Trump renews bid to oust Fed governor after Supreme Court cleared procedural hurdle

President Trump formally restarted his effort to remove Fed Governor Lisa Cook, triggering a fresh legal battle over central bank independence
The White House gave Federal Reserve Governor Lisa Cook three weeks to respond before President Donald Trump decides whether to remove her (Getty Images)
The White House gave Federal Reserve Governor Lisa Cook three weeks to respond before President Donald Trump decides whether to remove her (Getty Images)


WASHINGTON, DC: President Donald Trump has formally restarted his effort to remove Federal Reserve Governor Lisa Cook, according to a report published by ABC News, weeks after the Supreme Court ruled that she must first be given notice and an opportunity to respond before any dismissal.

The White House has now reportedly delivered that notice, giving Cook three weeks to answer allegations tied to mortgage documents before Trump decides whether to proceed.

Trump follows court roadmap

Lisa DeNell Cook, nominee to be a member of the Board of Governors of the Federal Reserve System, is sworn in during a Senate Banking nominations hearing on June 21, 2023 in Washington, DC. If confirmed, Cook would be the first Black woman to sit on the Board of Governors in its 108-year history. (Photo by Drew Angerer/Getty Images)
Lisa Cook has denied wrongdoing and says the allegations do not provide legal grounds for her removal (Drew Angerer/Getty Images)

According to sources familiar with the matter, the White House informed Cook this week that Trump is considering removing her for "gross negligence."

The letter, signed by Deputy Chief of Staff Dan Scavino, reportedly argues that allegations surrounding Cook's past mortgage paperwork call into question her fitness to remain on the Federal Reserve Board.

Cook has denied any wrongdoing and has never been charged with a crime. Her attorney, Abbe Lowell, dismissed the allegations as baseless and said the administration was once again trying to remove a Federal Reserve governor "on a manufactured pretext."

He said Cook would challenge any attempt to remove her.

Supreme Court sets one condition

Fencing surrounds the U.S. Supreme Court as it nears the end of its term, June 27, 2022 in Washington, DC. The Supreme Court released three opinions, Concepcion v. United States, Kennedy v. Bremerton School District, and Ruan v. United States.
The Supreme Court ruled that the White House must give Cook notice and an opportunity to respond before any removal decision (Getty Images)

Trump's latest move follows the Supreme Court's June ruling, which rejected Trump's earlier attempt to remove Cook immediately but did not prevent him from trying again.

In a 5-4 decision, Chief Justice John Roberts wrote that Cook must first receive notice of the allegations and be allowed to respond before any final decision.

The justices did not determine whether the accusations themselves justified removal, leaving that question for future litigation if Trump proceeds.

Another courtroom fight looms

WASHINGTON, DC - APRIL 25: U.S. President Donald Trump speaks to the media alongside first lady Melania Trump as they depart the White House on April 25, 2025 in Washington, DC. President Trump and the first lady are traveling to Rome to attend the funeral of Pope Francis. (Photo by Kevin Dietsch/Getty Images)
Trump's renewed effort could become another defining court fight over presidential authority and the Federal Reserve's independence (Kevin Dietsch/Getty Images)

Trump first sought Cook's removal last year while escalating pressure on the Federal Reserve to lower interest rates.

Federal judges blocked that effort, citing longstanding protections designed to shield the central bank from political influence.

If Trump moves ahead after Cook's response, courts will likely have to decide whether the administration has shown sufficient legal cause to remove a sitting Federal Reserve governor.

Cook has three weeks to respond before the White House decides whether to proceed with her removal.

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