Bessent Proposes Shifting Powell Investigation from Justice Dept. to Senate
During a recent closed-door session with Senate Republicans, Treasury Secretary Scott Bessent put forward a significant proposal. He suggested that the investigation into Federal Reserve Chair Jerome Powell should be conducted by the Senate Banking Committee rather than the Justice Department.
Bessent’s Proposal: A Strategic Shift
This proposal aims to shift the investigative responsibilities, as reported by sources familiar with the discussions. One lawmaker interpreted this as an effort to “test the waters” regarding Sen. Thom Tillis’s willingness to lift his blockade on Federal Reserve nominees.
Key Insights from the Meeting
The discussion revealed several important perspectives:
- Some lawmakers believe this approach may persuade Tillis to change his stance.
- Ending the Justice Department’s probe into Powell has gained bipartisan criticism, suggesting a potential compromise.
- One GOP member expressed that moving the investigation to the Banking Committee could satisfy demands for accountability.
Reactions from Lawmakers
Despite Bessent’s proposal, opinions varied among legislators. While some viewed the shift as a promising solution, one lawmaker expressed skepticism about Tillis’s acceptance of the plan. He stated, “I would be shocked if Thom accepted.”
Sen. Thom Tillis has remained tight-lipped and declined to provide comments following the meeting.
This development reflects ongoing tensions and strategic maneuvering within the Senate regarding oversight of key financial leadership in the United States.
