Chief U.S. District Judge James Boasberg unsealed a 27-page ruling Friday quashing two Justice Department grand jury subpoenas targeting Federal Reserve Chairman Jerome Powell. The decision formally halts a federal inquiry into the central bank leader.
The Justice Department opened the probe in November 2025, directing its focus on Powell’s congressional testimony regarding cost overruns in the $2.5 billion renovation of the Federal Reserve’s Marriner S. Eccles headquarters. U.S. Attorney for the District of Columbia Jeanine Pirro condemned the ruling and confirmed the department will appeal the decision to the D.C. Circuit.
Judicial Findings and DOJ Response
Judge Boasberg stated in the unsealed document that federal prosecutors produced “essentially zero evidence” of criminal wrongdoing by Powell. The judge concluded the subpoenas were pretextual. He cited a “mountain of evidence” indicating the singular purpose of the investigation was to harass and pressure Powell into lowering interest rates or resigning his position.
Pirro held a press conference shortly after the ruling was unsealed. She categorized Boasberg as an “activist judge” and called his decision “untethered to the law.” Pirro argued the ruling left Powell “bathed in immunity” from federal oversight.
James Boasberg is not a judge. He has proven time and time again to be a Judicial Activist. #ImpeachJamesBoasberg.
Jeanine Pirro Slams ‘Activist’ Judge for Blocking Subpoenas Against Fed Chair Powell https://t.co/FjhO7NhxDq
— Rob (@Rob35965212) March 14, 2026
Political and Congressional Implications
The legal dispute follows a public pressure campaign by President Donald Trump directed at the central bank’s monetary policy. Trump previously labeled the chairman “Jerome ‘Too Late’ Powell” for refusing to enact drastic interest rate cuts. Judge Boasberg explicitly referenced this friction in his ruling, asserting the investigation aligns with a pattern of politically motivated prosecutions by the current Justice Department.
The ruling directly impacts the confirmation process for the next central bank leader, a critical concern for global business markets. Powell’s term as chairman expires in May 2026. President Trump nominated Kevin Warsh to succeed Powell.
Republican Senator Thom Tillis, a member of the Senate Banking Committee, praised Boasberg’s decision. Tillis described the DOJ probe as a “frivolous” and “failed attack on Fed independence.” The senator reiterated his pledge to block Warsh’s confirmation vote until the Justice Department officially dismisses the criminal probe into Powell.