US Housing Chief Hits Fed Chair Powell with $2.5B Misused — Here’s Why

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A new fight is heating up in Washington. US Federal Housing Finance Agency, William J. Pulte wants Congress to look into Federal Reserve Chair Jerome Powell. He says Powell for giving what he says is false information and misusing public money of almost $2.5 billion. This could bring big trouble for the Fed just as the economy is still shaky.

So, what’s really behind this new allegation?

Pulte Points Finger at $2.5 Billion Fed Renovation

In a recent tweet post Pulte says Powell wasn’t honest with the Senate about a $2.5 billion renovation of the Federal Reserve’s headquarters.

He claims Powell hid the truth about fancy add-ons, like a private dining room, elevators, skylights, water features, and even a roof terrace. Pulte says these perks are a waste of money at a time when people are struggling with high borrowing costs.

Pulte thinks this is unfair when people are paying high interest on their loans and homes.

Call for Congress to Take Action

According to Pulte, Powell’s “political bias” and “mismanagement” are serious enough for Congress to consider removing him “for cause.” He also brought up Senator Cynthia Lummis, who said Powell made “factually wrong” claims about the same project.

She says this shows a “don’t bother me” attitude that the Fed boss has shown before.

Pulte wants Congress to step in and check if Powell broke any rules. He says this is not just wasteful spending, it shows “bad behavior” that could be a reason to remove Powell from his job.

Senator Cynthia Lummis agrees. She said Powell gave wrong facts about the building when asked. She says this shows the Fed boss doesn’t care about using money wisely.

Trump vs. Powell — Old Tension

This isn’t the first time Powell has been in hot water. For months, former President Donald Trump and his allies have slammed Powell for not cutting interest rates fast enough.

They argue that high rates make borrowing expensive and hurt the housing market and economy.

Trump once even looked into firing Powell, but the Supreme Court stepped in and protected the Fed chair’s job.

For now, Powell has not said much. He still wants to keep rates steady to fight inflation before making cuts. But Pulte’s push could put more pressure on him.