Trump's Bid to Oust Cook Fails as Lawyer Says No Basis for Dismissal
US President Donald Trump has been trying to sack Federal Reserve Governor Lisa Cook for over a year, an unprecedented effort that has sparked concerns about the independence of the US central bank. Cook's lawyer, Abbe David Lowell, has responded with a detailed rebuttal to the accusations of mortgage fraud, stating that there is no legally cognizable cause for removing her from the Fed Board.
The allegations against Cook were first levied by Federal Housing Finance Agency Director William Pulte last August, and were quickly amplified by Trump on social media. However, Cook has denied any wrongdoing, calling the allegations a pretext to remove her due to monetary policy differences.
In June, the US Supreme Court refused to allow her removal in a 5-4 ruling that definitively protects Fed officials from being fired at will by a president. The decision left open the question of whether there was any wrongdoing that could serve as cause for termination, provided Cook was given the opportunity to defend herself.