The 41-year-old former England international has become a popular figure at the Walkers Stadium since joining from Charlton in 2008.
The full-back earned such praise at Leicester that he became a member of Nigel Pearson's coaching staff, taking on the role of Defensive coach and has kept the position under Sven Goran-Eriksson.
But Powell, who has made 250 appearances for Charlton over three remarkable spells at the London club, appears to be the Addicks preferred choice for the manager's job at the Valley.
And, no matter how bright the future seems with the play-off seeking Foxes under Sven Goran-Eriksson, Powell would surely find the opportunity of managing a club where he has such fond memories difficult to turn down.
Charlton currently lie in sixth place in the League One table and have been without a manager since Phil Parkinson's dismissal on January 4th.