Industry News

New York, April 24 (Xinhua) -- US District of Columbia Attorney Janet Pirlo stated on the 24th that, given the Federal Reserve's expected internal investigation into the overspending of the office building renovation project, she has instructed the District of Columbia Attorney's Office to end the investigation into the Federal Reserve office building renovation project.

 

According to US media analysis, the end of the criminal investigation by the US Department of Justice into Federal Reserve Chairman Powell will pave the way for President Trump's nomination of Kevin Walsh as the next chairman of the Federal Reserve to be approved by the Senate.

 

Pirlo posted on social media that the Federal Reserve Inspector General has been asked to review the issue of billions of dollars in construction cost overruns borne by taxpayers. She believes that the investigation results will help "solve the problem", and also stated that if the situation requires it, she will not hesitate to restart the criminal investigation.

 

White House spokesperson Kush Desai stated on social media on the 24th that American taxpayers have the right to know whether the Federal Reserve has financial mismanagement issues, and the Office of the Federal Reserve Inspector General has sufficient authority to investigate the matter thoroughly. The White House firmly believes that the Senate will quickly approve Bush's appointment as the next chairman of the Federal Reserve, thereby reshaping the professional competence and market confidence of the Fed's decision-making.

 

Previously, on January 9th, the US Department of Justice issued two subpoenas to the Federal Reserve, threatening to file criminal charges against Powell for testifying before the Senate Banking Committee in June 2025 regarding the renovation project of the Federal Reserve office building. On January 11th, Powell issued a video statement stating that the federal government's threat of criminal charges against him was an attempt to undermine the Fed's "independence" in setting interest rates. On March 11th, a judge from the Federal District Court for the District of Columbia dismissed the two subpoenas mentioned above. On March 18th, Powell stated at the Federal Reserve's regular press conference that he has no intention of leaving the Fed until the Justice Department's investigation into the Fed is transparently concluded.

 

Powell's term as Federal Reserve Chair will expire on May 15th. However, there is still significant uncertainty about whether Walsh can obtain timely approval from the US Senate. According to US media reports, Tom Tillis, a Republican member of the Senate Banking, Housing, and Urban Affairs Committee, holds a crucial vote. Tillis recently reiterated that he will not support the confirmation of Walsh's nomination until the investigation into Powell is resolved.

 

(Editor in charge: Shan Xiaobing)