Jeanine Pirro, the U.S. attorney for the District of Columbia, said Sunday that she could resume a criminal investigation into Federal Reserve Chair Jerome Powell based on the findings of the central bank's inspector general.
Last month, Pirro closed her probe into Powell and his handling of renovations at the Fed and asked the central bank's inspector general to investigate the matter instead.
Pirro told CNN's "State of the Union" that she made that decision because U.S. District Judge James Boasberg blocked Justice Department subpoenas of Powell and the central bank's board of governors in March. She said the only way to obtain evidence is through Fed Inspector General Michael Horowitz's investigation.
What the Right Is Saying
Republican supporters of the investigation frame it as legitimate oversight of how federal funds were spent on renovations at the Federal Reserve.
Sen. Thom Tillis (R-N.C.) told CNN that "at the end of the day, there was no crime committed," and said prosecutors he has spoken with agree with that assessment. He described the inspector general review as a way to address questions without prolonging the probe indefinitely.
Conservative commentators have argued that questioning spending practices at federal agencies represents appropriate congressional and executive branch oversight, not interference with Fed operations.
White House allies in Congress have pointed to the Kevin Warsh nomination process as evidence that the administration is working to install its preferred leadership at the central bank through normal constitutional procedures.
What the Left Is Saying
Progressive Democrats and financial reform advocates have raised concerns about what they characterize as political pressure on the Federal Reserve, an institution traditionally granted independence to conduct monetary policy without White House interference.
Rep. Jim Himes (D-Conn.), ranking member of the House Intelligence Committee, wrote on social media that "the Fed's independence is not a partisan talking point — it's the foundation of stable markets and dollar credibility worldwide."
Former Treasury Department officials have warned that investigations into Powell could signal an effort to undermine central bank autonomy ahead of potential policy disagreements with the Trump administration.
Consumer advocacy groups aligned with Democrats have echoed these concerns, arguing that any appearance of political influence on monetary policy decisions could erode public trust in economic institutions.
What the Numbers Show
Pirro closed her investigation into Powell last month, shifting the inquiry to Federal Reserve Inspector General Michael Horowitz for review.
U.S. District Judge James Boasberg blocked Justice Department subpoenas of Powell and the Fed's board of governors in March 2026, citing separation of powers concerns.
Kevin Warsh advanced out of Senate Banking Committee on a 13-11 party-line vote earlier this week, with all 12 Republicans supporting the nominee and all 11 Democrats opposed.
Sen. Thom Tillis (R-N.C.) initially refused to back Warsh while the Justice Department probe was ongoing but reversed course after Pirro closed the investigation.
The Bottom Line
The shift of the Powell inquiry to the Federal Reserve's inspector general has removed a significant obstacle to confirming Kevin Warsh as the next Fed chair. While Tillis and other Republicans have suggested they expect no findings of criminal conduct, Pirro stopped short of committing not to reopen her investigation if the IG report provides new evidence.
The case now hinges on what Horowitz finds in his review. If Inspector General findings support reopening, Pirro has said she will pursue it. If not, she indicated she would consider the matter closed. The judge who blocked DOJ subpoenas remains a legal hurdle for any future grand jury investigation into Powell or Fed governors.