Overview
- Tuesday's unsealed court transcript revealed prosecutor George A. Massucco-LaTaif told a judge his office did not have evidence of fraud or false statements by Jerome Powell.
- In a March 11 ruling, Chief Judge James E. Boasberg quashed two grand jury subpoenas to the Federal Reserve and wrote the government had produced "essentially zero evidence."
- Boasberg said the subpoenas looked pretextual and suggested they were meant to pressure Powell to lower interest rates or resign, a claim prosecutors denied in court.
- U.S. Attorney Jeanine Pirro said the Justice Department will appeal and has asked the judge to reconsider, arguing a grand jury may investigate large cost overruns that "do not seem right."
- The probe focuses on a Federal Reserve renovation estimated at about $2.5 billion with roughly $1.2 billion in overruns, while President Donald Trump has claimed $4 billion and the fight has stalled Senate action on nominee Kevin Warsh after Sen. Thom Tillis vowed to block a vote until the case is resolved.