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A US judge has declined to revisit a ruling that quashed the Department of Justice’s efforts to subpoena Jay Powell, in the latest setback for prosecutors in the criminal investigation into the Federal Reserve chair.
James Boasberg, a DC District Court judge nominated by former US President Barack Obama, on Friday declined a motion from Jeanine Pirro, US attorney for the District of Columbia, to reconsider his decision to block subpoenas issued by her office.
“The standard for reconsideration is a demanding one: the movant must show that there has been an intervening change in controlling law, new evidence, or a need to correct clear error or prevent manifest injustice,” Boasberg said.
“The Government’s arguments do not come close to convincing the Court that a different outcome is warranted,” he added.
Boasberg’s ruling is another victory for the US central bank’s chair as he fights an investigation he has said is motivated by President Donald Trump’s desire to pressure the Fed into cutting interest rates.
Pirro — who had called on the Fed chair to submit information on a $2.5bn renovation of the central bank’s headquarters, including whether he was guilty of lying to Congress over the project — said after the subpoenas were thrown out last month that she would appeal to a higher court if her motion for reconsideration was denied.
A Department of Justice spokesperson could not be immediately reached for comment on Friday.
Global central bankers and lawmakers, including some members of Trump’s Republican Party, have expressed grave concern over the investigation, which is widely viewed as an attempt to erode the monetary independence of the world’s most important central bank.
The probe is also holding up the confirmation of Kevin Warsh, Trump’s pick to replace Powell once the Fed chair’s term expires in mid-May. North Carolina Senator Thom Tillis, who sits on the upper chamber’s influential banking committee, has said he will block Warsh’s confirmation from a vote on the Senate floor until the probe against Powell is dropped.
Trump last week defended Pirro and then-US attorney-general Pam Bondi over the probe, saying they had “courage” for launching the investigation.
Trump fired Bondi on Thursday, replacing her with deputy attorney-general Todd Blanche in an acting capacity.
Since returning to the White House in January 2024, the president has repeatedly criticised Powell, who he picked as Fed chair during his first term, for not cutting borrowing costs aggressively enough, calling him a “numbskull”.
Trump has also tried to fire Fed governor Lisa Cook over allegations of mortgage fraud, which she denies and for which she has not yet been charged. The case was argued before the US Supreme Court, which is expected to rule in the coming months. Cook remains at the Fed.
Boasberg was nominated to the DC Superior Court by George W Bush in 2002, prior to which he served as assistant US attorney for the District of Columbia.