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BumRushDaShow

(165,953 posts)
Mon Jan 12, 2026, 09:36 AM 14 hrs ago

Trump faces Fed roadblock as key Republican blasts justice probe

Source: msn/Bloomberg

9h


(Bloomberg) -- President Donald Trump faced immediate bipartisan pushback Sunday night after Federal Reserve Chair Jerome Powell accused the Department of Justice of launching a grand jury investigation as a pretext to pressure and intimidate the central bank. Senator Thom Tillis, a key Republican on the Banking Committee who isn’t running for reelection, vowed to oppose any Trump nominees to the Fed until the matter is resolved.

“If there were any remaining doubt whether advisers within the Trump Administration are actively pushing to end the independence of the Federal Reserve, there should now be none,” Tillis said in a statement. “It is now the independence and credibility of the Department of Justice that are in question.”

“I will oppose the confirmation of any nominee for the Fed — including the upcoming Fed Chair vacancy — until this legal matter is fully resolved,” said Tillis, who also sits on the Judiciary Committee, which has oversight over the Justice Department.

Trump has made clear for months that he wants the Federal Reserve to quickly and deeply cut interest rates. Various parts of the administration have taken aim at sitting Fed governors, including Lisa Cook, a Joe Biden pick, and now, Powell.

Read more: https://www.msn.com/en-us/news/politics/trump-faces-fed-roadblock-as-key-republican-blasts-justice-probe/ar-AA1U1Hq7

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Trump faces Fed roadblock as key Republican blasts justice probe (Original Post) BumRushDaShow 14 hrs ago OP
MaddowBlog-Prosecutors open investigation into Fed Chair Powell, sparking immediate backlash LetMyPeopleVote 10 hrs ago #1
Sen Lisa Murkowski is against it also..........here is her statement........ riversedge 7 hrs ago #2
+1 dalton99a 7 hrs ago #3

LetMyPeopleVote

(175,184 posts)
1. MaddowBlog-Prosecutors open investigation into Fed Chair Powell, sparking immediate backlash
Mon Jan 12, 2026, 01:18 PM
10 hrs ago

Team Trump has embraced the idea that the levers of prosecutorial power are just another tool to be used against those who get in the president’s way.

As Trump’s DOJ pursues Powell, it's worth appreciating the brazenness: Trump abusing the justice system. He knows he’s abusing the system. He knows that we know he’s abusing the system — but he’s doing it anyway.

The corruption is the point. www.ms.now/rachel-maddo...

Steve Benen (@stevebenen.com) 2026-01-12T13:05:08.422Z

https://www.ms.now/rachel-maddow-show/maddowblog/prosecutors-open-investigation-into-fed-chair-powell-sparking-immediate-backlash

Two weeks ago, however, Trump’s position took a curious turn: He announced on Dec. 30 that his administration would “probably bring a lawsuit against” Powell.

That didn’t make a lot of sense — there were no grounds for such a case — but two weeks later, those comments became relevant anew. As it happens, the president didn’t bother pursuing some baseless civil suit against the Fed chair; instead, his team settled on a different legal tactic. The New York Times reported:

The U.S. attorney’s office in the District of Columbia has opened a criminal investigation into Jerome H. Powell, the Federal Reserve chair, over the central bank’s renovation of its Washington headquarters and whether Mr. Powell lied to Congress about the scope of the project, according to officials briefed on the situation.

The inquiry, which includes an analysis of Mr. Powell’s public statements and an examination of spending records, was approved in November by Jeanine Pirro, a longtime ally of President Trump who was appointed to run the office last year, the officials said.


Around the time the news started to reach the public, Powell issued a roughly two-minute video statement, speaking directly to the camera, confirming that Trump’s Justice Department on Friday had served the Federal Reserve with grand jury subpoenas, threatening a criminal indictment.

Video message from Federal Reserve Chair Jerome H. Powell:
www.youtube.com/watch?v=KckG...
www.federalreserve.gov/newsevents/s...

Federal Reserve (@federalreserve.gov) 2026-01-12T00:35:27.499Z


.......A political backlash is brewing too. Democratic leaders wasted little time in condemning the developments, but the pushback wasn’t entirely partisan. Republican Sen. Thom Tillis of North Carolina, a member of the Senate Banking Committee, said in a statement, “If there were any remaining doubt whether advisers within the Trump Administration are actively pushing to end the independence of the Federal Reserve, there should now be none. It is now the independence and credibility of the Department of Justice that are in question.”

Just as notably, the senator said he would “oppose the confirmation of any nominee for the Fed — including the upcoming Fed Chair vacancy — until this legal matter is fully resolved.”

But as important as these elements are, it’s worth appreciating the profound damage Trump and his team are doing to the rule of law as the dust settles on the news......

Trump doesn’t appear to be the least bit concerned about appearances or a pretense of propriety. He’s abusing the system. He knows he’s abusing the system. He knows that we know he’s abusing the system — but he’s doing it anyway.

It’s easy to believe that Trump and his confederates aren’t hiding their weaponization of the criminal justice system because they want everyone to notice. They need federal officials and White House critics to be afraid, and other federal prosecutors to understand that they’ll soon be unemployed unless they play ball with the Republican agenda.

The corruption is the point.

There might be half-hearted denials, issued with winks and nods, but by design, everyone should be painfully aware of what is plainly true: The authoritarian crisis has arrived, and it’s getting worse. We now live in a country where the president’s opponents are pursued by prosecutors in brazen displays of partisan power.

riversedge

(79,533 posts)
2. Sen Lisa Murkowski is against it also..........here is her statement........
Mon Jan 12, 2026, 04:01 PM
7 hrs ago


Sen. Lisa Murkowski
@lisamurkowski
After speaking with Chair Powell this morning, it’s clear the administration’s investigation is nothing more than an attempt at coercion. If the Department of Justice believes an investigation into Chair Powell is warranted based on project cost overruns—which are not unusual—then Congress needs to investigate the Department of Justice. The stakes are too high to look the other way: if the Federal Reserve loses its independence, the stability of our markets and the broader economy will suffer. My colleague, Senator Tillis, is right in blocking any Federal Reserve nominees until this is resolved.


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