Federal Reserve Chairman Jerome Powell has revealed that the Justice Department has issued grand jury subpoenas to the Fed over its building renovations, which are under investigation related to his testimony before the Senate Banking Committee in June 2025. The project's scope and costs have been scrutinized by the Trump administration, with some accusing Powell of leading an "ostentatious" office renovation project that may be "violating the law".
Powell disputed these claims during his testimony, stating that there are no special elevators or rooftop gardens, and only necessary marble replacements. He emphasized that he has always carried out his duties without political fear or favor, focusing on price stability and maximum employment.
The Justice Department has reportedly instructed its U.S. Attorneys to prioritize investigating any abuse of taxpayer dollars. However, Attorney General Pam Bondi did not specify any particular case.
President Trump expressed his ignorance about the probe but joked that Powell is "not very good at building buildings". White House National Economic Council chief Kevin Hassett, a rumored candidate to replace Powell as Fed chair, respected the independence of the Justice Department and the Fed.
Bipartisan criticism has poured in from senators on both sides of the aisle. Republican Sen. Thom Tillis and Democratic leaders Chuck Schumer and Elizabeth Warren have condemned the investigation, accusing it of being an "assault on the Fed's independence" and an attempt to undermine Powell's authority.
The controversy highlights ongoing tensions between the Trump administration and the Federal Reserve over monetary policy and oversight.
Powell disputed these claims during his testimony, stating that there are no special elevators or rooftop gardens, and only necessary marble replacements. He emphasized that he has always carried out his duties without political fear or favor, focusing on price stability and maximum employment.
The Justice Department has reportedly instructed its U.S. Attorneys to prioritize investigating any abuse of taxpayer dollars. However, Attorney General Pam Bondi did not specify any particular case.
President Trump expressed his ignorance about the probe but joked that Powell is "not very good at building buildings". White House National Economic Council chief Kevin Hassett, a rumored candidate to replace Powell as Fed chair, respected the independence of the Justice Department and the Fed.
Bipartisan criticism has poured in from senators on both sides of the aisle. Republican Sen. Thom Tillis and Democratic leaders Chuck Schumer and Elizabeth Warren have condemned the investigation, accusing it of being an "assault on the Fed's independence" and an attempt to undermine Powell's authority.
The controversy highlights ongoing tensions between the Trump administration and the Federal Reserve over monetary policy and oversight.
. I mean, come on, the Justice Department is investigating the Fed's building renovations? It's like they're trying to scrutinize every single penny spent by our nation's central bank. And now Powell is being accused of leading an "ostentatious" office renovation project? That's just rich 
.
. I mean, I get it, it's a lighthearted moment, but come on, that's not the point. The point is that we need our central bank to make decisions based on economic data, not on who's building whose office in D.C.
so like the Fed is getting investigated for renovating its building 
which cost like 5 million dollars... I'm reading that the Justice Dept is trying to figure out if it's a waste of taxpayer money 
and they're like 50 million dollars total 
which seems pretty low considering how much influence the Fed has on interest rates 
interesting to see bipartisan criticism pouring in from both sides of the aisle! 
. Powell is trying to do his job, focus on keeping the economy stable, and this is what happens? It's like they're trying to create drama out of thin air 
. And let's be real, who needs special elevators or rooftop gardens in a building renovation 
? It's just common sense. The whole thing just smells like politics 
. I hope the Justice Department sticks to the facts and not just goes with what the White House is feeding them 
. This is just another example of how hard it is for politicians to leave their personal agendas out of monetary policy decisions 
.
... like remember when they renovated that old Fed building back in the 90s? it was nothing compared to this, right? 
, but at the same time I trust Jerome Powell to know what's up 
. can't let politics get in the way of price stability and all that jazz 
. anyway, hope this whole thing gets sorted out soon 
.
... like remember when Bush Sr was getting roasted for his 'lost' documents scandal back in the day? 
Oh man, this is getting crazy! Powell's office renovation is being investigated 
? Like what's wrong with a little marble replacement 
? 
No way! 
? That's some funny stuff! 
.
. Like, come on folks! Let's focus on what really matters 
.
. The Fed needs to keep doing its thing, not worrying about who's building which office 
.
omg this is getting juicy! so like what's with all these accusations about powell's office renovation? it seems like a total non-issue to me but i guess it's a big deal when you're a fed chair 
gotta say, this is all a bit sus, but I'm trying not to jump to conclusions here... think of it as a "housekeeping" thing for the Fed? 
Jerome Powell's getting his building renovated, and now there's some extra scrutiny from the Justice Dept? It sounds like an overreaction, but maybe they just wanna make sure taxpayer cash is being used wisely? 
Still, it's interesting to see bipartisan criticism - that says something about how divided we are on this stuff. 
Powell's all like "i'm a neutral guy" but let's be real, he's human too and can get caught up in all that drama 
the thing is, we need an independent central bank (obviously 
) and this whole probe just makes it harder for them to do their job