Judge Blocks DOJ Subpoenas in Powell Probe, Cites "Pretext" to Pressure Fed
Chief U.S. District Judge James Boasberg has quashed Justice Department subpoenas in a criminal probe into Federal Reserve Chair Jerome Powell, calling the investigation a "mere pretext" to pressure the central bank.
The ruling, unsealed on March 13, 2026, blocked the subpoenas that sought information related to Powell's 2025 Senate testimony about a $2.5 billion renovation of the Federal Reserve's headquarters.
Key Details of the Ruling
Lack of Evidence: Judge Boasberg stated that the government produced "essentially zero evidence" of a crime and that the subpoenas' primary purpose was to "harass and pressure" Powell into resigning or lowering interest rates.
Pretextual Nature: The judge noted that the investigation appeared to be a response to the President's repeated public attacks on Powell for his handling of interest rates.
DOJ Response: U.S. Attorney for D.C. Jeanine Pirro slammed the decision as "activist" and announced that the Justice Department will appeal the ruling.
Political Impact
Fed Independence: The case is seen as a major test of the Federal Reserve's independence from political interference.
Nomination Delay: The ongoing legal battle continues to delay the confirmation of former Fed Governor Kevin Warsh, whom President Trump nominated to replace Powell. Senator Thom Tillis has vowed to block any Fed nominees until the investigation is resolved
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