Former Federal Reserve Chairs Condemn Justice Department Investigation Into Jerome Powell

Yellen, Bernanke, and Greenspan warn that the criminal probe threatens the independence of the U.S. central bank

By: Haitian Prime News|January 12, 2026|Washington, D.C.

Former leaders of the U.S. Federal Reserve have issued a rare and forceful rebuke of a criminal investigation opened by the U.S. Department of Justice into current Federal Reserve Chair Jerome Powell, warning that the inquiry risks undermining the independence of the nation’s central bank.

On Monday, the three most recent former Fed chairs—Janet Yellen, Ben Bernanke, and Alan Greenspan—joined ten other former senior economic policymakers in condemning the Justice Department’s probe. The investigation relates to Powell’s testimony before a U.S. Senate committee concerning renovations at Federal Reserve headquarters.

The matter became public on Sunday when Powell released an unscheduled video statement confirming that the Department of Justice had initiated a criminal inquiry and issued subpoenas tied to his Senate testimony. Powell described the investigation as “unprecedented,” noting that no previous Federal Reserve chair has faced criminal scrutiny over testimony involving internal administrative issues.

In a joint statement, Yellen, Bernanke, and Greenspan echoed that characterization, calling the inquiry an “unprecedented attempt” to undermine the Federal Reserve’s institutional independence. They cautioned that political interference with the central bank could have serious consequences for economic stability, market confidence, and the credibility of U.S. monetary policy.

Powell stated that he believes the investigation stems from former President Donald Trump’s anger over Federal Reserve interest-rate decisions. He added that the probe should be viewed within the broader context of what he described as ongoing pressure and threats directed at the central bank during the administration.

Last year, Trump publicly criticized Powell and suggested he could be removed from his position, a move analysts warned could disrupt financial markets and lead to significant legal challenges. Trump has since said he was unaware of the investigation into Powell.

The Department of Justice has not publicly commented on the investigation or responded to the concerns raised by former Federal Reserve officials.

Sources

• Ground News summary