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Federal Reserve Chair Jerome Powell is facing a criminal referral for perjury filed by Representative Anna Paulina Luna, a Republican from Florida, according to Fox News. Luna accuses Powell of lying under oath about the $2.5 billion renovation of the Federal Reserve's headquarters in Washington, D.C. The referral was sent to the Department of Justice (DOJ) after Powell testified before the U.S. Senate Committee on Banking, Housing, and Urban Affairs, where he allegedly made false statements regarding the project's costs and features.
According to Luna, Powell misrepresented the extent of luxury amenities included in the renovation, such as VIP dining rooms, marble finishes, and rooftop gardens, which he publicly denied existed. Luna's letter to the DOJ claims that Powell's testimony contradicted documents reviewed by congressional investigators and the Federal Reserve's own submissions to the National Capital Planning Commission (NCPC). The project, initially approved at $1.9 billion, has seen its budget swell to $2.5 billion, raising concerns about financial transparency and oversight.
Powell has denied the allegations, stating that the cost increases were due to legitimate construction challenges and design adjustments. He emphasized that the changes were minor and aimed at simplifying construction to prevent further delays. Powell has requested a formal review of the project's costs and management by the Office of Inspector General (OIG).
The controversy has drawn criticism from various quarters, including President Donald Trump, who has publicly urged Powell to resign. Despite the political pressure, Powell maintains that the renovation is proceeding in accordance with approved plans and that the Federal Reserve is committed to being good stewards of public resources.