Fed Chair Jerome Powell Faces Perjury Charges Over Eccles Building Costs

In a bold move that’s stirring up the political pot, Rep. Anna Paulina Luna, R-Fla., has referred Federal Reserve Chair Jerome Powell to the Department of Justice for criminal charges, accusing him of perjury on two separate occasions. The allegations center on testimony Powell gave under oath and statements regarding the renovation of the Federal Reserve’s Eccles Building, a project that ballooned from $1.9 billion to a staggering $2.5 billion.

Luna claims Powell misled Congress about the state of the building and the nature of its upgrades, which reportedly include luxury features like a VIP dining room, premium marble finishes, and a roof terrace garden—details Powell allegedly denied publicly. She argues these aren’t mere simplifications as he suggested, but rather lavish additions that contradict his statements. Additionally, Luna points to discrepancies between Powell’s characterization of the cost overruns as minor and the detailed plans submitted to oversight bodies.

This referral comes amid ongoing pressure from conservative allies of former President Donald Trump, who have been vocal about wanting Powell out before his term ends in 2026. Trump himself has criticized Powell over interest rate policies, though he recently downplayed the likelihood of firing him. On the flip side, some moderate Republicans warn that ousting Powell could rattle markets further.

Powell has denied the perjury accusations and initiated a formal watchdog investigation into the renovation costs. Meanwhile, the Federal Reserve has released a video tour and notes on the project to provide transparency. Perjury, if proven, carries penalties of up to five years in prison and fines, making this a high-stakes showdown.

As this unfolds, the clash between political forces and the independence of the Federal Reserve takes center stage, raising questions about accountability and influence in one of the nation’s most powerful institutions.