Powell Testimony to Lawmakers Is Focus of High-Stakes DOJ Probe

Jerome Powell was clear: No beehives or terraced roof gardens. No new fountains or fancy marble. No special elevators or VIP dining rooms.

That is what the Federal Reserve chairman told Congress last June. Powell, during a hearing on monetary policy, was pressed by two Republican senators about cost overruns stemming from the ongoing renovations of two historic buildings, including the 88-year-old Marriner S. Eccles Building, the Fed’s pink-granite headquarters in Washington.

Now, Powell’s words are at the center of an extraordinary criminal investigation into the Fed chair. His critics have suggested that he may have lied during his ...