Trump Calls for Powell's 'Forced' Resignation After Fed Watchdog Clears Him of Crimes

President Trump said on September 30, 2026, that Federal Reserve Board member Jerome Powell should be "forced" to resign or face a lawsuit from the federal government, hours after the Fed's inspector general released a report on cost overruns in the renovation of the central bank's Washington headquarters. The report found no reasonable grounds to believe Powell or the Fed's board had violated federal criminal law, but it cited poor contract oversight, limited subcontractor bidding and design changes that pushed construction costs to roughly $2.5 billion, about $1 billion over budget. Trump said Attorney General Todd Blanche would "study" the findings and decide what to do next.

The renewed attack follows a yearlong campaign by Trump against Powell, including a Justice Department criminal investigation into the renovation that a federal judge found lacked sufficient evidence; DOJ dropped that probe in April after Sen. Thom Tillis blocked a Fed nominee's confirmation over the issue.

Powell, whose term as Fed chair has expired but who remains a Fed governor, has said he intends to stay on the board despite the pressure.