Treasury Secretary Scott Bessent on Thursday refused to rule out the possibility of a criminal investigation of Kevin Warsh, President Donald Trump’s nominee for Federal Reserve chair, if Warsh ends up refusing to cut interest rates.
Sen. Elizabeth Warren, the top Democrat on the Senate Banking, Housing and Urban Affairs Committee, questioned Bessent about a joke Trump made over the weekend about suing Warsh if he does not reduce rates to the president’s liking, according to the Wall Street Journal.
“I think it was a joke, but just in case, this should be an easy one, Mr. Secretary: can you commit right here and now that Trump’s Fed nominee Kevin Warsh will not be sued, will not be investigated by the Department of Justice if he doesn’t cut interest rates exactly the way that Donald Trump wants?” Warren asked.
“That is up to the president,” Bessent said, as the questioning devolved into cross talk.
U.S. presidents typically leave interest rate decisions up to the Fed, leaving a metaphorical firewall between the independent board and the White House.
