President Trump Calls for Powell’s Resignation, Seeks AG Review Over Fed Renovation
- Fed watchdog: No criminality in $2.4B HQ renovation, cites failures.
- Trump demands Powell resign over $2.5B+ renovation cost overruns.
- Trump threatens lawsuit, asks AG Blanche to review report.
The Federal Reserve’s internal watchdog released a report on Wednesday, concluding there was no evidence of criminal wrongdoing in the central bank’s $2.4 billion renovation of its Washington D.C. headquarters. While clearing the institution of criminal violations, the report highlighted significant management and oversight failures that contributed to substantial cost overruns. This project had previously been a point of contention, drawing criticism from the Trump administration and leading to a Department of Justice criminal investigation that was dropped in April. The findings could potentially alleviate a political pressure point on the central bank, which had been accused of mismanagement.
President Donald Trump has called for Jerome Powell to resign from the Federal Reserve Board over alleged mismanagement and cost overruns in the central bank’s headquarters renovation. Trump cited a projected cost of at least $2.5 billion, with his own forecast suggesting costs could reach $3.5–$4 billion. He has also asked Attorney General Todd Blanche to review the inspector general’s report and threatened a government lawsuit if Powell does not resign.