Some Republicans raise concerns over DOJ’s investigation into the Central Bank

WASHINGTON (NBC, KYMA) - As Federal Reserve Chairman Jerome Powell is slamming the Justice Department's (DOJ) investigation into the Central Bank, some Republicans are also raising concerns.

Several GOP lawmakers saying this inquiry could undermine the Fed's independence, but the Trump Administration also has its defenders who say to let the investigation play out.

Political pushback over the DOJ's investigation into Chairman Powell Tuesday morning, with a series of Republican lawmakers voicing concerns.

"I know Chairman Powell very well. I will be stunned. I will be shocked if he has done anything wrong," said Sen. John Kennedy (R-La.)

Powell himself announced the Federal Reserve had been subpoenaed.

He says tied to his congressional testimony in June about costly pre-planned renovations to the fed's headquarters in D.C. that shot from $1.9 billion to $2.5 billion, though not taxpayer money.

President Donald Trump has slammed the overruns while also repeatedly pressuring Powell to lower interest rates.

"Well, I'd love him to lower interest rates," President Trump spoke.

The chairman called the pressure the true source of the criminal inquiry with the Federal Reserve.

"Setting interest rates based on our best assessment of what will serve the public, rather than following the preferences of the President," Powell remarked.

Now, in a joint statement, all living former fed chairs and several Treasury secretaries warning the DOJ inquiry threatens the federal reserves's independence and risks hurting the U.S. economy and inflation.

The White House denies Trump sought the investigation, and the president told NBC News he would not try to pressure Powell that way adding, "What should pressure him is the fact that rates are far too high. That's the only pressure he's got."

The U.S. Attorney for Washington, D.C., Jeanine Pirro, posted that her office contacted the federal reserve to discuss renovation cost overruns and Powell's testimony, but "were ignored, necessitating the use of legal process."

Three sources familiar with the investigation tell NBC News that Pirro's office launched the probe late last year, and did not contact main DOJ officials or the white house before issuing subpoenas.

Another source tells NBC News Treasury Secretary Scott Bessent voiced frustration with the investigation to Trump, and believes it's a distraction.