DoJ declines to reopen investigation into former Fed chair Jay Powell

Kevin Warsh’s predecessor had been investigated over cost overruns related to central bank renovation project

DoJ declines to reopen investigation into former Fed chair Jay Powell

TL;DR

  • The US justice department is not reopening a criminal investigation into former Federal Reserve chair Jerome Powell.
  • The investigation was related to cost overruns on the central bank's building renovation project.
  • The Fed's inspector general found no grounds for a criminal referral or evidence of administrative misconduct.
  • Lax oversight was noted by the inspector general.
  • Donald Trump called for Powell's resignation following the inspector general's report.
  • Jerome Powell remains a Fed governor.
  • Kevin Warsh, Powell's successor as Fed chair, will hire an independent auditor.
  • The justice department may investigate if the new review finds evidence of criminal wrongdoing.