Trump's DOJ Drops Probe of Fed Chair Jerome Powell

The Department of Justice is dropping an investigation into Federal Reserve Chairman Jerome Powell, US Attorney Jeanine Pirro announced on Friday.

Pirro wrote in a post to X that the decision to end the investigation follows the Inspector General for the Federal Reserve being "asked to scrutinize the building costs overruns – in the billions of dollars – that have been borne by taxpayers."

"The IG has the authority to hold the Federal Reserve accountable to American taxpayers. I expect a comprehensive report in short order and am confident the outcome will assist in resolving, once and for all, the questions that led this office to issue subpoenas," she wrote.

She directed her office to "close our investigation as the IG undertakes this inquiry,” she wrote.

"Note well, however, that I will not hesitate to restart a criminal investigation should the facts warrant doing so," she said.

The announcement could clear the way for President Donald Trump's Fed Chair nomination Kevin Warsh to advance through the Senate, where the DOJ investigation into Powell faced criticism. Senator Thom Tillis, a North Carolina Republican, had declined to support Warsh's nomination over the investigation.

Powell announced earlier this year that the DOJ served the Fed with grand jury subpoenas related to his testimony before a Senate committee regarding building renovations. Powell alleged that the summonses were "pretexts" and that the probe was retribution for his dispute with Trump on interest rates.

A spokesperson for the DOJ pointed to Pirro's post when reached by Newsweek for comment.

This is a breaking news article. Updates will follow.

2026 NEWSWEEK DIGITAL LLC.

This story was originally published April 24, 2026 at 7:52 AM.