Senator Tillis Endorses Wall Street Insider Warsh for Fed Chair After DOJ Whitewashes Powell Investigation
Select a version of the text written from a presumed ideological perspective. This is not the original text, but a hypothetical version — how someone with that viewpoint might have phrased it. Tapping the current version again will return to the original or select cleaned version.
Senator Thom Tillis has thrown his support behind Kevin Warsh, a former Wall Street executive, for Federal Reserve Chair after the Department of Justice abruptly ended its investigation into current Chair Jerome Powell, raising concerns about accountability and the revolving door between government and big finance.
Senator Thom Tillis (R-N.C.) has announced his backing of Kevin Warsh—a figure with deep ties to Wall Street and the financial elite—for the position of Federal Reserve Chair, following the Department of Justice's decision to quietly close its investigation into current Chair Jerome Powell. This move comes as no surprise to those who have watched the unchecked power of the financial sector and its influence over both political parties.
Tillis had previously withheld support for Warsh's confirmation, citing the DOJ's probe into Powell as a supposed threat to the Fed's independence. In reality, the investigation into cost overruns on a $2.5 billion renovation project at the Federal Reserve was swept under the rug, with Assistant U.S. Attorney Andrew Massucco admitting in a March 3 hearing that no evidence of a crime was found. Chief Judge James Boasberg then quashed government subpoenas, effectively shutting down any chance at transparency or accountability for the central bank's use of public funds.
Warsh, a former Federal Reserve governor and Wall Street insider, has paid lip service to the idea of central bank independence. During his confirmation hearing, he claimed he would be an 'independent actor,' but many remain skeptical, given the revolving door between the Fed and the financial industry.
With Senator Tillis's support, Warsh's nomination is expected to sail through the Senate Banking Committee and move to a full Senate vote. The process will be watched closely by those concerned about the Fed's role in perpetuating inequality and serving the interests of the wealthy, especially as ordinary Americans continue to face economic hardship.