Trump DOJ Makes New Demand To Judge
A major legal twist unfolded Monday as U.S. Attorney Jeanine Pirro asked a federal court to erase a prior ruling that blocked key subpoenas tied to the investigation into Federal Reserve Chair Jerome Powell.
The reason? The case has now officially been closed—but the implications could stretch far beyond this moment.
DOJ Shuts Down Powell Investigation—For Now
Pirro, who leads federal prosecutions in Washington, D.C., confirmed that the Department of Justice has ended its investigation into Powell’s handling of Federal Reserve renovation projects.
Instead, the matter has been handed off to the Federal Reserve’s inspector general, signaling a shift away from criminal prosecution—at least temporarily.
Despite previously indicating she would challenge the court’s decision to block subpoenas, Pirro is now backing away from an appeal.
The DOJ acknowledged it disagreed with the ruling—but said continuing the fight would serve no practical purpose now that the investigation is closed.
Why the DOJ Still Wants the Ruling Erased
Even though the Powell investigation is no longer active, the DOJ is making a calculated move.
By asking the court to vacate—or wipe out—the earlier decision, prosecutors are working to ensure that ruling does not become a legal obstacle in the future.
In simple terms:
This keeps the door open.
If new evidence surfaces—especially from the inspector general—the government could relaunch the investigation and pursue new subpoenas without being tied down by this case.
A Judge With a History of Clashes
The decision now falls to U.S. District Judge James Boasberg, who originally blocked the subpoenas.
Boasberg, appointed by Barack Obama, has been a frequent target of criticism from Donald Trump after several rulings that challenged administration priorities.
That background adds another layer of political tension to an already high-stakes legal situation.
Powell’s Next Move Sparks Frustration
At the same time, Jerome Powell is making headlines for a different reason.
He recently announced plans to remain on the Federal Reserve board even after his term as chair ends—at least until he is confident all investigations into himself and the institution are fully resolved.
That decision has raised concerns among Trump allies, who fear it could complicate leadership within the Federal Reserve during a critical time.
Trump’s Replacement Pick Moves Forward
President Trump has already selected Kevin Warsh to replace Powell as Federal Reserve chair.
Warsh is widely expected to be confirmed by the Senate before Powell’s chairmanship officially ends on May 15.
However, Powell’s term as a Fed governor runs through January 31, 2028—meaning he could remain inside the institution for years to come.
If he stays, he would be the first former Fed chair to remain on the board since Marriner Eccles in 1948.
What This Means Going Forward
While the DOJ has closed its investigation into Jerome Powell, this story is far from over.
- The inspector general’s review is still ongoing
- The DOJ is preserving its ability to act in the future
- Leadership tensions at the Federal Reserve may continue to grow
For many observers, the bigger question is not whether this case is finished—but whether it will come roaring back under new circumstances.
Bottom Line
The DOJ’s move to erase the court’s ruling may seem procedural, but it carries real strategic weight.
It ensures that if new findings emerge, federal investigators won’t be starting from scratch.
And in Washington, when a case is left this open-ended, it usually means one thing:
Stay tuned—because this story may not be over yet.
