DoJ Will Not Reopen Investigation into Jerome Powell
Written with artificial intelligence.
The U.S. Department of Justice has decided not to reopen a criminal investigation into former Federal Reserve Chair Jerome Powell regarding cost overruns linked to a building renovation project. However, Attorney General Todd Blanche has indicated that oversight of the project will continue to be reviewed for any potential wrongdoing.
Overview of the Investigation
The U.S. Department of Justice (DoJ) announced it will not pursue a criminal investigation into Jerome Powell, the former Chair of the Federal Reserve, concerning cost overruns associated with a renovation project for the central bank’s building. This announcement was made by a DoJ spokesperson on Friday.
Current Status
Attorney General Todd Blanche, in remarks to Bloomberg News, stated that while the criminal investigation is not reopening, he has not excluded the possibility of further oversight into the project. If any evidence of wrongdoing is uncovered during this review, the DoJ may consider taking action.
The Federal Reserve's inspector general recently reported that there were no grounds for a criminal referral or evidence of administrative misconduct regarding the project. However, the report highlighted issues with oversight, prompting renewed calls for Powell's resignation from former President Donald Trump, a long-time critic.
Future Actions
Kevin Warsh, who succeeded Powell as Fed Chair, announced plans to engage an independent auditor to ensure compliance and accuracy concerning the project's costs. Blanche has made it clear that if the auditor finds any signs of criminal activity, the DoJ could initiate an investigation.
At his last press conference as Fed Chair, Powell expressed his intention to remain on the board until the investigation concluded with clear transparency and finality. As of now, the Fed has not commented on Blanche's statements.