Justice Department serves Federal Reserve with grand jury subpoenas, Powell says

Federal Reserve Chair Jerome Powell said the Justice Department served the Fed with grand jury subpoenas on Jan. 9, and that DOJ officials threatened a criminal indictment related to his June 2025 Senate Banking Committee testimony.

Federal Reserve Chair Jerome Powell said the U.S. central bank was served with grand jury subpoenas by the Department of Justice on Jan. 9. He issued a statement late Jan. 11 describing the subpoenas and related comments by DOJ officials. Powell said those officials threatened a criminal indictment tied to his June 2025 Senate Banking Committee testimony. He also noted that his June testimony addressed, in part, a multi-year renovation of historic Federal Reserve office buildings. Key points: - The Department of Justice served the Federal Reserve with grand jury subpoenas on Jan. 9, as reported by Powell. - Powell issued a public statement about the subpoenas late on Jan. 11. - Powell said DOJ officials threatened a criminal indictment over his June 2025 Senate Banking Committee testimony. - Powell said that testimony included discussion of a multi-year renovation of historic Federal Reserve office buildings. - Powell suggested the criminal investigation relates to interest-rate decisions rather than his testimony or the renovation work. Summary: The disclosures describe an active legal inquiry involving the central bank and public comments by its chair. Undetermined at this time.