Original Source
Judge Blocks Subpoenas in Justice Department Probe of Fed Chair
Court Blocks Subpoenas for Fed Chair Powell
A US federal judge, James Boasberg, has quashed subpoenas issued by the Justice Department against Federal Reserve Chair Jerome Powell, according to court documents unsealed on Friday. This ruling marks a significant setback for US President Donald Trump, who has repeatedly criticized Powell for not lowering interest rates. The subpoenas, issued in January, were related to Powell's testimony before the Senate Banking Committee in June 2025 concerning cost overruns tied to the Fed's building renovations. The project's latest estimated cost of $2.5 billion is approximately $600 million higher than the 2022 figure of $1.9 billion, as reported by the Fed.
Concerns Over Pressure for Interest Rate Cuts
Judge Boasberg stated that the government had "produced essentially zero evidence to suspect Chair Powell of a crime" and deemed its justification for the subpoenas "thin and unsubstantiated." He concluded that the subpoenas appeared to be a pretext to force Powell to cut interest rates. He added, "There is abundant evidence that the subpoenas’ dominant, if not sole, purpose is to harass and pressure Powell either to yield to the president or resign and make way for a Fed chair who will.” US Attorney General Jeanine Pirro, who issued the subpoenas, criticized the decision and announced plans to appeal. Pirro’s appeal could further delay Senate consideration of Trump's nominee, Kevin Warsh, to replace Powell when his term concludes on May 15.
*Source: RT News (2026-03-14)*
