President Donald Trump’s attempt to fire Federal Reserve Governor Lisa Cook has sparked a major legal fight that could reshape the balance of power between the White House and the nation’s central bank. Cook, the first Black woman to serve on the Fed board, is refusing to step down after Trump announced her removal in August over unproven allegations of mortgage fraud.
The confrontation began when Trump cited allegations brought by Federal Housing Finance Agency Director Bill Pulte that Cook made false statements on mortgage applications for properties in Michigan and Georgia before joining the Fed in 2022. Cook has denied any wrongdoing and has not been charged with any crime. Her attorney, Abbe Lowell, called the firing attempt legally baseless and filed a lawsuit to challenge it.
