Democratic Sen. Elizabeth Warren of Massachusetts participates in her Senate Armed Services Committee confirmation hearing on Thursday, January 15, 2026 in Washington, DC.
Aaron Schwartz | Bloomberg | Getty Images
Democrats on the Senate Banking Committee have asked Chairman Tim Scott to delay the nomination of Kevin Warsh to head the Federal Reserve until a series of investigations into central bank Chairman Jerome Powell and Governor Lisa Cook are completed.
The Justice Department is investigating Mr. Powell’s possible criminal conduct in connection with cost overruns for renovations to the Federal Reserve’s headquarters. Both companies are separately investigating Mr. Cook, who President Donald Trump tried to fire over mortgage fraud charges. President Trump last week nominated Warsh to replace Powell when his term expires in May.
Democratic resistance makes it almost certain that one Republican senator will be able to maintain Mr. Warsh’s confirmation until the investigation is complete. The Banking Committee is made up of 13 Republicans and 11 Democrats, and if one Republican leaves the party over a nomination, the committee, along with all Democrats, would be deadlocked, preventing the nomination from reaching the floor.
“We demand that Mr. Warsh’s nomination process be delayed until the nominal criminal investigation involving Chairman Powell and Governor Cook is concluded,” Democratic senators led by Sen. Elizabeth Warren (D-Mass.) wrote.
“The administration’s apparent effort to seize control of the Federal Reserve through criminal prosecution is dangerous and unprecedented,” the letter said. “It would be absurd on its face to allow President Trump to handpick the next Fed chair while the Department of Justice is actively pursuing criminal investigations of not one, but two sitting Fed directors.”
The committee’s 11 Democrats alone are not enough to block Mr. Warsh’s nomination to the Banking Committee; he would need to block his nomination from the Banking Committee. But it has the support of Sen. Thom Tillis, RN.C., a member of the Banking Committee, who has vowed to block Fed nominees until the investigation is complete.
“My position remains unchanged. I will oppose confirmation of any Federal Reserve nominee, including the chairman position, until the Department of Justice’s investigation into Chairman Powell is fully and transparently resolved,” Tillis said in a statement after Warsh’s nomination was announced.
