prosecutors

MIAMI — The Trump administration has quietly instructed federal prosecutors in Miami to avoid pursuing criminal investigations into Venezuela’s acting President Delcy Rodríguez, a longtime target of the U.S. Drug Enforcement Administration, according to current and former U.S. law enforcement officials, in the latest sign of warming relations between the White House and the oil-rich nation.

It’s unclear whether prosecutors had implicated Rodríguez in any crimes or whether investigators were moving toward an indictment. A Justice Department spokesperson said in an email “there was never an investigation into her to shut down.”

But DEA records obtained by the Associated Press earlier this year show she consistently surfaced on the radar of federal law enforcement dating to at least 2018, though she has never been criminally charged in the U.S. like several other senior Venezuelan officials.

The directive to pause scrutiny into Rodríguez was meant to avoid upsetting the administration’s efforts to stabilize Venezuela after the capture of her predecessor, Nicolás Maduro, among other reasons, a current official said. It was not clear whether the White House, which deferred comment to the Justice Department, was involved in the decision.

“Everybody has been told to stand down,” one of the former officials said.

The former officials, who had been briefed on the development, as well as the current official all spoke to the Associated Press on condition of anonymity because they were not authorized to publicly discuss internal deliberations.

Rodríguez, a U.S. attorney representing her and the Venezuelan Communications Ministry didn’t respond to requests for comment.

The move eases pressure on Rodriguez

Removing the threat of potential indictment, even temporarily, eases pressure on Rodríguez as the Trump administration seeks to work with the acting leader to stabilize Venezuela after Maduro’s ouster and open the country to U.S. investment.

President Trump praised Rodríguez as a “terrific person” shortly after the U.S. military took Maduro and his wife to New York to face federal narcotics charges. Both have pleaded not guilty.

In recent months, the U.S. has lifted sanctions against Rodríguez and recognized her as Venezuela’s sole head of state, allowing her to re-establish ties with western banks and more freely work with U.S. investors seeking to tap into the world’s largest petroleum reserves. As ties between the two governments have deepened, some have held out the Venezuelan playbook — characterized by oil blockades, indictments of top leaders and threats of military intervention — as a model to drive regime change from within as the U.S. pressures other longtime adversaries in Iran and Cuba.

Rodríguez and her brother, Jorge Rodríguez, the head of the National Assembly, were hit with U.S. sanctions during Trump’s first term for their role in undermining Venezuelan democracy and cementing Maduro’s authoritarian rule.

Rodríguez “is doing a great job,” Trump wrote on social media in early March. “The Oil is beginning to flow, and the professionalism and dedication between both Countries is a very nice thing to see!”

In recent months, Rodríguez has hosted ceremonies with a steady stream of American oilmen, some of them partaking in high-profile delegations led by U.S. Energy Secretary Chris Wright and Secretary of the Interior Doug Burgum.

Election talk deferred amid Trump’s praise

Missing in all the mutual backslapping is any talk of elections, even as Rodríguez last month blew through a 90-day limit set by Venezuela’s high court to fill Maduro’s position on a temporary basis.

“I don’t know,” she responded in English when a visiting U.S. journalist earlier this month shouted out a question about her time frame for holding elections. “Some time.”

Sen. Jeanne Shaheen of New Hampshire, the top Democrat on the Senate Foreign Relations Committee, has demanded the administration explain its favorable treatment of Rodríguez, calling her a “central figure in Nicolás Maduro’s repressive regime.”

“Sanctions have been lifted on Ms. Rodríguez without any indication that she has taken concrete and meaningful actions to restore democratic order,” Sheehan, joined by Sen. Elizabeth Warren of Massachusetts, wrote in a letter to Secretary of State Marco Rubio and Secretary of Treasury Scott Bessent last week.

Rick de la Torre, a former CIA chief of station in Caracas, said that the decision to shield Rodríguez fits well with the Trump administration’s foreign policy goals in Venezuela.

