Treasury Secretary Bessent not happy about investigation into Powell, conveyed concerns to Trump: Sources
Scott Bessent, US treasury secretary, during an Economic Club of Minnesota event in Golden Valley, Minnesota, US, on Thursday, Jan. 8, 2026. Bessent called for the Federal Reserve to continue cutting interest rates, extending his pressure campaign on US monetary policymakers. Photographer: Ben Brewer/Bloomberg via Getty Images
(WASHINGTON) — Treasury Secretary Scott Bessent is not happy with the Justice Department’s criminal investigation into Federal Reserve Chairman Jerome Powell, multiple sources told ABC News, warning it creates an unnecessary distraction.
Bessent conveyed those concerns directly to President Donald Trump in a call on Sunday, sources said.
Sources added Bessent was not advocating for Powell or questioning the investigation when he spoke to the president, but he did make clear his concerns.
Axios was the first to report the call. The White House has not responded to a request for comment.
When ABC News reached out for comment about the Axios report, a Treasury Department spokesperson said, “There is zero daylight between Secretary Bessent and President Trump, and the ‘sources’ in this story do not speak for the Secretary.”
Powell announced the Justice Department probe in a rare video message on Sunday night. The news sparked backlash from former Federal Reserve and Treasury officials as well as current members of Congress, including several Republicans who typically support the administration’s actions.
The investigation is related to Powell’s testimony last June about the multiyear renovation of the central bank’s buildings in Washington. But Trump has made Powell a frequent target of his attacks and push to cut interest rates, and Powell said he believes the probe is politically motivated.
White House press secretary Karoline Leavitt on Monday said Trump has “every right” to criticize Powell’s leadership but said he didn’t direct the Justice Department to investigate.
This is a developing story. Please check back for updates.
Former Special Counsel Jack Smith (C) arrives to testify during a closed-door deposition before the House Judiciary Committee in the Rayburn House Office Building on Capitol Hill on December 17, 2025 in Washington, DC. (Alex Wong/Getty Images)
(WASHINGTON) — Former special counsel Jack Smith, who charged President Donald Trump with crimes in Florida and Washington, D.C., is set to testify in public before the House Judiciary Committee on Thursday.
Smith was tasked with investigating Trump’s alleged interference in the 2020 election and alleged mishandling of classified documents — and his alleged refusal to turn them back over to the government.
Smith asked the judge overseeing the election interference case to dismiss it after Trump’s election in 2024 due to a long-standing Justice Department policy that bars the prosecution of a sitting president. And he filed a motion to dismiss the appeal of the classified documents case for the same reason.
Trump has denied wrongdoing in both cases.
This will mark Smith’s second time before the committee — he appeared behind closed doors last month. It is customary for former special counsels to appear before Congress publicly to discuss their findings.
Chairman Jim Jordan told ABC News that the committee always intended to have Smith appear in public.
“He’ll be there in a public setting so the country can see that this was no different than all the other lawfare weaponization of government going after President Trump,” Jordan said. “Jack Smith is sort of the culmination of that whole effort to stop President Trump from getting to the White House. But thank goodness it didn’t work and the American people saw through it.”
Smith, according to his team, is voluntarily appearing before the committee and will utilize his experience as a nonpartisan prosecutor.
He will also say that the facts of Trump’s cases would lead to a prosecution of anyone, whether they were a Democrat or Republican, his team said.
In his closed-door testimony, Smith defended his decision to twice bring charges against Trump — telling lawmakers his team “had proof beyond reasonable doubt in both cases” that Trump was guilty of the charges in the 2020 election interference and classified documents cases, according to a transcript of the hearing.
And Smith fervently denied that there was any political influence behind his decision — contrary to allegations of Republicans on the Judiciary Committee, who requested the testimony — such as pressure from then-President Joe Biden or then-Attorney General Merrick Garland, the transcripts shows.
“No,” Smith responded continuously to those allegations, according to the transcript.
Just over an hour before his testimony on Dec. 17, the Department of Justice sent an email to Smith’s lawyers preventing him from discussing the classified documents case, according to the 255-page transcript of the deposition, released last year by the Judiciary Committee along with a video of the hearing.
This meant Smith was unable to answer most questions on that case and the deposition — intended to ask questions about the alleged weaponization of the DOJ against Trump and his allies — mainly focused on the 2020 election case instead.
