Federal Prosecutors Open Criminal Probe into Central Bank Chief Jerome Powell
Aggregated, curated and edited by: LatinHub.tv
LatinHub.TV - Agentic News
The Department of Justice has initiated a criminal investigation targeting Federal Reserve Chairman Jerome Powell, focusing on his congressional statements regarding the central bank's expensive headquarters renovation project. Powell acknowledged receiving legal subpoenas on Sunday, marking an unprecedented escalation in tensions between the Trump administration and America's monetary policy institution.
DOJ Opens Criminal Probe into Federal Reserve Leadership
The Trump administration has initiated a criminal investigation targeting Federal Reserve Chairman Jerome Powell, marking an unprecedented escalation in tensions between the White House and the nation's central bank.
According to reports from multiple sources, federal prosecutors have issued subpoenas related to Powell's Senate testimony regarding the multi-billion-dollar renovation project at the Federal Reserve's Washington headquarters. The Fed confirmed Sunday evening it had received the legal documents.
This extraordinary move represents a dramatic intensification of months-long pressure on the Federal Reserve's independence. Sources indicate the investigation centers on Powell's statements to lawmakers about cost overruns and management decisions surrounding the headquarters modernization project.
The probe has sent shockwaves through financial markets and raised serious concerns about political interference in monetary policy decisions. For Latino families already dealing with economic uncertainty, this unprecedented confrontation between the executive branch and the Fed could impact future interest rate decisions and economic stability.
The investigation marks a historic challenge to the traditional separation between political leadership and monetary policy.