a thorough report soon, which I am confident will clarify the issues that prompted our office to issue subpoenas initially.”
She further explained, “As the inspector general begins this investigation, I have instructed my office to close our current inquiry. However, we remain ready to reopen a criminal investigation if necessary based on the findings.”
Back in January, Pirro’s office issued subpoenas to Powell regarding his congressional statements about the $2.5 billion renovation project.
These subpoenas were subsequently blocked by a federal judge in a ruling last month.
DC’s top federal prosecutor launched the probe in January in response to Powell’s denials before the Senate Banking Committee last year that the lavish upgrades were pushing the project over budget.
“There’s no VIP dining room, there’s no new marble. There are no special elevators,” Powell testified. “There are no new water features, there’s no beehives, and there’s no roof terrace gardens.”
In a video statement on Jan. 11 revealing the probe, Powell said: “The threat of criminal charges is a consequence of the Federal Reserve setting interest rates based on our best assessment of what will serve the public, rather than following the preferences of the president.”
