U.S. Attorney Pirro States DOJ Will Continue Federal Reserve Probe and Appeal Ruling

U.S. Attorney Jeanine Pirro stated on Wednesday that the Department of Justice will not drop its criminal investigation into the Federal Reserve and will appeal a court order blocking grand jury subpoenas. The investigation focuses on alleged cost overruns associated with renovations of two historic Federal Reserve buildings in Washington.

Pirro said the cost overruns exceed $1 billion, while a separate report indicated the actual cost is approximately $2.5 billion.

The probe has drawn attention due to accusations that it targets the central bank for refusing demands to lower interest rates sharply. A federal judge blocked the subpoenas last month, stating that evidence suggested they were issued to pressure the Federal Reserve's board.

The judge, James Boasberg, denied a motion to reconsider his ruling on April 3, 2026, initiating a 30-day period for the government to file an appeal by May 4, 2026.

Pirro announced the appeal during a press conference on Wednesday, April 22, 2026. She stated that the investigation continues and emphasized that a judge cannot prevent a prosecutor from pursuing a grand jury inquiry based on established legal precedents.

“The idea that a judge can stand at the door of a grand jury and tell a prosecutor, 'You're not allowed to go in,' when the United States Supreme Court has said you can go into a grand jury based on rumors and suspicion, is an order that we think must be appealed, and we are continuing in this investigation.”

The probe has affected the confirmation process for Kevin Warsh, nominated to replace the current central bank chair, whose term expires on May 15, 2026. Sen. Thom Tillis, a Republican from North Carolina and member of the Senate Banking Committee, has stated he will block Warsh's nomination until the Department of Justice ends the investigation.

The Senate Banking Committee held a confirmation hearing for Warsh on Tuesday, April 21, 2026. With the Senate in recess the week of May 4, 2026, the committee may vote on Warsh's nomination during the week of May 11, 2026. The investigation has also raised questions about the independence of the Federal Reserve from executive branch involvement.