Elizabeth Warren Warns Trump's Fed Takeover Plot Continues Despite Powell Investigation End

Senator Elizabeth Warren has warned that those celebrating the Trump administration’s decision to drop its investigation into Federal Reserve Chair Jerome Powell are making a critical mistake. In a statement issued on Friday, Warren dismissed the move as anything other than a calculated maneuver to clear the way for Powell’s replacement, Kevin Warsh.

The Justice Department announced it would terminate its investigation into Powell, who has faced repeated threats of termination from President Donald Trump for months. Powell’s refusal to lower interest rates has drawn the president’s ire, but Warren sees the investigation’s end as a strategic ploy rather than a concession.

“This is just an attempt to clear the path for Senate Republicans to install President Trump’s sock puppet Kevin Warsh as Fed Chair,” Warren stated. “Let’s be clear what the Justice Department announced today: they threatened to restart the bogus criminal investigation into Fed Chair Powell at any time while failing to drop their ridiculous criminal probe against Governor Cook.”

The announcement follows Republican Senator Thom Tillis’s refusal to advance Warsh’s nomination until the legal matter involving Powell is fully resolved. Warren emphasized that the decision does not signal the end of Trump’s efforts to exert control over the Federal Reserve.

“Anyone who believes Donald Trump’s corrupt scheme to take over the Fed is over is fooling themselves,” Warren continued. “The Senate should not proceed with the nomination of Kevin Warsh.”

Warsh’s nomination has also faced scrutiny this week after he evaded questions during a congressional hearing regarding his financial ties to Jeffrey Epstein and whether Trump had discussed lowering interest rates with him.