Fed Governor Lisa Cook Sues Trump Over Attempted Ouster Amid Mortgage Dispute

Federal Reserve Governor Lisa Cook has filed a lawsuit against former President Donald Trump, the Board of Governors of the Federal Reserve System, and Fed Chair Jerome Powell. The legal action challenges Trump's attempt to remove Cook from her position, alleging violations of her Fifth Amendment due process rights and statutory protections under the Federal Reserve Act.

The case centers on accusations of mortgage fraud against Cook, which her lawyer attributes to a clerical error. Cook seeks an injunction to confirm her active status on the Board and safeguard its independence from executive overreach. A hearing is scheduled before U.S. District Judge Jia Cobb, a Biden appointee.

This high-profile dispute tests the boundaries of presidential authority over monetary policy. Cook's refusal to resign underscores the tension between executive power and the Fed's congressionally mandated autonomy. The outcome could set precedents for future clashes between the WHITE House and central bank officials.