On March 10, 2026, Senator Thom Tillis, a Republican from North Carolina, reaffirmed his blockade against the confirmation of Federal Reserve chair nominee Kevin Warsh, stating that nothing Warsh could say would persuade him to end his opposition while a criminal investigation into current Fed Chair Jerome Powell remains unresolved [1]. Tillis emphasized that his stance is not about individuals but about the principle of Federal Reserve independence, expressing concern over the potential market reaction if the perception arises that the Fed chair serves at the pleasure of the President [1].
Powell, who denies any wrongdoing, is under investigation by the U.S. Attorney's Office in Washington in connection with a multi-billion-dollar renovation of the Fed's headquarters and his testimony to the Senate Banking Committee. Tillis noted that seven members of the Banking Committee were witnesses at the alleged scene and asserted that no crime was committed, questioning why the nomination process is being delayed [1].
Additionally, Tillis referenced the unresolved Supreme Court case regarding President Trump's authority to fire Fed Governor Lisa Cook, who is also facing allegations of mortgage fraud brought by Bill Pulte, head of the Federal Housing Finance Agency. Cook denies wrongdoing, and her defenders claim she is being targeted for opposing Trump's demands on interest rates, similar to Powell [1]. Tillis criticized the effort to fire Cook as "sophomoric" and suggested that whoever initiated it should be fired as well [1].
Despite expressing that he is "already impressed" with Warsh's skills and work, Tillis reiterated his frustration at being unable to vote on the nomination until the investigations and legal issues are resolved [1].
CONCLUSION
Senator Tillis's blockade of Kevin Warsh's Fed chair nomination underscores ongoing concerns about Federal Reserve independence amid unresolved investigations and legal disputes involving current Fed officials. The situation introduces uncertainty into the Fed's leadership transition, potentially impacting market confidence until these issues are resolved.