Powell Targets Criminal Subpoenas: Federal Reserve Leaders Claim Resistance to Political Pressure

On January 12th, Federal Reserve Chair Jerome Powell issued a firm response. The U.S. Department of Justice recently threatened to file criminal charges based on his Senate testimony from June last year, with a grand jury criminal subpoena served last Friday. Powell explicitly stated that these allegations have nothing to do with his testimony or related projects and are merely political tools. The real test facing the Federal Reserve is whether it will adhere to evidence-based and data-driven scientific decision-making when setting interest rates or succumb to political pressure and intimidation.

DOJ Suddenly Acts, Grand Jury Criminal Subpoena Emerges

The DOJ’s criminal threat involves Powell’s building renovation project. According to official notices, the grand jury criminal subpoena was formally served last Friday. This move has sparked strong reactions in the financial regulation and political spheres. Powell emphasized that the timing and content of this subpoena are highly suspicious and seem closely linked to his recent policy stances.

Senate Testimony Becomes Target of Attack, Powell Reveals True Motive

Powell’s Senate testimony last year mainly concerned the Federal Reserve’s monetary policy stance. The DOJ’s decision to launch a criminal investigation at this moment, Powell questions, is merely a political excuse. He stated that the new legal threat has nothing to do with the content of his testimony or the renovation project and is fundamentally about exerting political leverage. This unprecedented action must be understood against the backdrop of the current government’s ongoing pressure on the Federal Reserve.

We Will Not Be Intimidated, Fed Vows to Maintain Independence

Powell clearly stated that the Federal Reserve will neither fear political pressure nor favor any political stance when setting interest rates, and will continue to uphold this principle. While he deeply respects the rule of law, he firmly believes that this criminal subpoena action is unprecedented in U.S. history. In the face of continuous government pressure and criminal threats, the Fed’s stance is clear: to safeguard central bank independence and uphold the scientific and objective nature of monetary policy, without wavering due to political turbulence.