Epstein emails reveal behind-the-scenes talk of firing Fed chair Powell
WASHINGTON, DC: Buried within roughly 3 million pages of newly released Justice Department records is a short email exchange showing disgraced financier Jeffrey Epstein discussing the possible removal of Federal Reserve Chair Jerome Powell with then–Trump adviser Steve Bannon.
The 2018 messages, sent under the subject line "Re: Trump has discussed firing Fed chief after latest interest rate hike: report," capture Epstein and Bannon weighing internal administration shake-ups. In the exchange, Epstein voiced support for removing Powell, whom President Donald Trump had appointed just a year earlier.
Epstein derided Powell as ‘too old’
During the 2018 correspondence, Epstein was direct about his view that Powell should be replaced.
"Should have been done months ago too old!!!!" Epstein wrote.
The emails were sent two days after, Defense Secretary James Mattis resigned, a move that dominated Washington at the time. Epstein appeared to downplay that development, writing, "Getting rid of Powell much more important than Syria/Mattis".
He also suggested additional departures within the White House, writing that "Jared and Ivanka need to go," referring to Trump’s daughter and son-in-law. When Bannon asked whether Treasury Secretary Steve Mnuchin should be removed as well, Epstein responded, "No, Mnuchin is ok".
Trump moves to replace Powell
The resurfaced emails come as the Federal Reserve leadership faces renewed scrutiny. Trump has recently advanced plans to replace Powell, nominating former Fed governor Kevin Warsh to take over when Powell’s chair term ends in May 2026.
The President has repeatedly criticized Powell over interest rate policy, arguing that the Fed has not acted quickly enough to cut rates. Trump has publicly called Powell "Mr. Too Late" and described Warsh as a strong choice who could become one of the "GREAT Fed Chairmen".
While Powell’s term as chair expires next year, his position as a governor runs through 2028, leaving open questions about whether he would remain on the board if replaced as chair.
Criminal investigation targets Fed chair
Separately, the Justice Department has opened a criminal investigation involving Powell. The probe centers on allegations that he provided misleading testimony to Congress related to a $2.5 billion renovation project at the Federal Reserve’s headquarters.
Powell has rejected the claims, describing the investigation as politically motivated and defending the Fed’s independence. He said interest rate decisions are based on economic conditions, not political pressure.
Trump has stated he has no "knowledge" of the DOJ’s investigation, even as he continues to criticize Powell’s leadership and the handling of the building project.