Investigation into Fed Chair Powell!
Federal Reserve Chair Jerome Powell has announced that federal prosecutors have launched a criminal investigation into him. Powell argued that the process is linked to the tension he experienced with President Donald Trump due to his refusal to comply with demands for interest rate cuts.
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Federal Reserve (Fed) Chair Jerome Powell has announced to the public that a criminal investigation has been launched against him by federal prosecutors. Powell announced the development via a video released on January 11.
Stating that the U.S. Department of Justice has sent an official subpoena to the Fed, Powell expressed that the process directly targets him. He said that the Department threatened to file a criminal complaint against him due to testimony he gave before a Senate committee regarding the restoration of Fed buildings.
"UNPRECEDENTED" INVESTIGATION
Describing the events as "unprecedented," Powell argued that there is a political motivation behind the investigation. According to Powell, the primary reason for this step is his refusal to lower interest rates and the fact that this stance angered President Donald Trump.
TRUMP'S INTEREST RATE PRESSURE
It is known that Donald Trump has publicly pressured the Fed many times before and called for interest rate cuts. In various statements, Trump had targeted Powell, demanding that looser steps be taken in monetary policy.
DISPUTE AND CRIMINAL PROCESS
Powell has drawn attention as the latest figure in the U.S. to face a criminal investigation by the Department of Justice after having a dispute with President Trump.