Federal Reserve Chair Jerome Powell has been accused of lying to the Senate Banking Committee, and could soon be in the crosshairs of a federal investigation.
According to recent reports, Federal Housing Finance Administration (FHFA) Director Bill Pulte is calling on Congress to launch an immediate investigation into Powell after he was accused of lying to the Senate Banking Committee last week.
During a contentious congressional hearing last Wednesday, Powell raised eyebrows by insisting that a whopping $2.5 billion renovation of the central bank’s Washington headquarters would not include outrageous new amenities.
“There’s no VIP dining room, there’s no new marble. There are no special elevators,” he told the panel.
“There are no new water features, there’s no beehives, and there’s no roof terrace gardens.”
However, according to a New York Post report, Powell’s statements were “directly contradicted [by] the project’s own planning documents,” which show plans to restore private dining rooms and add “vegetated roof terraces.”
Pulte, in an official statement through the FHFA, called for an investigation into Powell’s remarks during a statement he made on X.
U.S. Federal Housing and the Fannie Mae and Freddie Mac Chairman Calls on Congress to Investigate Jerome Powell pic.twitter.com/E6P9MobJOa
— Pulte (@pulte) July 2, 2025
“I am asking Congress to investigate Chairman Jerome Powell, his political bias, and his deceptive Senate testimony, which is enough to be removed ‘for cause,” Pulte said.
“Jerome Powell’s $2.5B in capitalizations of Building Renovation Scandal stinks to high heaven, and he lied when asked about the specifics before Congress,” the Director added. “This is nothing short of malfeasance and is worthy of ‘for cause.’”
Pulte’s statements reference comments made by Sen. Cynthia Lummis (R-WY), a majority member of the Senate Banking Committee, who said Powell should “be embarrassed” by his testimony.
“He made a number of factually inaccurate statements to the Committee regarding the Fed’s plush private dining room and elevator, skylights, water features, and roof terrace,” she told The Post. “This is typical of the mismanagement and ‘don’t bother me’ attitude that Chair Powell has always shown.”
Pulte concurred, demanding, “Chairman Powell needs to be investigated by Congress immediately.”
Powell has been the political target of President Donald Trump, who earlier this week hammered the maligned Powell over his refusal to cut interest rates and expressed hope that Congress “really works this very dumb, hardheaded person, over.”
“We will be paying for his incompetence for many years to come.”
Powell’s term as Chair is set to expire in May 2026.
This is an on-going story. Check back for further updates.