DOJ Serves Fed with Grand Jury Subpoenas in Criminal Probe of Chair Powell

The Department of Justice served the Federal Reserve with grand jury subpoenas on January 10, 2026, opening a criminal investigation into Fed Chair Jerome Powell over alleged false or misleading statements to Congress about the central bank's $2.5 billion headquarters renovation project. Powell publicly characterized the probe as politically motivated, stating the Fed's interest rate decisions — not construction cost overruns — were the real target. Judge James Boasberg subsequently quashed the subpoenas, finding prosecutors had produced "essentially zero evidence" of a crime.