His team also said Smith will comply with Judge Aileen Cannon’s order that blocked the release of the second volume of his report.
Smith’s counsel said the DOJ also refused to send a lawyer to advise Smith on whether his statements were in line with their determination of what he could or could not say regarding the cases, according to the deposition. Smith did say, however, that Trump “tried to obstruct justice” in the classified documents investigation “to conceal his continued retention of those documents.
White House Border Czar Tom Homan speaks to reporters outside the West Wing of the White House on January 14, 2026 in Washington, DC. Alex Wong/Getty Images
(WASHINGTON) — President Donald Trump announced Monday that he is dispatching his border czar, Tom Homan, to Minnesota amid outrage over the fatal shooting of Alex Pretti by a federal agent.
“I am sending Tom Homan to Minnesota tonight. He has not been involved in that area, but knows and likes many of the people there. Tom is tough but fair, and will report directly to me,” Trump wrote in a social media post.
Trump, in another social media post, wrote Minnesota Gov. Tim Walz, a Democrat, called him to “request to work together with respect to Minnesota. It was a very good call, and we, actually, seemed to be on a similar wavelength.”
Trump said that he would have Homan call Walz and that Walz was “happy” that Homan was going to Minnesota.
White House press secretary Karoline Leavitt, who will hold a press briefing on Monday afternoon, said Homan “will be managing ICE Operations on the ground in Minnesota to continue arresting the worst of the worst criminal illegal aliens.”
The development comes after Trump, in an interview with the Wall Street Journal on Sunday, notably declined to say whether he thought the agent who killed Pretti acted appropriately.
“We’re looking, we’re reviewing everything and will come out with a determination,” Trump told the WSJ.
By putting Homan in charge of ICE operations in Minneapolis, Trump is bypassing the normal chain of command — where Homeland Security Secretary Kristi Noem and Border Patrol Commander Greg Bovino have been overseeing ICE operations. Trump said Homan would be reporting directly to him.
Trump’s less definitive comments on the shooting were in sharp contrast with those of Noem, Bovino and FBI Director Kash Patel, who have defended the agents’ actions.
Trump administration officials said Pretti “brandished” a gun and multiple magazines with the intent to inflict harm on officers — a “massacre” Bovino claimed. Noem and others have labeled Pretti a “domestic terrorist” without citing any evidence.
State and local officials said Pretti was lawfully carrying a gun, with a concealed carry permit, and video reviewed and verified by ABC News does not appear to show that Pretti drew his gun on the agents and was holding up a cell phone — not a gun — to record agents during the incident.
Trump, like Noem, Bovino and Patel, criticized Pretti for carrying a weapon at a protest.
“I don’t like any shooting. I don’t like it,” Trump told the WSJ. “But I don’t like it when somebody goes into a protest and he’s got a very powerful, fully loaded gun with two magazines loaded up with bullets also. That doesn’t play good either.”
The administration is facing criticism from both Democrats and some Republicans for blaming the victim of the shooting, with some Republican lawmakers calling for an independent investigation into what happened. Republican Sen. Bill Cassidy said the credibility of ICE and DHS was “at stake” and there “must be a full joint federal and state investigation.” Moderate Democratic Sen. Jackie Rosen has called for Noem’s impeachment. ABC News has reached out to DHS and the White House for comment on impeachment calls against Noem.
The National Rifle Association issued a rare statement saying “responsible public voices should be awaiting a full investigation, not making generalizations and demonizing law-abiding citizens.”
Noem, responding to Trump’s announcement that Homan will soon be in Minnesota, said it was “good news for peace, safety, and accountability in Minneapolis.”
“I have worked closely with Tom over the last year and he has been a major asset to our team — his experience and insight will help us in our wide-scale fraud investigations, which have robbed Americans, and will help us to remove even more public safety threats and violent criminal illegal aliens off the of streets of Minneapolis. We continue to call on the leadership in Minnesota to allow for state and local partnership in our public safety mission,” Noem posted on X.
Noem will “continue to lead the Department of Homeland Security with the full trust and confidence of the President,” according to a White House official.
“Tom Homan is uniquely positioned to drop everything and focus solely on Minnesota to solve the problems that have been created by a lack of cooperation from state and local officials,” the White House official added.
Trump, in his interview with the WSJ, also notably suggested the possibility of pulling federal agents out of Minnesota.
“At some point we will leave,” Trump said, though he didn’t provide a specific timeline. “We’ve done, they’ve done a phenomenal job.”
