Former US Federal Reserve President Kevin Warsh attends the Spring Meetings of the International Monetary Fund (IMF) and World Bank at IMF Headquarters in Washington, DC, USA, on Friday, April 25, 2025.
Tierney L. Cross | Bloomberg | Getty Images
The Senate Banking Committee will hold a hearing on April 16 to nominate Kevin Warsh to be the next Fed chairman, a person familiar with the matter told CNBC.
Warsh’s nomination is moving forward even as a separate criminal investigation into the Fed continues, creating a potential conflict between two parallel processes initiated by the Trump administration.
Sen. Thom Tillis (R-N.C.), a member of the Banking Committee, said he would not vote for Warsh’s confirmation until the investigation is resolved. But President Donald Trump is eager to confirm Warsh.
Mr. Tillis’ opposition means Mr. Trump cannot do both. But by moving forward with the hearing, he intends to do so anyway.
The commission has not yet released a schedule for public hearings. Spokespeople for Mr. Warsh and the Senate Banking Committee declined to comment.
Politico earlier reported that the committee had scheduled a public hearing.
The criminal investigation is investigating current Federal Reserve Chairman Jerome Powell for allegedly lying to Congress about the status of expensive renovations to the Fed’s offices. Mr. Powell accused the investigation of being an excuse to pressure Trump to lower interest rates at his request.
Congress ordered the Fed to set interest rates independently of political considerations. Central banks that act independently are generally better at fighting inflation. As energy costs rise due to the Iran war, there is growing concern in the United States about the risk of prices accelerating again.
A federal judge sided with Powell on this issue. Judge James Boasberg of the U.S. District Court for the District of Columbia on Friday denied the government’s request to reconsider his decision to quash the Fed subpoena. This means that no progress has been made on the subpoena and the status of the investigation is unclear.
A spokeswoman for U.S. Attorney Jeanine Pirro for the District of Columbia said Saturday: “We will absolutely appeal the law enforcement agency’s interference with grand jury access.”
Tillis’ office did not immediately respond to a request for comment over the weekend.
Mr. Tillis praised Mr. Warsh’s qualifications, but said he would not lift the blockade until concerns about the Fed’s independence were resolved.
Sen. Elizabeth Warren (D-Mass.) sent a critical letter to Warsh in March, predicting he would become a “rubber stamp for President Trump’s Wall Street First agenda” and accusing him of “not learning from your mistakes” during his previous stint at the central bank.
Warsh had previously declined to comment on the letter. Federal candidates rarely speak to the public before their hearings.
Meanwhile, other changes are underway at the Justice Department that could give prosecutors an opportunity to focus more on the Powell case. President Trump on Thursday fired Attorney General Pam Bondi and temporarily appointed Todd Blanche as acting attorney general. He served as Trump’s defense attorney before joining the administration.
The administration has said it is up to the Justice Department to decide whether to investigate Powell. However, President Trump has repeatedly expressed support for the investigation.
President Trump said on March 19 that “there is a crime” related to the Federal Reserve’s construction spending.
If so, the government has not proven it to a judge.
“The government’s fundamental problem is that it has not presented any evidence of wrongdoing,” Boasberg said in Friday’s ruling.
