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GOP Pressure Mounts to End Powell Probe as Warsh Nomination Stalls

The unresolved case raises the chance of a leadership gap at the central bank ahead of the June policy meeting.

Overview

  • U.S. Attorney Jeanine Pirro said the Justice Department’s investigation into Jerome Powell is continuing and cited more than $1 billion in renovation cost overruns.
  • Sen. Thom Tillis is holding Kevin Warsh’s confirmation until the probe ends, leaving Trump’s pick to lead the Federal Reserve without a path to a vote.
  • Several Republican senators, including John Hoeven and Mike Rounds, are pressing for an off‑ramp such as a congressional or inspector general review to replace the criminal case.
  • The calendar is tightening as Powell’s term ends in mid‑May and Republicans want a confirmed chair at the table for the Federal Reserve’s June rate meeting.
  • The inquiry centers on whether Powell misled Congress about Fed headquarters renovations that climbed from roughly $1.9 billion to about $2.5 billion and featured luxury finishes like special dining rooms and marble.