politics
DOJ drops Powell investigation, clearing way for Trump Fed pick
The Justice Department has dropped its criminal investigation into Federal Reserve Chairman Jerome Powell, clearing the way for President Donald Trump's pick to replace him to be confirmed by the Senate.
TL;DR
- The Justice Department has ended its criminal investigation into Federal Reserve Chairman Jerome Powell.
- This decision removes a key obstacle to the Senate confirmation of Kevin Warsh, President Trump's nominee to replace Powell.
- Senator Thom Tillis had been blocking Warsh's confirmation vote until the investigation into Powell concluded.
- The Justice Department has asked the Fed's inspector general to scrutinize the building cost overruns related to the Fed's headquarters renovation.
- Powell had stated he was under investigation for claims made during congressional testimony about the renovation costs, which increased significantly.
- Kevin Warsh has vowed to uphold the independence of the Federal Reserve if confirmed as chairman.