Attorney General Todd Blanche confirmed the U.S. government will not pursue legal action against the former central bank head regarding renovation overruns. This decision follows an internal audit that found no grounds for criminal referrals and resolves a legal threat in which President Trump demanded Jerome Powell resign from the Federal Reserve Board of Governors or face a lawsuit for corruption or incompetence.

The 120 page inspector general report identified significant mismanagement, including the award of over $2 billion in construction work before the board obtained a cost estimate. These oversight failures contributed to a budget that swelled from an initial $1 billion to roughly $2.5 billion for the headquarters renovation. National Economic Council Director Kevin Hassett added that whether Powell remains on the Fed board is a decision for Powell, not the White House.