WASHINGTON (AP) — The Justice Department is seeking a reconsideration of a judge’s ruling that effectively halted a criminal investigation into Federal Reserve Chairman Jerome Powell, a case critics say was spurred by former President Donald Trump’s dissatisfaction with monetary policy.
U.S. District Judge James Boasberg blocked subpoenas issued in January seeking information related to cost overruns in renovations at the Fed’s headquarters and Powell’s congressional testimony regarding the project. The judge concluded prosecutors improperly issued the subpoenas, citing “a mountain of evidence” suggesting the investigation aimed to pressure Powell to lower interest rates or resign, as Powell has argued.
In a new filing, prosecutors, working with Trump-appointed U.S. Attorney Jeanine Pirro of Washington, contend Boasberg applied an incorrect legal standard and misconstrued key facts. The motion, initially filed under seal Thursday, became public Monday following a request from Pirro’s office. Pirro has indicated plans to file both a motion for reconsideration and an appeal to a higher court.
The dispute carries significant implications for the independence of the central bank and Trump’s efforts to potentially replace Powell when his term expires in mid-May. Republican Senator Thom Tillis of North Carolina has stated he will not support any Fed nominee while the investigation remains open.
The case has drawn scrutiny, with Judge Boasberg openly questioning the motivations behind the investigation, suggesting it appeared to be driven by Trump’s desire for retribution. The New York Times reported on the judge’s rebuke of the U.S. attorney’s office, highlighting concerns about politically motivated investigations. https://www.nytimes.com/2026/03/13/us/politics/jerome-powell-trump-subpoenas.html
Trump himself publicly criticized both the courts and Judge Boasberg following the initial ruling, according to a report from the New York Times. https://www.nytimes.com/2026/03/16/us/politics/trump-justice-department-investigations.html
The unfolding situation adds to a period of turbulence for the Kennedy Center, as its president is also departing after a tumultuous year. https://news.google.com/rss/articles/CBMiY0FVX3lxTFB6UkxBM3FrYUU2Q0Q4d3pKTjloWmdSREVkVUo2a2RQT3VNR2g0Nm5aNVZGLUJua0xqWGt0U3RMb01Za25VLThPNXB4SDlETm90TGo5ZGxzTk5pMUNaUWdJMzlFUQ?oc=5
