Pirro Drops Appeal Bid in Fed Probe, Leaving Powell’s Future Uncertain
U.S. Attorney for the District of Columbia Jeanine Pirro on Monday filed a motion asking a federal judge to erase his prior rulings, CNBC reported. The move effectively abandons her repeatedly stated plan to take the Powell subpoenas fight to a higher court.
Pirro’s Reversal Explained
Rather than pursue an appeal, Pirro asked Chief Judge James Boasberg to vacate his earlier decisions outright. A vacate motion asks a court to treat a ruling as though it never occurred. Former Assistant U.S. Attorney Sean P. Murphy told CNBC the approach is unusual in this context. He said Pirro likely lacks standing to erase the record of a Justice Department legal loss in this manner. Boasberg has not yet ruled on the latest request.
Also Read: Fed Chair Powell Says He Will Not Resign Amid Trump Pressure
Background on the Fed Subpoena Battle
Pirro’s office has been probing cost overruns tied to the Federal Reserve’s ongoing building renovation project. The investigation also examined related congressional testimony by Fed Chair Jerome Powell. Boasberg quashed Pirro’s subpoenas in March, ruling her office had presented no concrete evidence of wrongdoing. He found substantial reason to believe the investigation was designed to pressure Powell into cutting interest rates at the direction of President Donald Trump. Boasberg upheld that ruling in April. Appeals of DOJ decisions typically require sign-off from senior department officials, and it remained unclear whether Pirro had ever secured that approval.
Also Read: Trump Pressure on Federal Reserve Raises Fed Independence Concerns
Powell Still Waiting for Legal All-Clear
Powell told reporters last week he intends to remain on the Fed’s Board of Governors after his chairmanship expires later this month. He said he will stay until he is satisfied the legal threat to the institution has genuinely passed. Pirro’s retreat removes the immediate risk of a compelled evidence handover. But her public statement left room for the investigation to resume. She said she could reopen proceedings if circumstances warranted and is awaiting findings from Fed Inspector General Michael Horowitz on the renovation cost overruns. She declined to commit to closing the matter even if Horowitz finds no criminal wrongdoing. The Fed declined to comment on the latest developments.
