A new fight is warm in Washington. US Federal Housing Finance Agency, William J. Pulte wants the congress to look at the Federal Reserve chairman Jerome Powell. He says Powell for giving what he says is false information and abusing public money of almost $ 2.5 billion. This can cause major problems for the FED, just as the economy is still shared.
So what is really behind this new statement?
Pulte points his finger at $ 2.5 billion Fed Renovation
In a recent Tweet Post Pulte, Powell does not say fairly with the Senate about a renovation of $ 2.5 billion from the Federal Reserve head office.
He claims that Powell hid the truth about chic add-ons, such as a private dining room, lifts, skylights, water features and even a roof terrace. Pulte says that these benefits are a waste of money at a time when people struggle with high loan costs.
Pulte thinks this is unfair when people pay high interest rates to their loans and houses.
Call for the congress to take action
According to Pulte, Powell’s ‘political bias’ and ‘mismanagement’ are serious enough for the congress to consider him ‘for reason’. He also raised Senator Cynthia Lummis, who said that Powell made ‘actually wrong’ claims about the same project.
She says that this shows a ‘not harassment’ attitude that the Fed -Baas has previously shown.
Pulte wants the congress to intervene and check whether Powell has violated rules. He says that these are not only wasteful expenses, it shows “bad behavior” that could be a reason to remove Powell from his work.
Senator Cynthia Lummis agrees. She said that Powell gave wrong facts about the building when he was asked. She says that this shows that the Fed boss does not give money, wise to use money.
Trump vs. Powell – old tension
This is not the first time that Powell has been in hot water. For months, former President Donald Trump and his allies have beaten Powell because they do not lower the interest rates quickly enough.
They claim that high rates make borrowing expensive and harm the housing market and economy.
Trump once even looked at the dismissal of Powell, but the Supreme Court intervened and protected the task of the FED chair.
For now, Powell has not said much. He still wants to keep the rates stable to combat inflation before making cuts. But the push of Pulte could put more pressure on him.