On January 11, 2026, Federal Reserve Chair Jerome Powell announced that the U.S. Department of Justice (DOJ) had issued a subpoena to the central bank, threatening a criminal indictment. This action is perceived as part of a yearlong campaign of pressure from the Trump administration. Powell stated that the indictment threat is connected to his testimony before the Senate regarding the renovation of Federal Reserve office buildings.

Powell emphasized that while no individual, including the chair of the Federal Reserve, is above the law, this unprecedented move should be viewed within the context of ongoing threats and pressure from the administration. He asserted his intention to remain in his position, despite President Donald Trump's repeated calls for his resignation, and reaffirmed his commitment to serving the American public with integrity.

The White House has accused Powell of mismanagement concerning the renovation project, suggesting he misled Congress about the plans for the Federal Reserve's headquarters. In response to criticism from Trump regarding cost overruns, the Federal Reserve initiated a review by its inspector general. Powell noted that the renovation plans have evolved over time, indicating a complex situation surrounding the project. This story is still developing, and further updates are anticipated.