Federal Judge Blocks Trump’s Attempt to Remove Fed Governor Lisa Cook

A federal judge has temporarily halted former President Donald Trump's effort to oust Federal Reserve Governor Lisa Cook, citing insufficient grounds under the Federal Reserve Act. Judge Jia Cobb's emergency order underscores the legal and institutional safeguards protecting the central bank's independence.

The case stems from allegations of mortgage fraud dating back to before Cook's tenure at the Fed, raised by Federal Housing Finance Agency Director Bill Pulte. The Justice Department launched a probe, but the court found the claims inadequate to justify removal. The ruling reinforces the Fed's operational autonomy amid mounting political scrutiny.

Legal experts view this as a pivotal test of presidential authority over monetary policymakers. The decision preserves continuity in Fed leadership during a period of economic uncertainty, with potential implications for financial market stability.