The Federal Reserve was thrust into the spotlight on Jan. 11, after Chair Jerome Powell said the Department of Justice threatened a criminal indictment against the Fed regarding the over-budget renovations of its headquarters and his congressional testimony in the summer of 2025.
Powell alleged that it was an administration-wide pressure campaign to force Fed officials to lower interest rates. Meanwhile, President Donald Trump denied any knowledge of the probe by federal prosecutors.
Here is what to know about the criminal probe.
What Happened
In a Jan. 11 video statement posted on X, Powell confirmed that, two days prior, the U.S. central bank had been served with grand jury subpoenas by the Department of Justice….
DOJ Inquiry Into Fed Chair: What to Know
