Fed vs. inflation

Judge blocks lawsuits against Powell: “Zero evidence”

A federal judge in the US has blocked lawsuits against Federal Reserve Chairman Jerome Powell, reports NBC News.

“A mountain of evidence suggests that the government served these lawsuits on the board to pressure its chairman to vote for lower interest rates or resign,” James Boasberg, chief judge of the US Federal District Court in Washington DC, wrote in a court document.

He also writes that the government has “provided virtually zero evidence” and that the court can only conclude that they were “for frivolous reasons”.

Prosecutor wants to appeal: “Is the opposite of justice”

The Justice Department will appeal the decision to stop the lawsuits against Federal Reserve Chairman Jerome Powell. This is what US District Attorney Jeanine Pirro in Washington DC said, according to Reuters.

At the same time, she says that it is not possible to investigate Powell because he has immunity.

– This is the opposite of American justice. To clear someone without any documents, without an investigation or questions, is not how our criminal justice system works.

— The investigation of Powell – this has happened

• In January 2026, the US Department of Justice opened a criminal investigation into Fed Chairman Jerome Powell regarding the renovation of the central bank’s headquarters and his testimony in Congress.
• The investigation concerned whether Powell misled Congress about the scope of the project, but he was not indicted and claimed that the measure threatened the independence of the Federal Reserve.
• Several senators and the White House expressed concerns that the investigation would negatively affect markets and the central bank's independence.
• Powell sent a detailed letter to senators this summer about the renovation project, which, according to the Financial Times, undermined claims that he misled Congress.
• As of late January 2026, the Federal Reserve had not yet released the documents requested by prosecutors in the investigation against Powell.