ABA Banking Journal
No Result
View All Result
  • Topics
    • Ag Banking
    • Commercial Lending
    • Community Banking
    • Compliance and Risk
    • Cybersecurity
    • Economy
    • Human Resources
    • Insurance
    • Legal
    • Mortgage
    • Mutual Funds
    • Payments
    • Policy
    • Retail and Marketing
    • Tax and Accounting
    • Technology
    • Wealth Management
  • Newsbytes
  • Podcasts
  • Magazine
    • Subscribe
    • Advertise
    • Magazine Archive
    • Newsletter Archive
    • Podcast Archive
    • Sponsored Content Archive
SUBSCRIBE
ABA Banking Journal
  • Topics
    • Ag Banking
    • Commercial Lending
    • Community Banking
    • Compliance and Risk
    • Cybersecurity
    • Economy
    • Human Resources
    • Insurance
    • Legal
    • Mortgage
    • Mutual Funds
    • Payments
    • Policy
    • Retail and Marketing
    • Tax and Accounting
    • Technology
    • Wealth Management
  • Newsbytes
  • Podcasts
  • Magazine
    • Subscribe
    • Advertise
    • Magazine Archive
    • Newsletter Archive
    • Podcast Archive
    • Sponsored Content Archive
No Result
View All Result
No Result
View All Result
Home Legal

Supreme Court rejects effort to fire Fed’s Cook, allows firings at other independent agencies

June 29, 2026
Reading Time: 2 mins read
Fed’s Cook: Nonbanks pose financial stability concerns

Federal Reserve Governor Lisa Cook.

The U.S. Supreme Court today ruled that Federal Reserve Governor Lisa Cook can remain on the Fed board while a lawsuit challenging her removal by President Trump plays out in the courts. However, the court also ruled that Trump could fire board members from other independent agencies, which could have implications for the makeup of the National Credit Union Administration.

Federal Reserve

Last year, Trump announced he was removing Cook after Federal Housing Finance Agency Director William Pulte alleged that she made false statements on mortgage agreements. Cook filed a lawsuit against the administration in U.S. District Court for D.C., arguing that federal law allows the president to remove Fed governors only “for cause,” and that the claims made against her have not been investigated or proven.

A U.S. district court granted a temporary restraining order preventing Cook’s removal while it considers the case, and a U.S. appeals court upheld the decision. In a 5-4 ruling, the Supreme Court rejected the administration’s push to overturn the restraining order, finding there was not yet enough evidence to decide whether Trump could invoke for cause.

“Acceptance of the government’s position would in effect transform the Federal Reserve’s for-cause protection into at-will employment — an interpretive leap out of step with the statute Congress enacted and our nation’s tradition of central banking protected from political interference,” said Chief Justice John Roberts, writing for the majority.

Board firings

Still, the high court concluded in a separate case that the president could remove political appointees from independent boards. In a 6-3 decision, the court allowed Trump to fire two Democratic appointees to the Federal Trade Commission, who had challenged their removals as unconstitutional.

“Although it is up to the Senate to decide whether to confirm those with whom the president would prefer to work, neither Congress nor the courts may saddle him with those with whom he cannot work,” said Roberts, writing for the majority. “Subordinates who exercise the president’s power are subject to removal by him.”

Last year, Trump fired Democrats Todd Harper and Tanya Otsuka from the NCUA board. The two filed a lawsuit challenging their removals, and the U.S. District Court for D.C. ruled that the firings were unlawful. The administration appealed the decision. Today’s ruling may affect the outcome of that case.

Tags: Credit unionsFederal Reserve
ShareTweetPin

Related Posts

Consumer Sentiment declined in April

Consumer sentiment falls in October

Economy
October 9, 2026

The University of Michigan Consumer Sentiment Index decreased 3.7% in October compared to the month prior, landing at 46.3, according to preliminary results for the month.

Personal income increased in February

Fed survey finds increase in family income, financial stress

Economy
October 9, 2026

While most U.S. families experienced moderate increases in income and net worth in recent years, the share of families experiencing financial stress also grew, the Federal Reserve said in its triennial Survey of Consumer Finances.

ABA, associations seek data behind FHFA credit score modernization effort

FHA formalizes use of alternative credit scoring models

Mortgage
October 9, 2026

FHA published a mortgagee letter to formalize the use of VantageScore 4.0 and FICO Score 10T alongside Classic FICO to assess the creditworthiness of single-family mortgages, with the new policy taking effect at the start of the coming...

Report: More states creating restrictions on crypto ATMs

Crypto exchange agrees to shut down ‘crypto ATMs’ as part of settlement

Compliance and Risk
October 8, 2026

The cryptocurrency exchange Coinme has agreed to close down its virtual currency kiosk operations in multiple states as part of a settlement with 34 state financial regulatory authorities over alleged Bank Secrecy Act and anti-money laundering violations, according...

Consumer credit increased in March

Fed: Consumer credit increased 1.9% in August

Economy
October 8, 2026

Consumer credit increased at a seasonally adjusted annual rate of 1.9% in August, according to the Federal Reserve. Revolving credit decreased at an annual rate of 4.2%, while nonrevolving credit increased at an annual rate of 4.1%.

Mortgage rates fall

Mortgage rates rise

Economy
October 8, 2026

The rate for a 30-year fixed-rate mortgage was 7.4% this week. The rate for a 15-year fixed-rate mortgage was 6.73%.

NEWSBYTES

Consumer sentiment falls in October

October 9, 2026

Fed survey finds increase in family income, financial stress

October 9, 2026

FHA formalizes use of alternative credit scoring models

October 9, 2026

SPONSORED CONTENT

The Shift from Demographic Marketing

The Shift from Demographic Marketing

October 1, 2026
Meeting Ag Lending Goals Without Going It Alone

Meeting Ag Lending Goals Without Going It Alone

October 1, 2026
Beyond the Portfolio: The Wealth Manager’s New Role in a Multigenerational World

Beyond the Portfolio: The Wealth Manager’s New Role in a Multigenerational World

September 17, 2026
Banking Technology at a Strategic Crossroads

Banking Technology at a Strategic Crossroads

September 8, 2026

PODCASTS

Podcast: The birth of American money and how it triggered a revolution

October 8, 2026

Podcast: Creating seamless customer experiences

September 30, 2026

Podcast: Telling a different kind of story about community banks

September 28, 2026

American Bankers Association
1333 New Hampshire Ave NW
Washington, DC 20036
1-800-BANKERS (800-226-5377)
www.aba.com
About ABA
Privacy Policy
Contact ABA

ABA Banking Journal
About ABA Banking Journal
Media Kit
Advertising
Subscribe

© 2026 American Bankers Association. All rights reserved.

No Result
View All Result
  • Topics
    • Ag Banking
    • Commercial Lending
    • Community Banking
    • Compliance and Risk
    • Cybersecurity
    • Economy
    • Human Resources
    • Insurance
    • Legal
    • Mortgage
    • Mutual Funds
    • Payments
    • Policy
    • Retail and Marketing
    • Tax and Accounting
    • Technology
    • Wealth Management
  • Newsbytes
  • Podcasts
  • Magazine
    • Subscribe
    • Advertise
    • Magazine Archive
    • Newsletter Archive
    • Podcast Archive
    • Sponsored Content Archive

© 2026 American Bankers Association. All rights reserved.