“She’s a lifelong Marxist and was a senior leader of one of the world’s most corrupt regimes but the U.S. is providing her with breathing space and carrots to lay the foundation for democracy and U.S. investment,” said de la Torre, the CEO of Tower Strategy, which advises companies on Venezuela.

“There’s a shelf life to her utility, however. At some point she will face justice,” he added.

Rodríguez has been on DEA’s radar since 2018

The DEA had amassed a detailed intelligence file on Rodríguez dating to at least 2018, and has received allegations about her ranging from drug trafficking to gold smuggling, the AP reported earlier this year. One confidential informant told the DEA in early 2021 that Rodríguez was using hotels in the Caribbean resort of Isla Margarita “as a front to launder money,” the records show.

Her name has surfaced in nearly a dozen DEA investigations — several of which remained ongoing as recently as this year — involving field offices from Paraguay and Ecuador to Phoenix and New York. She had even been linked to Maduro’s alleged bag man, Alex Saab, whom U.S. authorities first arrested in 2020 on money-laundering charges, the records show.

Rodríguez deported Saab this month as part of a purge of insider businessmen who are accused of having enriched themselves through corrupt dealings with Maduro.

It’s unclear in which Miami investigations Rodríguez’s name surfaced. Two of the former officials said Rodríguez has also come up in meetings with investigators in Tampa, Fla., tasked last year by former Atty. Gen. Pam Bondi with looking into financial crimes in Venezuela.

At the time, Rodríguez was serving as Maduro’s vice president. Justice Department policy requires the attorney general to personally approve the charging of any foreign head of state, who are normally immune from prosecution under international and U.S. law.

Halting high-profile criminal probes of foreign leaders

The pausing of the investigations into Rodríguez comes as the Trump administration has similarly tapped the brakes on ongoing federal investigations into another prominent Latin American leftist, Colombian President Gustavo Petro.

The DEA had also designated Petro a “priority target” over alleged ties to drug traffickers that had been probed for months by federal prosecutors. The New York Times reported in March that U.S. officials recently assured the Colombian government Petro does not face charges in those cases.

Duncan Levin, a former prosecutor who worked for the U.S. attorney’s office in Brooklyn, said it would be “deeply troubling” for law enforcement to be “told to stand down from a legitimate investigation for political or transactional reasons.”

“The White House cannot use criminal enforcement as a diplomatic light switch,” Levin told AP. “DOJ decisions are supposed to be based on law, evidence, policy and public safety — not on whether a foreign official is useful to the administration at a given moment.”

Goodman, Richer and Mustian write for the Associated Press. Richer reported from Washington and Mustian from New York. AP Writer Regina Garcia Cano in Mexico City contributed to this report.

WASHINGTON — Federal prosecutors made an unannounced visit this week to a construction site at Federal Reserve headquarters that is the focus of an investigation into a $2.5-billion renovation project, according to two people familiar with the visit.

Two prosecutors and an investigator from U.S. Atty. Jeanine Pirro’s office were turned away on Tuesday by a building contractor and referred to Fed attorneys, one of the people said. The two people familiar with the visit spoke on condition of anonymity because they weren’t authorized to publicly discuss an ongoing investigation.

The visit underscores that the Trump administration is not backing down from its investigation of the Fed and its chair, Jerome Powell, even though the probe has delayed the confirmation of a new chair nominated by President Trump. The investigation is focused on cost overruns and brief testimony about the project last summer by Powell. Trump confirmed in an interview that aired Wednesday on Fox Business that he wants to continue the probe.

Last month, during a closed-door hearing before a federal judge, a top deputy from Pirro’s office conceded that they hadn’t found any evidence of a crime in their investigation of the headquarters project.

