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Fed watchdog finds no criminal violations in DC renovation probe

The internal review said the Fed board of governors did not effectively manage the $2.4 billion headquarters construction costs, though it found no criminal violations.

The Federal Reserve’s internal watchdog said it found no criminal violations tied to cost overruns on the Fed’s Washington DC headquarters renovation, according to a report released on Wednesday, according to the Guardian Business and Guardian Economics.

The watchdog said the Fed’s board of governors has not effectively managed the construction project and repeatedly deviated from its cost-management provisions, but it concluded that the mismanagement was not criminal.

The Guardian reported that Donald Trump has repeatedly criticized the renovation effort and former Fed chair Jerome Powell, and that a months-long Department of Justice criminal investigation was dropped in April.

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