President Donald Trump fired Lisa Cook, a member of the Federal Reserve Board of Governors, on Monday.
False Statements On Mortgage Agreements
In a letter addressed to Cook, and shared in a Truth Social post on the same day, Trump said, “Pursuant to my authority under Article II of the Constitution of the United States and the Federal Reserve Act of 1913, as amended, you are hereby removed from your position on the Board of Governors of the Federal Reserve, effective immediately.”
Cook was removed from her position, citing what Trump referred to as “deceitful and potentially criminal conduct” based on a “criminal referral” from William J. Pulte, director of the Federal Housing Finance Agency, to U.S. Attorney General Pamela Bondi earlier this month.
Trump says the referral provided “sufficient reason to believe you [Cook] may have made false statements on one or more mortgage agreements.”
According to the letter, Cook allegedly signed a document attesting that a property in Michigan would be her primary residence for the next year, before signing another in Georgia just two weeks later. Trump says, “It is inconceivable that you were not aware of your first commitment when making the second. It is impossible that you intended to honor both.”
In his letter, Trump emphasized the importance of integrity at the Central Bank, highlighting its role in setting interest rates, along with regulating reserve and member banks. “The American people must be able to have full confidence in the honesty of the members entrusted with setting policy and overseeing the Federal Reserve.”
He concluded by saying, “In light of your deceitful and potentially criminal conduct in a financial matter, they cannot and I do not have such confidence in your integrity.”
No Intention of Stepping Down
Last week, Trump intensified his attacks on the Federal Reserve by asking Cook to step down over mortgage fraud allegations. “Cook must resign now,” he said in a Truth Social post.
Cook responded to the allegations, saying that she had “no intention of being bullied to step down,” while adding that she takes any questions regarding her financial history very seriously.
After being nominated by Former President Joe Biden to the Federal Reserve Board in 2022, Cook was reappointed to a 14-year term in 2023.
Photo Courtesy: Joey Sussman on Shutterstock.com
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