Fed auditor finds no wrongdoing in billion-dollar building renovation

New York. The internal auditor of the US Federal Reserve found no evidence of criminal or administrative misconduct in the increase in the cost of a building renovation criticized by US President Donald Trump. The inspector general said on Wednesday that there was no reason to involve law enforcement authorities.

“At no time during our review did we find sufficient reasons to believe that there was a violation of federal criminal law,” said the approximately 120-page report published on Wednesday.

However, he identified significant deficiencies in project monitoring. The explosion in costs associated with the renovation of the historic Fed building in Washington was an opportunity for Trump to attack then-Fed Chairman Jerome Powell. This was seen as an attempt to force Powell out of office in order to gain more influence over monetary policy. The central bankers are appointed to the Board of Governors for a 14-year term. If the post becomes vacant, the president can appoint a successor, who must be confirmed by the Senate.

The cost of the project now amounts to around $2.4 billion, which is around a billion dollars more than the original plan. In 2020, costs were still expected to be $1.3 billion.