Robert Hur, an attorney for the Federal Reserve board of governors, sent an email to Pirro’s prosecutors about their visit and their request for a “tour” to “check on progress” at the construction site. Hur’s email, which the Associated Press has viewed, noted that U.S. District Judge James Boasberg concluded that their interest in the Federal Reserve’s renovation project was “pretextual.”

“Should you wish to challenge that finding, the courts provide an avenue for you; it is not appropriate for you to try to circumvent it,” Hur wrote.

Republican Tillis is key vote

Sen. Thom Tillis, a North Carolina Republican who is a key member of the Senate Banking Committee, has vowed to vote against Kevin Warsh, Trump’s nominee to replace Powell as Fed chair, until the investigation is dropped. With the committee closely divided on partisan lines, Tillis’ opposition is enough to block Warsh.

The Banking panel said Tuesday that it will hold a hearing on Warsh’s nomination April 21. Powell’s term as Fed chair ends May 15, but Powell said last month he would remain as chair until a replacement is named.

Powell is serving a separate term as a member of the Fed’s governing board that lasts until January 2028. Chairs typically leave their posts as governor when their terms as chair end, but they can remain on the board if they choose.

Last month, Powell said, “I have no intention of leaving the Board until the investigation is well and truly over, with transparency and finality.” If he remains in his seat, even after Warsh is confirmed, it would deny Trump the oppotunity to fill a seat on the seven-member board.

Late Tuesday, Tillis posted a link on social media to the Wall Street Journal’s article on the visit below an image of the Three Stooges and wrote, “The U.S. Attorney’s Office for D.C. at the crime scene.”

Investigation centers on building renovations

The investigation by Pirro’s office centers on an appearance by Powell before the Senate Banking Committee last June, when he was asked about cost overruns on the Fed’s extensive building renovations. The most recent estimates from the Fed suggest the current estimated cost of $2.5 billion is about $600 million higher than a 2022 estimate of $1.9 billion.

“It is probably corrupt, but what it really is, is incompetent,” Trump said on Fox Business. “Don’t you think we have to find out what happened there?”

The president’s support for the investigation threatens a time frame set out by Sen. Tim Scott, a South Carolina Republican who chairs the Banking Committee. Scott said Tuesday on Fox Business that he believed the investigation would be “wrapped up in the next few weeks,” allowing Warsh to be confirmed soon after.

Threat to fire Powell

News of the unannounced visit by prosecutors comes as Trump has again threatened to fire Powell, if the Federal Reserve chair decides to stay on the central bank’s governing board after his term as chair expires next month.

“Well then I’ll have to fire him, OK?” Trump said when reminded that Powell has said he won’t leave the Fed while the Justice Department investigates a $2.5-billion renovation project at the bank. Powell has also said he will remain as chair of the Fed’s rate-setting committee until a replacement is confirmed by the Senate, following the precedent of previous chairs.

Trump has for months wanted to remove Powell as chair of the Fed, saying he has been too slow in orchestrating interest rate cuts that would give the U.S. economy a quick boost. Powell has said the investigation is a pretext to undermine the Fed’s independence to set rates.

Supreme Court weighing another Trump removal

Trump’s threat to fire Powell comes as the Supreme Court is weighing the president’s effort to remove another central bank governor, Lisa Cook. Lower courts have so far allowed Cook to remain in her job while her legal challenge to the firing continues. The Supreme Court also seemed likely to keep her on the Fed when the court heard arguments in January. A decision could come any time.

The issue in Cook’s case is whether allegations of mortgage fraud, which she has denied, is a sufficient reason to fire her or a mere pretext masking Trump’s desire to exert more control over U.S. interest rate policy.

The Supreme Court has allowed the firings of the heads of other governmental agencies at the president’s discretion, with no claim that they did anything wrong, while also signaling that it is approaching the independence of the nation’s central bank more cautiously, calling the Fed “a uniquely structured, quasi-private entity.”

Kunzelman and Rugaber write for the Associated Press. AP Writer Mark Sherman contributed to this report.