Fed Renovation Probe: No Evidence of Crime

0:00On March 25, a top deputy for U.S. Attorney Jeanine Piro testified in a closed-door hearing that the Justice Department lacks evidence of criminal. Activity in its probe of the Federal Reserve's headquarters renovation, which ballooned to $2.5 billion. The transcript, now unsealed, shows the deputy admitting they do not yet know of any fraud linked to the massive cost overruns. Earlier this month, a federal judge quashed two grand jury subpoenas from Piro's office, ruling prosecutors offered basically no proof of wrongdoing, and seemed to be pressuring Fed Chair Jerome Powell. The judge noted that most lawmakers on the relevant committee, from both parties, also see no crime here. President Donald Trump recently claimed criminality in the project, suggesting it should have cost just $25 million and pointing, fingers, at contractors. That statement now faces fresh skepticism from the deputy's testimony. Prosecutors have reviewed about 600 documents and say the investigation continues to

1:01check for fraud or misleading statements to Congress. Meanwhile, the Fed argues such overruns are typical in big government builds, like other projects that far exceeded budgets. Piro's office plans to appeal the judge's decision, heightening strains between the administration and the central bank, which could delay Trump's nominee for Fed Chair.