The US canceled the criminal investigation of the Fed Chairman

In a post on social network This is also the basis for the criminal investigation against Mr. Powell.

“I have directed the office to close the investigation, as the Inspector General is reviewing this matter,” she said, and expected to have “a comprehensive report shortly.” “The Inspector General has an obligation to hold the Fed accountable to the American people,” Pirro wrote. She also affirmed that she would “not hesitate to restart another investigation if reality shows that it is necessary to do so”.

Just two days earlier, Pirro pledged to continue the investigation, although the process was hindered after a federal judge denied a request for documents her office sent to the Fed about the headquarters renovation project.

On January 11, US Federal Reserve Chairman Jerome Powell confirmed that federal prosecutors had opened a criminal investigation against him. “The content of that hearing was partly about a renovation project that could take years for Fed office buildings,” Powell said in a video posted on the Fed’s X account.

However, he said that the prosecutors’ investigation stems from the Fed setting interest rates “based on the best assessment of what is in the public interest, instead of following the wishes of US President Donald Trump”. Over the past year, President Trump has repeatedly attacked the Fed and Powell for not reducing interest rates as quickly and sharply as he requested. With the Fed headquarters renovation project, he also criticized Powell for “so bad” management by spending “3 billion USD for a job that should have cost only 50 million USD”.

The US Department of Justice’s cancellation of the criminal investigation into Powell has removed a major obstacle in the process of approving Kevin Warsh – the person nominated by US President Donald Trump to be Chairman of the Fed for the next term.

Senator Thom Tillis has so far affirmed that he will block approval of Warsh until the federal criminal investigation involving Mr. Powell is resolved. Tillis is also a member of the US Senate Banking Committee. Warsh testified before the US Senate on April 21.