The chairman of the Federal Reserve, Jerome Powell, who has been under fire for refusing to nudge interest rates lower amid a booming economy, a move that actually costs American consumers billions through higher interest, has been referred to the Department of Justice for investigation and possible prosecution.
The confirmation came from Rep. Anna Paulina Luna online:
I am criminally referring Jerome Powell to the DOJ to investigate perjury regarding his crazy $2.5BN building.
— Rep. Anna Paulina Luna (@RepLuna) July 17, 2025
She referenced the “crazy” $2.5 billion building, which actually is a renovation of the Fed’s facilities in Washington that are being refurbished. The problem is the project already is $700 million over budget and is years from completion.
Bill Pulte, the chairman of the board of Fannie Mae and Freddie Mac, had predicted the move was coming.
I am told by very reliable Congressional sources that there may be a criminal referral coming from one or more Congress members to the DOJ for Jay Powell’s alleged perjury about the $2.5BN building.
— Pulte (@pulte) July 17, 2025
Powell has been under fire from Trump for his insistence on keep interest rates higher than the president thinks are reasonable given the low inflation rate, high income surges, and booming economy.
The president’s tariffs program is expected to generate tens of billions of dollars for the nation even as they still are being applied.
WND reported that while there have been reports Trump would fire Powell, he said such a removal of the “knucklehead” isn’t likely, unless “there’s fraud involved.”
“I don’t rule out anything, but it’s highly unlikely, unless he has to leave for fraud. I mean it’s possible there’s fraud involved.”
BREAKING: President Trump says it is “unlikely” that he will fire the Chairman of the Federal Reserve Jerome Powell:
“I don’t rule out anything, it’s highly unlikely, unless he has to leave for fraud.”
— Benny Johnson (@bennyjohnson) July 16, 2025
The New York Times had reported only this week Trump had drafted a letter to fire Powell, and asked Republicans if he should send it.
Breaking News: President Trump drafted a letter to fire Jerome Powell, the Fed chair, and asked Republicans if he should send it and indicated that he likely would. https://t.co/uoRm6ruGo9
— The New York Times (@nytimes) July 16, 2025
I’m 99% sure firing is imminent. https://t.co/cyaXaydiSZ
— Anna Paulina Luna (@realannapaulina) July 16, 2025
Trump said of Powell, “He’s always been too late, hence his nickname ‘Too Late.’ He should have cut interest rates a long time ago. Europe has cut ’em 10 times in a short period of time. We cut ’em none.
“I think he does a terrible job. He’s costing us a lot of money, and we fight through it. It’s almost, the country’s become so successful it doesn’t have a big impact. But it does hurt people wanting to get a mortgage, people want to buy a house. He’s a terrible Fed chair.”
In fact, some members of the Federal Reserve also have been calling for an interest rate cuit.
Trump, speculating about whether Powell should resign, or be fired, cited the explosion in costs at the Fed’s building.
“But you know, there are many people who say he should be removed because of the fraud of what he’s doing at the Fed, with regard to the $2.5 billion he’s spending, $2.5 billion to, I guess it’s a renovation. I don’t know. I’m very good at that stuff. I should go look at it,” Trump said.
Amid questions about the costly renovation project, Powell launched a defense, explaining the project is “large … because it involves the renovation of two historic buildings on the National Mall and that were first constructed in the 1930s.”
The sites in question are the Eccles Building and 1951 Constitution Avenue Buildings.
Powell said the work is making the buildings, safe, healthy and effective places to work, and includes removal of asbestos and lead contamination.
President Trump slams Jerome Powell for spending $2.5 billion on a luxurious renovation of the Fed while keeping our interest rates ridiculously high and costing us billions.
“If Jerome Powell stepped down, it would be a great thing.”
I can’t imagine why the Fed would need a… pic.twitter.com/OvzJTOsKbw
— Patriot Lady (@angelwoman501) July 14, 2025
Trump has described the renovation project as similar to creating a “palace.”
Senate lawmakers already have grilled Powell over what they saw as lavish upgrades, including fountain and marble upgrades, special elevators and such.
