Speaking at CNBC’s Squawk Box on Friday, February 13, Bessent said he believes Republicans on the Senate Banking Committee “are going to proceed” with a nomination hearing this week.
“I think it’s important to get the hearings underway, and I think we have an agreement to do that,” he said.
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The nomination faces resistance from Senator Thom Tillis, who has vowed to block Warsh’s confirmation unless the Department of Justice drops its probe into Powell. The investigation, led by US Attorney for the District of Columbia Jeanine Pirro, relates to Powell’s prior testimony on cost overruns tied to the renovation of the Federal Reserve’s headquarters.
Trump has said the probe should continue through to its conclusion, potentially creating an impasse. Powell, whom Trump appointed during his first term, has resisted calls from the administration to raise interest rates more aggressively.
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Tillis has also opposed a proposal to shift the Powell investigation from the Department of Justice to the Senate Banking Committee. Addressing that suggestion, Bessent told CNBC International that the White House “has no influence on what the US Attorney for D.C. does.”
“What I was proposing was that the Senate Banking Committee also investigate” the Powell matter, he said.
“We’ll see where the investigation goes with Jeanine Pirro’s office. There were subpoenas issued. But that doesn’t have to mean that there are charges,” Bessent added.
“They reached out to the Fed in December via email, didn’t get responses, and then issued subpoenas. So we’ll see what the state of that is.”
After private discussions with Senate Republicans earlier this week, Bessent reiterated to CNBC’s Squawk Box, “my understanding is that we are going to proceed with the hearing.”
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