2:42Department of the Treasury Scott Bessent speaks before President Donald Trump arrives at the Mount Airy Casino Resort in Mount Pocono, Pa., Dec. 9, 2025.Matt Rourke/AP
Treasury Secretary Scott Bessent has expressed dissatisfaction regarding the Justice Department’s criminal inquiry into Federal Reserve Chairman Jerome Powell, according to multiple sources who informed ABC News, indicating it presents an unwarranted distraction.
Bessent articulated these worries directly to President Donald Trump during a phone call on Sunday, sources revealed.
Sources further indicated that while Bessent was not defending Powell or questioning the inquiry during his conversation with the president, he did communicate his apprehensions.
Department of the Treasury Scott Bessent speaks before President Donald Trump arrives at the Mount Airy Casino Resort in Mount Pocono, Pa., Dec. 9, 2025.Matt Rourke/AP
Axios was the first to disclose the details of the call. The White House has not yet replied to a request for comment.
In response to ABC News’ inquiry regarding the Axios report, a spokesperson from the Treasury Department stated, "There is no divergence between Secretary Bessent and President Trump, and the ‘sources’ in this narrative do not represent the Secretary’s views."
Powell disclosed the Justice Department investigation in an unusual video message on Sunday evening. The announcement triggered criticism from former Federal Reserve and Treasury officials, as well as current members of Congress, including several Republicans who typically back the administration’s initiatives.
Senate Majority Leader John Thune remarked on Tuesday that the Federal Reserve "is not an entity to be taken lightly" due to its "significant influence" on global markets, asserting that the administration should inform the Senate about the investigation "at some point."
The inquiry pertains to Powell’s testimony last June concerning the extensive renovation of the central bank’s facilities in Washington. However, Trump has frequently targeted Powell in his criticisms and push for interest rate reductions, with Powell suggesting that he believes the investigation is politically motivated.
White House press secretary Karoline Leavitt stated on Monday that Trump has "every right" to critique Powell’s leadership but clarified that he did not instruct the Justice Department to initiate an investigation.
On Tuesday, Trump shared his thoughts on Powell while departing from the White House en route to Michigan for an economic address.
ABC News Chief White House Correspondent Mary Bruce queried the president, "An increasing number of Republicans are expressing concerns regarding this investigation. They argue that the inquiry into Jerome Powell will erode confidence in the Fed. Do you support this investigation?"
"He's billions of dollars over budget. So, either he's incompetent or he's crooked. I don't know what he is. But certainly, he doesn't do a very good job," Trump stated.
Sourse: abcnews.go.com