“Kevin Warsh is a qualified nominee with a deep understanding of monetary policy. However, the Department of Justice continues to pursue a criminal investigation into Chairman Jerome Powell based on committee testimony that no reasonable person could construe as possessing criminal intent,” Tillis said. “Protecting the independence of the Federal Reserve from political interference or legal intimidation is non-negotiable.”

“My position has not changed: I will oppose the confirmation of any Federal Reserve nominee, including for the position of Chairman, until the DOJ’s inquiry into Chairman Powell is fully and transparently resolved,” he continued.

Trump revealed early Friday morning that he is nominating former Federal Reserve governor Kevin Warsh as the next chairman. Tillis’s reluctance to back Warsh is critical, as the lawmaker sits on the committee that the nomination must pass through before it can advance to the Senate floor for a vote. Without Tillis’s support, the Senate Banking, Housing and Urban Affairs Committee vote would tank, halting the process. 

When asked on Thursday if the Senate could confirm a Fed pick without Tillis, Senate Majority Leader John Thune (R-SD) said, “probably not.”

To get a nominee to the floor without approval from the banking committee, which it wouldn’t do if Tillis votes no, they would need 60 votes in the Senate. That’s not likely, given that there are only 53 Republican Senators and Democrats aren’t likely to vote with them.

“It is difficult to trust that any Chair of the Federal Reserve selected by this president will be able to act with the independence required of the position, knowing that this administration will levy charges against any leader who makes interest rate decisions based on facts and the needs of our economy rather than Trump’s personal preferences,” Sen. Mark Warner (D-VA) said in a statement following Warsh’s nomination.

The DOJ launched a criminal investigation into Powell in early January, just months before his term as chairman expires in May.

DOJ INVESTIGATION COULD PUSH POWELL TO HOLD ON TO HIS SEAT AT FED

The investigation is related to concerns that he lied or misrepresented the taxpayer-funded, multibillion-dollar renovation of the Fed headquarters building during congressional testimony last June. The DOJ has subpoenaed ​​Powell for information on the central bank’s headquarters renovation as part of the inquiry. The investigation has attracted bipartisan criticism as Powell maintains his innocence and has suggested that it is tied to his clashing with Trump over interest rates. 

“This new threat is not about my testimony last June or about the renovation of the Federal Reserve buildings,” Powell said in a rare video message earlier this month. “It is not about Congress’s oversight role; the Fed, through testimony and other public disclosures, made every effort to keep Congress informed about the renovation project. Those are pretexts. The threat of criminal charges is a consequence of 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.”

David Sivak contributed to this report.