US Housing Chief Accuses Fed Chair Powell of Misusing $2.5B in Public Funds

Federal Housing Finance Agency head William J. Pulte has escalated tensions in Washington by calling for a congressional investigation into Federal Reserve Chair Jerome Powell. The allegations center on a $2.5 billion renovation of the Federal Reserve's headquarters, which Pulte claims included extravagant features such as private dining rooms, elevators, and roof terraces.

The controversy emerges at a delicate moment for the economy, with Pulte arguing these expenditures represent gross mismanagement while Americans grapple with high borrowing costs. Senator Cynthia Lummis has corroborated concerns, stating Powell made "factually wrong" claims about the project.

Pulte's formal request to Congress suggests Powell's actions may warrant removal "for cause," framing the issue as one of political bias and fiscal irresponsibility. The Fed now faces heightened scrutiny as these allegations compound existing economic uncertainties.