Business | Justice Department drops criminal investigation of Fed chair Powell, likely clearing way for Warsh by Ben Wieder, Gavin J. Quinton
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The Justice Department has closed its criminal probe into Federal Reserve Chairman Jerome Powell, ending the inquiry into whether he misled Congress about a $2.5 billion renovation of the Fed’s headquarters—a case that had become a political sticking point for Republican Sen. Thom Tillis, who said he would block the confirmation of Trump‑favored nominee Kevin Warsh while the investigation lingered. U.S. Attorney Jeanine Pirro announced the drop‑off, noting the probe was abandoned after prosecutors found no evidence of wrongdoing, though she left open the possibility of restarting it if new facts arise. With the investigation out of the way, Warsh’s nomination can move forward; he has pledged not to be a “sock‑puppet” for the president and argues for a pro‑growth, market‑first Fed agenda that includes shrinking the central bank’s $6.6 trillion balance sheet and eliminating forward guidance. The closure also underscores ongoing tension over the Fed’s independence, as President Trump has previously pressured the bank on interest‑rate policy and attempted to fire a Fed governor, highlighting the broader political battles surrounding the nation’s most influential central bank.
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https://www.latimes.com/world-nation/story/2026-04-24/justice-department-drops-criminal-probe-of-fed-chair-powell-likely-clearing-way-for-warsh
#JeromePowell #KevinWarsh #DonaldTrump #WallStreet #FederalReserve #JeaninePirro #ThomTillis
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