Jerome Powell’s announcement that the Justice Department is investigating him for potential perjury charges is getting pushback from former Federal Reserve officials and members of Congress on both sides of the aisle, who are accusing President Trump of a political attack against the Federal Reserve chairman.

The investigation centers on a massive renovation project at the central bank’s Washington headquarters and whether Mr. Powell lied about the costs during testimony in front of the Senate Banking Committee.

However, a former Federal Reserve chairwoman, Janet Yellen, said the investigation is “extremely chilling” in that it is a threat to the central bank’s independence. 

“The odds that he would have lied are zero so I do believe they’re going after him because they want his seat and they want him gone,” Ms. Yellen told CNBC on Monday.

She signed a joint statement along with several other former Fed chairs, Treasury secretaries, and top economists to back Mr. Powell, saying the investigation is an “unprecedented” attempt to undermine the Fed.

“This is how monetary policy is made in emerging markets with weak institutions, with highly negative consequences for inflation and the functioning of their economies more broadly,” the statement said. “It has no place in the United States whose greatest strength is the rule of law, which is at the foundation of our economic success.”

Several of the signatories of the statement served under Republican administrations, including former Fed chairmen Ben Bernanke and Alan Greenspan, along with President George W. Bush’s treasury secretary, Henry Paulson.

“The Federal Reserve’s independence and the public’s perception of that independence are critical for economic performance, including achieving the goals Congress has set for the Federal Reserve of stable prices, maximum employment, and moderate long-term interest rates,” the statement added.

Mr. Powell released a video on Sunday evening stating that the Justice Department had served the Federal Reserve with grand jury subpoenas, threatening a criminal indictment related to his testimony before the Senate Banking Committee last June.

“I have deep respect for the rule of law and for accountability in our democracy. No one — certainly not the chair of the Federal Reserve — is above the law,” Mr. Powell said in the video. “But this unprecedented action should be seen in the broader context of the administration’s threats and ongoing pressure.”

Mr. Powell claims the threat of criminal charges is payback for the board not listening to the president’s call to rapidly lower interest rates.

Mr. Trump says he had no advance knowledge of the investigation. “I don’t know anything about it, but he’s certainly not very good at the Fed, and he’s not very good at building buildings,” Mr. Trump told NBC News on Sunday.

Several Republican lawmakers are also pushing back against the administration. Senator Thom Tillis, a Republican member of the Banking Committee, says he will oppose confirmation of any nominee for the Fed until the matter is resolved.

“If there were any remaining doubt whether advisers within the Trump Administration are actively pushing to end the independence of the Federal Reserve, there should now be none,” Mr. Tillis said in a statement. “It is now the independence and credibility of the Department of Justice that are in question.”

Senator Lisa Murkowski, who agreed with Mr. Tillis’s decision to block nominees until a resolution is reached, says she spoke with Mr. Powell on Monday morning.  “It’s clear the administration’s investigation is nothing more than an attempt at coercion,” Ms. Murkowski said in an X post. “If the Department of Justice believes an investigation into Chair Powell is warranted based on project cost overruns — which are not unusual — then Congress needs to investigate the Department of Justice.”

“The stakes are too high to look the other way,” Ms. Murkowski added.

Senator Elizabeth Warren, the highest ranking Democrat on the Banking Committee, claims President Trump wants to install “another sock puppet” to the Fed board.

“Trump is abusing the authorities of the Department of Justice like a wannabe dictator so the Fed serves his interests, along with his billionaire friends,” Ms. Warren said in a statement. “This Committee and the Senate should not move forward with any Trump nominee for the Fed, including Fed Chair.”

“This is the kind of bullying that we’ve all come to expect from Donald Trump and his cronies,” added Senator Chuck Schumer in an X post. “Anyone who is independent and doesn’t just fall in line behind Trump gets investigated.”

Mr. Trump has repeatedly tried to pressure the Federal Reserve to lower interest rates, saying it would supercharge the economy. He has also sought to take greater control of the board by attempting to fire a governor at the central bank, Lisa Cook, accusing her of committing mortgage fraud. Ms. Cook has never been charged with a crime and she is fighting her firing. The Supreme Court has allowed her to stay in her position ahead of a hearing later this month on whether the president has the authority to fire her.

Mr. Powell’s term as chairman ends in May and Mr. Trump is expected to announce his pick to replace him soon. One person who is considered a frontrunner, White House economic adviser Kevin Hassett, says he doesn’t know if Mr. Trump approved of the investigation.

“I’ve not talked to the Justice Department ahead of them contacting Jay and so I don’t really have anything to add, other than I respect the independence of the Fed and the independence of the Justice Department, and we’ll see how it goes,” Hassett said during a CNBC interview on Monday. Mr. Hassett later told reporters he would support an investigation if he were the Fed chairman.