Rep. Tony Gonzales, R-Texas, chairman of the Congressional Hispanic Conference, participates in the group’s press conference in the U.S. Capitol on Tuesday, March 25, 2025. Bill Clark/CQ-Roll Call, Inc via Getty Images
(UVALDE, Texas) — Texas Republican Rep. Tony Gonzales is denying allegations he engaged in an extramarital affair with a congressional aide who died by suicide last fall — calling on the Uvalde police department to release its report on her death despite objections from her family.
Regina Santos-Aviles, 35, died on Sept. 14 after she doused herself with an accelerant and set herself ablaze at her home on Geraldine Avenue in Uvalde, Texas, Bexar County officials determined.
Santos-Aviles served as regional district director for Gonzales, who lost an endorsement this week from the San Antonio Express-News following its reporting of an alleged affair between Gonzales and Santos-Aviles.
The Express-News reported that it obtained texts between a former Gonzales staffer and Santos-Aviles, in which Santos-Aviles claimed she engaged in an affair with Gonzales.
Gonzales has repeatedly denied the affair with Santos-Aviles.
In a statement to ABC News, the Gonzales campaign did not comment on the reported text messages, and blamed his rival in the GOP primary, Brandon Herrera, for planting allegations in the press.
“Ms. Santos-Aviles was a kind soul who devoted her life to making the community a better place,” Gonzales told ABC News in a statement. “Her efforts led to improvements in school safety, healthcare, and rural water like never before. It’s shameful that Brandon Herrera is using a disgruntled former staffer to smear her memory and score political points, conveniently pushing this out the very day early voting started. I am not going to engage in these personal smears and instead will remain focused on helping President Trump secure the border and improve the lives of all Texans.”
Gonzales faces a primary fight with Herrera, a conservative influencer who he defeated by less than 400 votes in 2024. Herrera called on Gonzales to resign from office via a post on X on Wednesday.
The Texas Attorney General’s Office ruled that 9-1-1 calls, video, and police reports must remained sealed, though Gonzales is now calling on the Uvalde Police Department to release its report.
On Thursday, Gonzales posted on X suggesting an attorney representing the Santos-Aviles family was seeking an out-of-court financial settlement, which Gonzales described as “blackmail.”
“I WILL NOT BE BLACKMAILED. Disgusting to see people profit politically and financially off a tragic death. The public should IMMEDIATELY have full access to the Uvalde Police report. I will keep fighting for #TX23,” Gonzales said in the post.
Santos-Aviles’ widower, Adrian Aviles, denied Gonzales’ charge of blackmail while expressing his intent to block details of the incident from becoming unsealed.
“We have never blackmailed anyone,” Adrian Aviles wrote in a statement on X. “What we’ve seen instead is a consistent pattern of evasion, refusal to take accountability, and outright lies to protect your image. You’re a classic case of a two-faced politician who says whatever is convenient to save face. We chose to hold back the full police report and body cam footage for one reason only it shows my wife suffering severe burns in horrific detail. I will not allow that graphic material to become accessible to our 8 year old son in the future when he is old enough to search for or come across it.”
The post continued: “Nothing in that police report protects you, that decision is about protecting our child’s well-being, not concealing anything improper. Your actions have been disgraceful, and you continue to mislead your constituents with falsehoods. You may avoid responsibility here on earth, but one day you will answer to a higher authority. Today, though, you still answer to the people you represent–people who deserve the truth, not more deception.”
Reached by ABC News, attorney Robert Barrera, who represents Adrian Aviles, said he is in possession of “substantial evidence” from Santos-Aviles’ phone “supporting the affair.”
Barrera added that Gonzales refused any out of court settlement and is now “attempting in an act of desperation to become a victim of his own conduct when it has now come to light that he has committed adultery with a staffer.”
Barrera declined to release the full letter sent to Gonzales’ lawyers.
Gonzales, 44, is married to his wife Angel and the couple have six children together.
At the time of the incident, the three-term lawmaker provided a statement to San Antonio ABC station KSAT reacting to “the recent news” of Santos-Aviles’ death:
“We are all heart-stricken by the recent news. Regina devoted her profession toward making a difference in her community. She will always be remembered for her passion towards Uvalde and helping the community become a better place,” Gonzales stated.
Gonzales has already won President Donald Trump’s endorsement for reelection, as well as several law enforcement groups from Texas.