New documents could undermine the Trump administration's mortgage fraud claims against Federal Reserve Governor Lisa Cook, who is currently battling Donald Trump's attempt to remove her from office.
Ms Cook referred to a condominium she purchased in June 2021 as a "vacation home" in a loan estimate, a characterisation that could weaken the administration’s claims.
Donald Trump has sought to dismiss Ms Cook "for cause," alleging she claimed both the condo and another property as her primary residence simultaneously.
This aligns with his aim to reshape the central bank and orchestrate a steep cut to interest rates. Documents obtained by The Associated Press also show Ms Cook described the property as a "second home" on a security clearance form.
Ms Cook sued the Trump administration to block her firing, an unprecedented move as it marks the first time a president has sought to remove a member of the seven-person board of governors.
She secured an injunction on Tuesday, allowing her to remain as a Fed governor. The administration has appealed the ruling, requesting an emergency decision by Monday, just before the Fed is set to meet and decide on an expected quarter-point rate cut.
Bill Pulte, a Trump appointee to the agency that regulates mortgage giants Fannie Mae and Freddie Mac, has accused Cook of signing separate documents in which she allegedly said that both the Atlanta property and a home in Ann Arbor, Michigan, also purchased in June 2021, were both “primary residences.”
Pulte submitted a criminal referral to the Justice Department, which has opened an investigation.
Claiming a home as a “primary residence” can result in better down payment and mortgage terms than if one of the homes is classified as a vacation home.
The descriptions of Cook’s properties were first reported by Reuters.
Fulton County tax records show Cook has never claimed a homestead exemption on the condo, which allows someone who uses a property as their primary residence to reduce their property taxes, since buying it in 2021.
The White House did not immediately respond to a request for comment.
