Attorney General Todd Blanche announced Friday that the U.S. Justice Department will not reopen a criminal investigation into former Federal Reserve Chair Jerome Powell. The probe, which centered on alleged cost overruns tied to the Fed’s building renovation project, will remain closed.
Attorney General’s Statement
Speaking to Bloomberg News, Blanche said the department has reviewed the matter and found no basis to restart a criminal case. He emphasized that the decision reflects a thorough assessment of the evidence and the appropriate use of limited law‑enforcement resources.
Potential for Continued Oversight
While the criminal probe will not be revived, Blanche did not rule out continued scrutiny of the renovation’s oversight. He indicated that the Justice Department may still examine administrative or civil aspects of the project if new evidence of wrongdoing emerges.
Background on the Investigation
The original inquiry focused on whether the Federal Reserve’s renovation of its headquarters exceeded authorized budgets and whether any fraudulent conduct occurred. Critics had suggested that the project’s cost growth warranted a deeper look, but the Justice Department’s review concluded that a criminal case was not warranted.
Implications for Federal Oversight
The announcement underscores the Justice Department’s commitment to focusing its investigative efforts where there is clear evidence of criminal conduct. By closing the Powell probe, the department signals that it will not pursue criminal charges absent compelling proof, while still keeping the door open for administrative review if warranted.
Reactions
Legal analysts noted that the decision aligns with standard DOJ practice of closing cases that lack sufficient criminal evidence. Some watchdog groups, however, expressed disappointment that a broader inquiry into the Fed’s spending practices may not be pursued.
Overall, the Attorney General’s remarks provide clarity on the status of the Powell investigation and reaffirm the department’s focus on prioritizing cases with strong evidentiary foundations.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
