Trump Tries Again to Remove Fed Chair Lisa Cook

Former U.S. President Donald Trump has revived his efforts to remove Federal Reserve (Fed) Chair Lisa Cook amid allegations of mortgage fraud. This move comes despite a recent Supreme Court ruling affirming the independence of the central bank. Cook is reported to be considered for removal by Trump in line with the Supreme Court's decision made in June.

A letter sent to Cook this week indicated that Trump requested a written response regarding allegations that she has fallen "below the necessary standards." The Supreme Court emphasized that Cook had not taken the necessary procedural protections to counter the president's claims, thereby supporting her right to remain in office.

Cook's attorney Abbe D. Lowell stated that Trump's allegations are "as baseless as they were a year ago," arguing that there is no valid reason for Cook's removal. Cook was appointed by President Joe Biden in 2022 and is serving a 14-year term that will last until 2038. She is notable for being the first Black woman to hold the position in the Fed's history.

Last year, Trump launched a serious attack on the independence of the central bank by attempting to remove Cook. In her lawsuit against the Trump administration, Cook stated that the allegations stemmed from "misunderstandings" and that the errors in the documents were not intentional. This incident occurred during a time when Trump accused the Fed of not implementing a low-interest rate policy. Currently, the Fed, under the leadership of Kevin Warsh, who was appointed by Trump, aims to make data-driven decisions and continues to emphasize its independence.