President Trump today announced he had removed Governor Lisa Cook from the Federal Reserve board, although it is not immediately clear whether he has the legal authority to do so.
In a letter posted on Truth Social, Trump said the Federal Reserve Act allows him to remove board members “for cause.” He cited a criminal referral made to the Justice Department by Federal Housing Finance Agency Director William Pulte, who has alleged that Cook made false statements on mortgage agreements. The allegations have not been substantiated, and it is unclear whether the president’s decision would withstand a legal challenge.
Cook was first appointed to the Fed board in 2022 and reappointed a year later to a term expiring in 2038. A spokeswoman for Cook released a statement to the Washington Post saying she does not intend to resign. “President Trump purported to fire me ‘for cause’ when no cause exists under the law, and he has no authority to do so,” Cook said, adding she has hired an outside attorney.
Trump has also called for the ouster of Fed Chairman Jerome Powell but has not taken any official actions to remove him.
Editor’s note: This story has been updated since publication with Cook’s response and to correct the end date of her current term on the Fed board.
