Arabic version: وزارة العدل تنهي تحقيقها في تكاليف تجديد جيروم باول

The US justice department is dropping its investigation into Federal Reserve Chairman Jerome Powell over alleged building cost overruns. Instead, an internal investigation will be conducted by the central bank’s inspector general, as confirmed by US Attorney Jeanine Pirro.

According to BBC News, President Donald Trump has criticized the cost of renovations for the Fed’s buildings, claiming they have exceeded initial estimates. Trump’s nominee to replace Powell, Kevin Warsh, is currently under consideration by the Senate, with Republican Senator Thom Tillis withholding support unless the investigation into Powell is dropped.

White House spokesman Kush Desai emphasized the need for accountability regarding the Federal Reserve’s fiscal management, stating that the inspector general’s investigation would provide necessary answers. Desai expressed confidence that Warsh would be swiftly confirmed to restore competence to the Fed.

Pirro indicated on social media that she would not hesitate to resume a criminal investigation if warranted. The inspector general’s office is working to complete its review and plans to make the findings public upon completion.

The investigation into Powell had drawn significant attention, particularly as Trump has publicly criticized Powell for not lowering interest rates, a move the president argues would benefit the economy. Powell’s term is set to expire on May 15, but he intends to remain until Warsh is confirmed. The renovations at the Fed are the first major updates since the buildings were constructed in the 1930s, aiming to address issues such as asbestos and lead contamination.