The Donald Trump administration on Thursday urged Chief Justice John Roberts to issue a temporary order removing Lisa Cook from the Federal Reserve ’s board of governors, while also requesting a broader ruling from the full Supreme Court as her legal battle continues.
“Put simply, the president may reasonably determine that interest rates paid by the American people should not be set by a governor who appears to have lied about facts material to the interest rates she secured for herself — and refuses to explain the apparent misrepresentations,” solicitor general D John Sauer wrote in a filing, according to the Associated Press.
The administration’s argument centers on Trump’s allegation of “mortgage fraud.” Cook in 2021 claimed two properties — in Michigan and Georgia — as “primary residences,” which can secure lower mortgage rates. She has denied wrongdoing and has not been charged. Loan documents show she described her property in Georgia's Atlanta as a “vacation home” and, in a separate federal security form, as a “2nd home,” undercutting the fraud claims.
The push to unseat Cook marks an unprecedented White House attempt to reshape the Fed, whose governors traditionally serve independently of day-to-day politics. No president in the central bank’s 112-year history has removed a sitting governor.
Trump moved to fire Cook on August 25, but US district judge Jia Cobb reinstated her last week, ruling that Fed governors may only be dismissed “for cause” related to misconduct while in office. Because Cook did not join the board until 2022, Cobb held that the administration’s reasoning did not apply. She also found that Cook was denied due process.
A federal appeals court panel in Washington similarly rejected, by a 2-1 vote, the administration’s request to let the firing proceed.
Cook, appointed by Trump's predecessor Joe Biden, has vowed not to step down. “I won’t be bullied,” she said.
“Put simply, the president may reasonably determine that interest rates paid by the American people should not be set by a governor who appears to have lied about facts material to the interest rates she secured for herself — and refuses to explain the apparent misrepresentations,” solicitor general D John Sauer wrote in a filing, according to the Associated Press.
The administration’s argument centers on Trump’s allegation of “mortgage fraud.” Cook in 2021 claimed two properties — in Michigan and Georgia — as “primary residences,” which can secure lower mortgage rates. She has denied wrongdoing and has not been charged. Loan documents show she described her property in Georgia's Atlanta as a “vacation home” and, in a separate federal security form, as a “2nd home,” undercutting the fraud claims.
The push to unseat Cook marks an unprecedented White House attempt to reshape the Fed, whose governors traditionally serve independently of day-to-day politics. No president in the central bank’s 112-year history has removed a sitting governor.
Trump moved to fire Cook on August 25, but US district judge Jia Cobb reinstated her last week, ruling that Fed governors may only be dismissed “for cause” related to misconduct while in office. Because Cook did not join the board until 2022, Cobb held that the administration’s reasoning did not apply. She also found that Cook was denied due process.
A federal appeals court panel in Washington similarly rejected, by a 2-1 vote, the administration’s request to let the firing proceed.
Cook, appointed by Trump's predecessor Joe Biden, has vowed not to step down. “I won’t be bullied,” she said.
You may also like
MPESB Recruitment 2025: Applications Open For 500 Subedar, Stenographer & ASI Posts; Registration Begins From October 3
Uttarakhand CM Dhami conducts aerial survey of Rudraprayag, holds review meeting post Monsoon mayhem
Indian techie's US life update collides with Trump's H-1B overhaul, sparks frenzy online: 'Couldn't have picked a worse day'
Navi Mumbai: 17-Year-Old Girl Murdered by Maternal Uncle-In-Law Over Forced Marriage In Taloja; Suspect Arrested Within 24 Hours
Every word from Jack Grealish's rant at officials after tense Liverpool defeat
